Zenhub: A Startup Case Study – “Seamless GitHub Project Management”

Organizations often work in teams to achieve specific goals, such as developing a new product, updating its policies, and many other things that enhance and meet the organization’s overall objective. With the advent of remote work, tracking the progress of team projects has become increasingly frustrating. But it doesn’t have to be so because Zenhub has stepped in to solve this problem.

Zenhub

Zenhub is an online project management tool that provides AI-enhanced project management solutions to software development teams. It embeds itself directly within GitHub, offering an intuitive and native experience for software development teams. It aims to streamline workflows, minimize context switching, and leverage GitHub’s own data to deliver accurate project insights.

Status: Active

Founding Year: 2014

Headquarters: Vancouver, Canada

Industry: Project management software.

Business Model

B2B, One-sided, Product

• Clients: Software development teams of all sizes, including project managers, developers, product owners, and engineering leaders. They primarily target companies that use GitHub for software development.

It’s Like: Jira but embeds directly within GitHub

Zenhub takes the core functionality of project management tools like Jira – task management, progress tracking, agile workflows – and embeds it directly within the GitHub ecosystem.

With some differences, though:

• Jira is platform-agnostic, while Zenhub is specifically designed for GitHub users.
• Zenhub leverages GitHub data (commits, branches, pull requests) for more accurate project insights.
• Zenhub aims to minimize context switching for developers already working within GitHub.

Problems It Aims To Solve

Everybody knows that technology is the new gold and Zenhub wants to make the work of the gold miners and refiners (techies and non-techies) easier. How?

• Software development teams often rely on separate tools for project management and code repositories, leading to context switching and fragmented workflows.
• Traditional project management tools may not accurately reflect the realities of software development, relying on subjective progress updates rather than objective code-based metrics.
• Managing projects across multiple GitHub repositories can be cumbersome and lack a centralized view.

Solution & Features

• GitHub Integration: Zenhub seamlessly integrates with GitHub, providing a unified platform for project management and code development.
• Data-Driven Insights: It leverages GitHub data, such as commits, branches, and pull requests, to provide real-time project visibility and accurate progress tracking.
• Workflow Automation: Zenhub offers features like automated sprint planning, AI-powered issue creation, and custom workflow triggers to streamline development processes and reduce manual effort.
• Centralized Project View: It allows users to connect multiple GitHub repositories to a single project board, providing a holistic view of project progress and dependencies.

Founding Story

• When and How Founded: Zenhub was launched in 2014. It was initially developed within Axiom Zen, an innovation studio in Vancouver, Canada.
• Founders’ Problem: The founding team which included Aaron Upright recognized the need for a project management tool specifically designed for software development teams working within the GitHub ecosys. They aimed to address the challenges of context switching and maintaining focus while managing projects within GitHub [2].
• Founders’ Background: Aaron Upright’s previous experience as a community manager and interactive marketing coordinator must have made him understood the intricacies of software development workflows. As the company’s co-founder, he plays a key role in leading the company.
• Why They Started: They saw an opportunity to improve developer productivity by creating a tool that seamlessly integrated with GitHub, eliminating the need for separate project management applications.
• Early Team: The team that founded Zenhub includes Aaron Upright, Matthew Butler, Leo Zhang, Pablo Navarro Castillo, and Ryan Naayem.
• Problem-Solving Approach: They decided to solve the problem by developing a browser extension that integrated directly into GitHub’s user interface. This approach aimed to minimize disruptions to existing workflows and provide a more intuitive project management experience within the familiar GitHub environment.
• Challenges: Developing a tool that seamlessly integrates with a platform like GitHub likely presented technical hurdles.
• First Results: Gradual acceptance of Zenhub by teams who use GitHub. Its evolution from a browser extension to a more comprehensive platform shows positive initial reception and adoption.
• Continued Growth: Zenhub’s growth is evident in its evolution from a browser extension to a feature-rich platform. They introduced advanced features like enhanced workspaces, Epics, reporting, and Kanban boards, attracting larger development teams and solidifying their position in the market.
• Innovation and Technology: Zenhub leverages technology to streamline workflows, automate tasks, and provide real-time insights to software development teams. Their AI-powered features, such as AI-assisted issue creation and sprint summaries, further enhance productivity and decision-making. Their commitment to innovation is evident in their recent release of Zenhub Enterprise 4.3.0, which introduces new features and improvements focused on performance, roadmap functionality, and security.

