Screen Capture Tool Loom Secures $30M Funding

Loom, a screen and video capture tool, announced on Nov. 26, 2019, that it raised a $30 million Series B funding round.

Loom is a communication tool that lets users capture, record, and share videos of their computer desktop. Notable features within the product's pro plan include instant sharing, video trimming, and a drawing tool, to name a few.

The funding was led by Sequoia Capital almost a year after an $11 million Series A round led by Kleiner Perkins. Kleiner Perkins also contributed to Loom's Series B, alongside Figma. Additionally, Loom announced new investors: Instagram’s cofounders, Kevin Systrom and Mike Krieger, as well as Front’s CEO and cofounder Mathilde Collin.

Loom shared its intention of using the funding to build a world-class product, and stated the company is in a better position to make it more reliable and performant. Loom also stated a desire to go mobile, which may relate to Instagram’s interest in the product. Its iOS application was recently released and the Android version is set to be released soon after. Loom also shared its goal of focusing on security and collaboration by adding centralized storage, reporting, custom branding, and enhanced administrative controls. Alongside these additions and enhancements, Loom plans on addressing top requests from its users; popular requests include video editing options like video transcriptions, blurring, video uploads, and merging recordings. 

According to Loom, more than 15 million minutes of video on Loom are shared every month by more than 1.8 million people who work across 50,000 companies. But on G2, Loom has nearly 50 reviews and has an overall score of 4.7 out of 5.0 stars. Its biggest competitor, Snagit, has a 4.5 out of 5.0 star score with over 3,000 reviews. As of publication, Snagit is also the clear Leader in the space according to G2’s Grid® for Screen and Video Capture.

One aspect that helps Loom standout against Snagit is its pricing strategy. Single-seat individual and business pricing for Snagit is a one-time fee of $49.95 and the upgrade price is $24.95. On the flipside, Loom’s individual plan is free, and the pro plan, which has a few advanced features such as advanced editing, is a subscription-based plan that costs $8 per month. CloudApp, another major player in the space, also offers subscription-based pricing (its pro plan is slightly more expensive than Loom’s) and a free, basic plan similar to Loom’s. 

Loom’s business and company pricing is in early access beta and hasn’t been announced to the public yet. Unveiling a competitively priced business plan will open up the opportunity for Loom to gain many more users, thus gaining more reviews on G2. G2 also expects the subscription-based pricing plan will be more appealing to buyers and will lead to Loom becoming a bigger competitor in the screen and video capture space in the near future.