⚰️ Funeral Home Software Roll Up & Payments Strategy

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Roll-Up Playbook: Funeral Home Software

How Tribute Technology Makes Money

Before diving into Tribute Technology’s investment thesis and history, let’s break down its four core revenue streams:

⛪ 1. Funeral Home Management Software
Tribute Technology charges recurring subscription revenue for their end-to-end funeral home management software suite, which includes

• Case Management – Digital handling of paperwork for funeral directors.

• Digital Whiteboard – A centralized hub for scheduling services, tasks, and staff assignments.

• Staff Management – Tools for task assignments, RSVPs, and communication via built-in SMS/messaging.

• Operations Management – Tracks vehicle bookings, maintenance schedules, and other business logistics.

• Financial Integration – Syncs with QuickBooks Online and other accounting systems.

• Inventory Management – Monitors funeral products and supply levels.

• Family Communication Portal – Secure platform for sharing updates and information with clients.

• Compliance Management – Ensures adherence to industry regulations.

🛒 2. Websites & E-Commerce
Tribute Technology sells custom funeral home websites with built-in e-commerce, driving additional payments revenue:

• Mobile-Friendly Websites – Template-based but customizable to match each funeral home’s brand.

• Personalized Memorial Products – Includes Tribute Book and Tribute Video for families.

• Tribute Wall – An interactive online space for condolences and shared memories.

• AI-Powered Tools – Features like the Tribute Obituary Writer use AI to quickly craft unique obituaries.

• E-Commerce Capabilities – Tribute Store integration allows funeral homes to sell sympathy gifts, flowers, memorial trees, and keepsakes.

💳 3. Payments
Tribute Technology earns transaction fees (as % of purchased amount) on funeral home services and e-commerce purchases, embedding its payment solutions into its software and website offerings for seamless transactions:

• Online Payments – Families can pay securely using credit cards or eChecks.

• Life Insurance Assignments – Funeral homes can receive insurance payouts within 24 hours.

• Split Payments – Enables multiple family members to split funeral costs easily.

• Crowdfunding Integration – Allows families to raise funds for funeral expenses directly on the platform.

📢 4. Marketing / Advertising Services
The company also offers marketing services to funeral homes to drive online traffic and revenue growth:

• Social Media Marketing: Engaging posts and high-performing ads tailored for the funeral industry

• Search Engine Marketing: Increases website searchability and relevance to help funeral homes outrank competitors

• Behavioral Marketing: Uses data from online obituaries, website traffic, and social media to drive spending from families purchasing funeral home services

Tribute Technology has established itself as a one-stop-shop for funeral homes. As we will cover in the company history, the one-stop-shop strategy was a very intentional maneuver executed by PSG.

Investment Thesis

Funeral home industry is attractive in many aspects, which is why PE has also been active in rolling up funeral homes. Software vendors like Tribute Technology also benefit from the same underlying trends:

🧑🏼‍🤝‍🧑🏼 1. Large market with unsophisticated mom & pops
The global funeral services market is a large and steadily growing industry, valued at approximately $70 billion, with an annual growth rate of ~7%, according to ResearchAndMarkets.

• The U.S. market comprises over 19,000 funeral homes, many of which remain independently owned, despite ongoing industry consolidation 

• The funeral home software sector is also substantial, valued at around $12 billion.

• As funeral homes modernize operations, demand for technology-driven solutions continues to rise, creating significant growth potential for software vendors like Tribute Technology.

👴 2. Baby Boomers driving near-term growth
I hate to say it, but everyone dies—and the Baby Boomer generation is next in line. As I mentioned in last week’s post, Baby Boomers are rapidly entering their final stage of life, creating significant future demand for end-of-life services. 

💰 3. Increasing cost driving payment volumes
Cost of funerals have risen consistently over the years with median funeral costs quickly approaching $10,000. This increasing cost, as well as the additional products (e.g., flowers, sympathy gifts), have contributed to the growth of payment revenue (typically charged as % of total cost).

📑 4. Favorable funding dynamics with life insurance
Fortunately for funeral homes, life insurance policies often cover up to $25,000 for funeral expenses. With over 50% of Americans holding life insurance, this creates a favorable funding dynamic—even as costs rise, funeral homes (and the software companies supporting them) experience low delinquency rates 

Company History

1. Pre-PSG Ownership (2003-2018)

Tribute Technology began as Frazer Consultants, a small, bootstrapped software company founded by Matt Frazer. Initially, the company focused on building websites for funeral homes, later expanding into a niche e-commerce solution for ordering funeral-related products like flowers and ornaments..

2. PSG Ownership (2018–2020)

In 2018, Providence Strategic Growth (PSG) launched an aggressive roll-up strategy in the funeral home software space. As one blog from the American Funeral Association put it:

“Whispers at NFDA 2018 were centered around rumors about the mystery investment firm sending inquiries to what seems like every company functioning in DeathTech.”

PSG came out swinging, announcing the simultaneous acquisition of three key players—Frazer Consulting, SRS Computing, and FrontRunner Professionals. Matt Frazer was appointed CEO of the newly combined entity.

With this bold move, PSG immediately assembled an end-to-end funeral home technology platform, integrating:

✅ Funeral Home Management Software (SRS Computing + FrontRunner Pro)
✅ Website Development (FrontRunner Pro + Frazer)
✅ Digital Memorials (FrontRunner Pro)
✅ Client Communication Management (SRS Computing)
✅ Video & Stationery Production Software (FrontRunner Pro + Frazer)
✅ Marketing & Advertising Services (FrontRunner Pro)
✅ Physical Custom Memorial Products (Frazer)

3. Carlyle & Vista Ownership (2020–Present)

After less than two years, PSG put Tribute Technology up for sale. Following a highly competitive 6-week auction, Carlyle and Vista Equity Partners acquired the company for $1 billion+, reportedly at an 18–20x EBITDA multiple.

Since the Carlyle/Vista acquisition in 2020, Tribute Technology has remained relatively quiet, making only one notable acquisition—MKJ Marketing, a move that further strengthened its marketing services division.

Value Creation Playbook

Beyond M&A—the clear value creation playbook aggressively executed by PSG—there has been little public coverage of Tribute Technology’s trajectory. However, signs suggest the company’s growth has been anything but smooth.

In March 2023, Charlie Cole was appointed CEO. Previously, he led FTD, a flower e-commerce company formerly owned by Nexus Capital. His background seemed like a strategic fit for Tribute Technology, given its e-commerce and funeral services focus.

Yet, just 18 months later, in October 2024, Cole suddenly resigned. His departure was accompanied by simultaneous resignations from the CFO and Head of Transformation, raising questions about the company’s direction and internal stability.

Looking Ahead

Tribute Technology’s website states that the company is now “led by the Board of Directors and an Office of the CEO,” consisting of its President, CTO, COO, and CFO—an indication of ongoing leadership turbulence, with no official CEO replacement announced yet.

What was once a dominant roll-up platform, with nearly 70% of all funeral homes using some version of its technology, now appears to have lost its momentum.

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