Key Growth Milestones

Zenhub’s acceptance and usage by teams in over 150 countries show its reach and impact

• 2014: Zenhub is launched as a browser extension designed to integrate directly into GitHub’s user interface.
• Evolution Beyond Extension: The tool evolved beyond a simple extension, incorporating advanced features like enhanced workspaces, Epics, comprehensive reporting, and Kanban boards.
• 2021: Zenhub raises a $5.9 million seed round.
• 2023: Zenhub secures a $10 million Series A funding round to further enhance its platform and expand its market reach.
• 2024: Zenhub releases Zenhub Enterprise 4.3.0, a significant update with performance enhancements, improved roadmap functionality, and security fixes.

Market & Competition

Target Market

• Software Development Teams: The company primarily targets software development teams of all sizes, including project managers, developers, product owners, tech consulting firms, and engineering leaders.
• GitHub Users: Zenhub specifically targets teams already using GitHub as their primary code repository and version control system.

Market Growth:

Projections on the market size of the project management software industry vary but one thing is sure, all estimates point to significant growth.

• Mordor Intelligence estimates the market size in 2025 to be $7.24 billion and is projected to reach $12.02 billion by 2030, with a CAGR of 10.67%.
• Grand View Research provides a slightly different projection, with the market expected to reach $20,469.8 million by 2030, growing at a CAGR of 15.7% from 2024 to 2030.
• Straits Research estimates a CAGR of 18.48% during the forecast period (2024–2032), with the market reaching $15.06 billion by 2032.

These varying projections show the dynamic nature of the project management software market and the potential for its continued growth in the coming years.

Potential New Markets:

• Non-Technical Teams: Zenhub is expanding its target market to include non-technical teams with features like “Zenhub Issues.”
• Other Industries: While currently focused on software development, Zenhub’s underlying concept of leveraging data from existing platforms for project management could be applied to other industries.

Client Numbers: Over 8,000 teams use Zenhub

Competitor Landscape

Zenhub operates in a highly competitive project management software market with numerous competitors, including those targeting broader audiences and those specializing in software development.

Main Rivals:

• Asana: A widely used work management platform for teams of all sizes.
• monday.com: A customizable work operating system for various organizations.
• Smartsheet: A cloud-based platform for work execution and collaboration.
• LiquidPlanner: A project management solution with a focus on predictive scheduling.
• Planisware: A provider of project portfolio management (PPM) software solutions.

Marketing & Sales

Main Positioning Values: Time

Zenhub takes pride in increasing the efficiency of teams through the reduction of time spent on project updates

Pricing and Plans

As per pricing, users have three different options to choose from:

1. Free Plan: The brand wants everyone to have a piece of the awesomeness they have created, so the free plan is available for those who want to test the waters (Zenhub) without a commitment (paying)… just yet
   • Cost: $0
   • User Limit: Up to 3 users.
   • Core Features: Access to essential project management tools, including task boards, issue tracking, and basic reporting.
   • Integrations: Basic integration with GitHub repositories.
   • Support: Community support through forums and documentation.
2. Team Plan: You have tried the free plan and decided you want more (as expected). You have grown beyond being a solopreneur and have a growing team with which to collaborate. This is the plan for you!
   • Cost: $12.50 per user per month when billed monthly. $8.33 per user per month when billed annually (a whopping 33.36% discount)
   • User Limit: Unlimited users.
   • Advanced Features: This plan includes all the Free plan features plus advanced capabilities such as roadmaps, time tracking, and enhanced reporting.
   • Integrations: Expanded integrations with additional third-party tools and services.
   • Support: Standard support with access to email assistance and a broader knowledge base.
3. Enterprise Plan: At this stage, you are totally sold out for Zenhub and need more of its amazing features.
   • Cost: Negotiable, just request a demo
   • User Limit: Unlimited users.
   • Premium Features: All Team plan features, along with enterprise-grade functionalities like advanced security controls, custom workflows, and priority feature requests.
   • Integrations: Comprehensive integration options, including custom API access and on-premises solutions.
   • Support: Priority support with dedicated account management, personalized onboarding, and 24/7 assistance.

