SignalDemand, a leading provider of Sales and Profit Optimization software for food and consumer goods manufacturers, today announced that it has closed $7.5 Million in Series B funding led by General Catalyst Partners with participation from existing investors, Hummer Winblad Venture Partners and Catamount Ventures. This funding will enable SignalDemand to expand product development and sales as well as fund new marketing activities. In addition, John Simon, managing director, General Catalyst Partners, has joined the company’s board of directors.

Sales and Profit Optimization is a new class of software that drives manufacturers’ top-line growth. Unlike traditional supply chain solutions that focus on cost efficiencies, SignalDemand solutions help companies accelerate revenue, profit and market share growth.

“We are seeing a fundamental shift in the food and consumer goods industries, where major retailers, led by WalMart, are applying constant downward pressure on the prices they pay suppliers, while at the same time, suppliers’ costs are continuing to rise. Something has to give,” said Mike Neal, Founder and CEO of SignalDemand. “Over the past decade, suppliers have addressed this margin squeeze with business efficiency initiatives, but this can only take them so far. SignalDemand’s game changing solution allows manufacturers to shape sales and profits in concert with their supply constraints, to increase sales and margins in this challenging market. We are pleased to partner with General Catalyst and John Simon, who have a strong track record of bringing optimization solutions like ours to market.”

SignalDemand’s enterprise software enables manufacturers to fine tune demand and supply, leading to dramatic improvement in their financial performance. Food processors, commodity and consumer goods manufacturers use SignalDemand software to simultaneously optimize pricing and supply decisions. Using patent pending econometric models, optimization algorithms and activity based costing (ABC) techniques, SignalDemand’s technology links demand with supply — formerly independent functions — into a single end-to-end system optimization, unlocking previously hidden margin opportunities. Using SignalDemand’s solutions, consumer goods and food manufacturing organizations have increased profits by 25 to 500 basis points, while at the same time increasing the certainty of achieving their forecasts.

“The profit and sales improvements and predictability that the SignalDemand technology creates are tremendous. This is top of mind for food manufacturers who already are using SignalDemand to significantly improve their performance”, said John Simon, managing director, General Catalyst Partners. “We are thrilled to partner with the SignalDemand team to further its mission of making its customers the best performing in their segments by revolutionizing the way they make pricing and supply decisions using state-of-the-art science and technology.”

About SignalDemand, Inc SignalDemand’s enterprise software helps manufacturers tune demand and supply, leading to dramatic improvement in their financial performance. Food processors, commodity and consumer goods manufacturers use SignalDemand software to simultaneously optimize pricing and supply decisions. SignalDemand’s technology uses patent pending econometric models, optimization algorithms and activity based costing (ABC) techniques. To learn more or to request information, visit www.signaldemand.com

About General Catalyst Partners General Catalyst Partners is a venture capital firm that invests in exceptional entrepreneurs who are building the technology-based companies that will lead innovation and transform industries. Founded in 2000, General Catalyst Partners leverages its principals' extensive operational, business development and technological expertise to provide portfolio companies with a catalyst for success through business-building and partnership development assistance. General Catalyst is headquartered in Cambridge, Mass. For more information, please visit: http://www.generalcatalyst.com.

About Catamount Ventures Catamount Ventures, a premier technology venture firm, partners with entrepreneurs to build world-class companies. As experienced entrepreneurs, operators and investors, Catamount shares the benefits of their experience with their portfolio companies and together creates world-class companies. Focusing on seed and early stage opportunities, Catamount helps entrepreneurs grow sustainable and successful firms through its disciplined, hands-on approach.

About Hummer Winblad Venture Partners In 1989, Hummer Winblad Venture Partners was created as the first venture capital firm focused exclusively on software. As the software industry has grown from PC software to enterprise computing to Internet applications, Hummer Winblad has been at the forefront — funding the entrepreneurs and ideas that helped define these markets. The firms’ goal is to provide the capital, experience, and vision that will help portfolio companies become leaders in this new software economy. For more information on Hummer Winblad, visit www.humwin.com.