Microsoft drives 50-60% of Valimail revenue

The Microsoft partnership turned DMARC from a hard enterprise sale into a built in distribution channel. Instead of persuading every security team from scratch, Valimail gets in front of Office 365 admins at the moment they discover spoofing or deliverability problems, then converts a slice of those free Monitor users into paid Enforce accounts. That helps explain how a relatively narrow product reached 65,000 customers and scaled from $9M ARR in 2019 to about $30M in 2024.

• This works because DMARC is painful to configure by hand. Valimail automates sender approval after a one time DNS change, so an IT admin can approve a new payroll, CRM, or marketing sender with one click instead of editing DNS records every time a vendor changes infrastructure.
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• The channel mix looks more like infrastructure software than classic SMB SaaS. About 50% to 60% of revenue comes through MSPs and partners, and the partner network includes Microsoft, Pax8, Twilio, and Symantec. That resembles Proofpoint, which also built a large partner led motion around email security rather than relying only on direct sales.
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• The result is a broad, shallow customer base. At roughly $30M ARR across 65,000 customers, average revenue per customer is only about $460, far below suite vendors like Proofpoint and Mimecast, whose contracts are usually tied to broader email security bundles and land in the $10,000 to $20,000 range.
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The next step is to use that Microsoft sourced footprint as a wedge into higher value products. As Google, Yahoo, Apple, and Microsoft keep tightening sender authentication requirements, the winners in DMARC will be the vendors that turn free monitoring into paid enforcement, then expand into adjacent workflows like brand indicators, deliverability, and broader identity control.