Website & Socials

Website

Zenhub’s website (zenhub.com) receives around 124,888 monthly visits according to SimilarWeb.
Most visitors arrive via direct traffic, with a significant portion coming from organic searches. The US, UK, South Korea, Canada, and Denmark drive the highest share of users, indicating an international audience.

Social Media

Social media traffic mainly comes from resources like Stack Overflow and WhatsApp Web, along with smaller contributions from YouTube and LinkedIn.

Zenhub is active on social media with thousands of followers on LinkedIn, X, and Facebook. A scroll down these social media pages will greet you with an overview of the brand and online community events on new product features.

Media Coverage

Zenhub has gotten considerable media coverage on various platforms including:

• Financial Post: Zenhub announced the release of Zenhub Enterprise 4.0, designed for on-premises teams to enhance agile project management within GitHub.
• SD Times: Zenhub’s Project Management Tool Now Gets Help from AI
• VentureBeat: Zenhub introduced AI-powered label suggestions to streamline issue categorization, with plans for additional AI features in the future.
• Devops.com: Zenhub Brings Issues Management to Project Management Platform.
• GlobeNewswire by notified: Zenhub Achieves SOC 2 Type II Certification, Ensuring Compliance with the Industry Standard for Data Security (July 9, 2022) Zenhub obtained SOC 2 Type II certification, demonstrating its commitment to data security and compliance with industry standards.
• VMblog Expert Interview: Aaron Upright of Zenhub Talks About Developer Happiness and Its Impact on Business Productivity (October 3, 2022) An interview with Aaron Upright discussing the correlation between developer happiness and business productivity, and how Zenhub facilitates this.
• Devops.com: The Impact of Developer Happiness on Productivity. An exploration of how Zenhub’s tools contribute to developer satisfaction and overall productivity within software development teams.
• Financial Post: Zenhub Releases Productivity Grader, the First Free Tool to Deliver Insights on How Productive a Software Development Team Is Based on Actual Project Data.

Marketing Strategies

• Target Audience: Zenhub specifically targets software development teams, including project managers, developers, product owners, and engineering leaders. They also cater to tech consulting firms seeking to enhance their project management processes.
• Customer Acquisition: Zenhub primarily leverages its online presence for customer acquisition. Their website features a prominent call to action to “Try a demo”, suggesting a demo-driven sales approach. They offer various resources like case studies, eBooks, and blog articles to attract potential customers. Their website highlights positive customer testimonials from recognized companies like Red Hat and Steamclock, emphasizing trust and credibility. Their social media strategy suggests a content-driven approach with a focus on thought leadership and providing valuable resources to their target audience.
• Demographic Detail: Based on their target audience and website demographics, Zenhub’s primary demographic consists of professionals aged 25-44 (65.35% combined), with a significant male dominance (65.59%). Geographically, they have a strong presence in the US (22.37%), UK (14.61%), South Korea (13.41%), and Canada (7.61%).

Product & Innovation

Native GitHub Integration

Unlike competitors that offer integrations as an add-on, Zenhub’s core value proposition is its seamless, native integration with GitHub, providing a more integrated and efficient user experience.

Engineering Intelligence

Zenhub’s focus on leveraging GitHub data for project insights aligns with the concept of “engineering intelligence,” enabling data-driven decision-making and process optimization within software development teams.

AI-Powered Features

Zenhub incorporates AI in features like issue creation, sprint summaries, and predicted sprints, aiming to reduce manual effort and improve the accuracy of project management tasks.

Developer Happiness Report

Zenhub has shown interest in developer satisfaction and well-being, as evidenced by its 2022 Developer Happiness Report. This report provides insights into the factors contributing to developer happiness and productivity, and Zenhub likely uses this information to inform its product development and company culture.

Works for Both Tech & Non-Tech Teams

Most project management tools are built for devs but Zenhub considers product managers and stakeholders as part of the team, so, Zenhub allows non-techies (managers and stakeholders) to monitor progress without needing expertise on the tech side of things.

