19 Mar 2025
Why Neon Invested

5 Min Read

Why Neon Invested in inFeedo

photo

At Neon we love to back founders who deeply care about a problem and believe ‘you can just do things’.

Tanmaya started inFeedo just out of university and met 100+ CHROs in the first year to understand the actual state of employee engagement. He wanted to know why the majority of employees felt disengaged even after organizations followed ‘best practices’ and spent billions on it across industry.

Tanmaya and his co-founder Varun discovered that the best practices weren’t actually best. They were just the most accepted practices, unchanged for the last 30 years. Every organization was doing it because every other organization was doing it. Or because with existing technology available, that’s the best they could do.

Imagine an HR head who decides to interact with 1000 employees 3 times a year, with each interaction containing 10 questions. That HR head now has 30,000 responses to read, process, garner insights from, and take meaningful action on. This becomes a classic case of analysis-paralysis.

No meaningful action gets taken and as a result employees don’t feel heard and valued.

Now imagine a company spread across dozens of locations and thousands of employees. It’s humanly impossible to understand who is engaged and who is not.

The numbers reveal just how massive this problem is:

  • 85% of employees worldwide are disengaged at work, affecting productivity and innovation.
  • Businesses lose an estimated $1.8 trillion annually due to disengagement and attrition.
  • The cost of replacing an employee is 1.5-2x their annual salary, making retention a critical financial imperative.

Great companies aren’t built by just hiring great people. They are built by creating an environment where employees can do great work. A place where people feel heard, valued, and engaged.

Organizations try to understand employee sentiment with annual check-ins or pulse surveys. But these approaches are generic and lifeless. They treat every employee the same rather than recognizing the unique journey each employee takes. This one-size-fits-all approach yields shallow insights at best and misleading data at worst.

Due to outdated insights that fail to capture on-ground reality in real-time, leaders are caught off guard by unexpected attrition, absenteeism & disengagement.

Managers struggle to keep up with each employee’s rapidly changing needs, leaving critical issues like productivity dips, role misalignment and growing resentment unaddressed.

Critical insights never reach leadership, and dissatisfaction festers until it manifests as resignation letters.

And the biggest problem is that these systems are reactive rather than preventative. They capture dissatisfaction after it has taken place rather than identifying early warning signs when intervention could have made a difference.

Tanmaya and Varun realized that solving this problem at scale required a fresh set of eyes and new ways to leverage technology. Instead of drowning in data, HR leaders needed a way to surface the right insights at the right time and act on them.

From its inception, inFeedo leveraged AI long before it became a buzzword. By combining AI with deep people science, inFeedo’s AI chatbot Amber engages employees in meaningful, personalized conversations throughout their journey with the organization.

What makes Amber different is its ability to conduct contextual check-ins at critical moments in an employee’s lifecycle—whether that’s 15 days after joining, following a promotion, or after a change in management.

Amber also retains context across the entire employee lifecycle, enabling truly personalized 1:1 conversations rather than generic questionnaires. This contextual intelligence allows the platform to identify patterns and trends that would otherwise remain hidden in traditional engagement surveys.

At the core of inFeedo’s technology is their proprietary “People to Meet” (PTM) algorithm that helps HR teams identify and prioritize employees who need immediate attention. This directly addresses the analysis-paralysis problem by focusing leaders’ limited time on the individuals who will benefit most from intervention.

Amber also takes it one step further by auto-generating presentations & tailored action plans, directly sent to senior leaders’ inbox on demand, enabling them to proactively mitigate underperformance, dissatisfaction and critical turnover.

The results speak for themselves. One enterprise client reported that employees who engaged with Amber were twice as likely to remain with the company. Another saw a 37% improvement in attrition after adopting inFeedo.

In a world where talent is the biggest asset, employee experience is not a good to have but a must to have.

Tanmaya and Varun’s focus on product depth sets inFeedo apart in a market flooded with superficial solutions.

While many startups focus on incremental improvements to existing approaches, inFeedo built a fundamentally different solution. Their investment in AI and people science has created defensible technology that becomes more valuable with each employee interaction.

Over eight years, they’ve analyzed over 70 million responses to build a statistically validated employee experience framework. This data creates a flywheel effect: more customers generate more data, which improves the algorithm, which delivers better results, which attracts more customers.

inFeedo has been one of our earliest investments and we are proud that we got to partner with Tanmaya and Varun.

inFeedo’s growth since our investment has validated our thesis. Today, they serve close to 300 enterprise customers across India, SEA, and the US which includes industry leaders such as Genpact, Tata, EY, Axis Bank, PwC, Sony, Western Alliance Bank, Diageo.

Their platform has reached over 1 million users, facilitated 7.3 million conversations in 34 languages, and built 100+ integrations with enterprise apps. These numbers reflect not just scale but also the depth of inFeedo’s market penetration.

At Neon, we back founders who build category-defining companies with deep product moats. inFeedo’s unique combination of AI, people science, and predictive analytics makes it among the most compelling HR tech companies we have met.

With a strong team, a rapidly growing market, and an AI-first approach, we believe inFeedo is on track to redefine employee experience globally. As part of this global ambition, they have already begun expansion in the US and developed strategic partnerships that position them for major growth over the next 24 months.

Siddhartha Ahluwalia

Siddhartha Ahluwalia is the Managing Partner at Neon Fund and host of The Neon Show, one of the top business podcasts focused on the India-US startup ecosystem. He previously founded Addodoc (a B2B SaaS CRM for pediatricians) and Babygogo (a healthtech startup acquired by Sheroes). He later worked at Prime Ventures and led the SaaS Ecosystem at AWS India before starting Neon Fund. With deep expertise in 0-1 startup building, he helps founders scale B2B SaaS companies in the US from $0 to $10M ARR.

Vector Graphic Vector Graphic

Brighten your inbox weekly with Neon’s expert insights.

Please enter a valid email id

Other posts

photo

Why Neon Invested

5 min read

Why Neon Invested In CloudSEK

CloudSEK's AI-driven platform scans the Surface, Deep, and Dark Web to protect businesses from various cyber threats. With the global cybersecurity market projected to reach $500 billion by 2032, we are confident of CloudSEK becoming a global leader. [...]

Read More... from Why Neon Invested In CloudSEK

photo

Why Neon Invested

5 min read

Why Neon Invested In Merlin

Merlin is building a user-friendly platform that simplifies complex processes, which saves their clients time and money. They are building a software which in intuitive, AI-powered and insights driven. [...]

Read More... from Why Neon Invested In Merlin

Brighten your inbox with Neon’s insights

Brighten your inbox with Neon’s insights
Please enter a valid email id