Algorithmic platform CommerceIQ has closed a Series C funding round of $60 million. This funding round was led by the venture capital and private equity Insight Partners that is behind market-changing brands like Shopify, Hello Fresh, Twitter, and Wix, among others. The existing investors Shasta Ventures, Trinity Ventures, and Madrona Ventures had also participated in this funding round of the firm.
The firm aims to utilize the fund for international expansion, product research and development focused on further maximizing brand revenue and profitability on Amazon, Instacart, Walmart, Target and other online marketplaces. The company is also intended to significantly scale its operations in India, with additional key hires in software and product development, data science & analytics, product operations and support.
Founded in 2012 by Guru Hariharan, CommerceIQ leverages analytics, machine learning, and automation to optimize the e-commerce channel across the supply chain, and marketing and sales operations functions to win the consumer at the moment of purchase and drive profitable market share growth. Headquartered in Mountain View, CA, the brand maintains a significant India presence, with more than 110 of its team members employed in its Bangalore location.
Guru Hariharan, CEO of CommerceIQ, said that “With a 40 percent growth in ecommerce this year itself, it is imperative that brands apply automation and machine learning to manage their business online. The tried-and-true methods that were perfected for brick and mortar simply do not work online. Our customers are using our platform to win in ecommerce, by harnessing real-time visibility to all aspects of the operation within a single source of truth to drive automations at scale.”
He further added in the statement that, “The technology behind our successful platform was developed in India and our presence in the region is critical to sustaining our future growth. In the last two years in India itself, we have doubled our headcount and as we move forward. These all operations will be a pillar of the overall growth of the company and our ability to deliver on our ambitious product roadmap. With such a talented and passionate team, we also expect India to be a cornerstone to our future market expansion into Asia-Pacific as a whole.”
Nikitas Koutoupes, Managing Director at Insight Partners, who will be further joining the CommerceIQ’s board, said, “It is not necessarily obvious that most of digital commerce is thriving through indirect channels, like Walmart, Amazon, and the like, with only 15 percent occurring through brands’ direct efforts.” He further added that “CommerceIQ’s unique focus on indirect channels is helping large brands deliver on the metrics that matter and win the lion’s share of the ecommerce market in a post-pandemic world. We couldn’t be more excited to welcome CommerceIQ to the Insight portfolio.”
Currently, the company claims to have more than 2,200 brands that use the technology on daily basis to increase the share of voice (20 per cent on average), pump up incremental sales (40 per cent on average), and enhance profitability (20 per cent on average). CommerceIQ has raised $81 million to date, which portends its future growth as the category leader for algorithmic e-commerce management.