Financials & Metrics

Revenue Sources

As a Software-as-a-Service (SaaS) company offering project management solutions, their revenue primarily stems from

• Subscription Fees: Users pay recurring fees for access to Zenhub’s platform and its features. The pricing vary based on the number of users, features included, and plan type.

Metrics

• Estimated Annual Revenue: Zenhub’s estimated annual revenue is currently $33.8 million.
• Funding and Investments: The brand has raised a total of 15.9 million CAD; Zenhub initially bootstrapped its operations before raising
  • $5.9 million seed round in 2021.
  • $10 million Series A round in 2023.
• Employee Count: Zenhub currently has 212 employees.

Structure & Culture

Structure

• Leadership: Zenhub is led by CEO Tyler Gaffney. Aaron Upright, co-founder, plays a key role in the company’s direction and vision.
• Engineering Focus: Given Zenhub’s target market (software development teams), it’s highly likely that their organizational structure prioritizes engineering and product development.
• Teams: While specific team structures aren’t mentioned, it’s reasonable to assume they have dedicated teams for engineering, product development, marketing, sales, customer support, and operations.

Culture and Values

• Boundaryless: Zenhub prioritizes how work is accomplished rather than where it takes place. Team members are supported in working from locations where they are most productive, whether remotely or in the office.
• Together – even from afar: Fostering a strong sense of community is a key aspect of Zenhub’s culture. Opportunities for engagement include virtual game nights, skill-sharing sessions, casual coffee chats, and company-wide meetings.
• Space to collaborate: A dedicated collaboration space in Vancouver is available for focused work, team projects, and social interactions. The environment is designed for comfort, welcoming both children and pets.
• Growth mindset: A mindset of continuous improvement drives the pursuit of excellence over perfection at Zenhub. Feedback is actively sought to enhance both individual and organizational performance.
• Experiment & iterate: Zenhub believes that progress is fueled by a willingness to test new approaches that yield faster, more effective results. Failure is viewed as a learning opportunity, reinforcing a culture of adaptability and innovation.

Zenhub’s core values emphasize adequate customer support, integrity, and bringing needed solutions.

Impact & Success

Zenhub has achieved considerable impact and success through the features it offers including:

• AI-powered issue creation: Enables users to write better issues with AI-generated labels and acceptance criteria. This feature leverages AI to assist users in creating clear and concise issue descriptions, improving efficiency and accuracy in task management.
• Real-time Roadmaps: A visual overview of project timelines and progress which allows teams to track project milestones and dependencies in real time. This feature enhances project visibility, facilitating better communication among team members.
• Workflow automation: Allows users to set custom triggers when an issue enters or exits a pipeline, automating routine tasks and reducing manual effort. This feature streamlines workflows and improves efficiency in project management.
• Automated sprint planning: Generates sprint candidates from prioritized backlog issues, automating the sprint planning process and freeing up time for teams to focus on development work.
• Automated Sprints: “Automated Sprints” in Zenhub automate sprint planning, freeing up time for teams to focus on work that matters. This feature streamlines the Agile process and reduces manual effort in sprint planning.
• AI sprint summaries: Generates easy-to-read summaries of completed issues, providing a concise overview of sprint achievements and progress.
• Reporting: Offers various reports, including velocity reports, sprint reports, and burndown charts, to track progress and identify areas for improvement. These reports provide valuable insights into team performance and project health, enabling data-driven decision-making.
• Zenhub Issues: Designed for non-technical team members, allowing them to participate in project management without needing a GitHub account. This feature extends Zenhub’s functionality beyond the development team, facilitating collaboration with stakeholders and non-technical team members.
• Key Dates and Dependencies: Recent updates to Zenhub Roadmaps include “Key Dates” for flagging important milestones and “Dependency views” to visually indicate dependencies between Epics. These enhancements improve the clarity and usability of Zenhub Roadmaps, facilitating better project planning and tracking.
• Versions and Drafts: Zenhub plans to introduce “Versions and Drafts” functionality to its Roadmaps, allowing for private editing and planning before publishing changes. This upcoming feature will enhance the planning capabilities of Zenhub Roadmaps, enabling teams to explore different scenarios and refine their roadmaps before sharing them with stakeholders.
• Exporting Roadmaps: Zenhub is improving exporting/sharing capabilities for Roadmaps, with plans to allow exports as PNG and CSV files. This enhancement will improve the shareability and usability of Zenhub Roadmaps, making it easier for teams to communicate project plans and progress with stakeholders.
• Sub-issues and Issue Types: Zenhub has introduced “Sub-issues & Issue Types” to provide enhanced hierarchy and structure to work, improving how teams organize and manage tasks. This feature allows for a more granular approach to task management, enabling teams to break down complex tasks into smaller, more manageable sub-issues.
• Command Palette: Zenhub has introduced a new command palette, providing a more efficient way to navigate and interact with the platform. This feature improves user experience and streamlines navigation within Zenhub.
• Smart Pipelines: Zenhub has introduced “Smart Pipelines,” offering a new level of flexibility and customization for managing workflows within Zenhub Workspaces. This feature allows teams to tailor their workflows to their specific needs and preferences, improving efficiency and adaptability.
• Predicted Sprints: Zenhub’s “Predicted Sprints” feature uses AI to predict sprint outcomes and assist with sprint planning, improving accuracy and efficiency. This feature leverages AI to provide data-driven insights for sprint planning, helping teams make informed decisions and optimize their Agile processes.
• Slack Integration: Zenhub’s new Slack integration allows teams to interact with and update Zenhub directly from their Slack workspace. This integration enhances collaboration and communication by allowing teams to manage Zenhub tasks and updates without leaving their Slack environment.
• Last Seen Column: In Zenhub Enterprise, a new “Last Seen” column has been added to the Users list in the settings area. This feature helps administrators identify and remove inactive user accounts, optimize license usage, and manage costs.
• Milestone Improvements: Zenhub Enterprise has improved its support for GitHub Milestones. This includes enhancements to the Velocity Report, Milestone Report, and roadmap visualization, providing better integration and functionality for users who rely on GitHub Milestones.

Customer Feedback & Testimonials

The brand’s website is replete with glowing customer feedback, a sure testament to Zenhub’s usefulness in project management and time-saving.

Growth & Future

Challenges and Risks

• Competition: Zenhub operates in a highly competitive market with established players like Asana, monday.com, and Smartsheet, who offer a broader range of functionalities and target a wider audience.
• Maintaining Niche Focus: Balancing the need to expand features while staying true to their core focus on software development teams within the GitHub ecosystem presents an ongoing challenge.

Future Plans

• Platform Expansion: Zenhub is likely to continue expanding its platform’s capabilities, as evidenced by their recent release of Zenhub Enterprise 4.3.0 with new features and improvements.
• Market Reach: Securing funding rounds suggests ambitions to expand their market reach and attract larger development teams.
• AI and Automation: Given their focus on “engineering intelligence,” Zenhub will likely further integrate AI and automation to enhance their platform’s capabilities and improve developer productivity.

Key Takeaways for Entrepreneurs

• Solve a real pain point for a specific niche: Zenhub identified a genuine problem faced by software development teams using GitHub – the need for seamless project management within their existing workflow. Don’t try to be everything to everyone; focus on solving a specific problem for a specific audience.
• Integrate, don’t just connect: Zenhub’s success lies in its native integration with GitHub, going beyond superficial connections. Strive to deeply integrate with existing platforms or workflows your target audience use, offering a truly unified experience.
• Leverage existing data for unique insights: Zenhub capitalizes on readily available GitHub data to provide valuable project insights. Think about how you can leverage existing data sources within your chosen niche to offer unique value and differentiate yourself.
• Embrace automation and AI: Zenhub incorporates AI and automation to streamline development processes. Explore how AI and automation can enhance your product or service, improving efficiency and accuracy for your users.
• Don’t underestimate the power of a focused target audience: Zenhub’s laser focus on software development teams using GitHub has allowed them to tailor their product, messaging, and marketing effectively. Clearly define your ideal customer and tailor your efforts to resonate with their specific needs and pain points.