Ocurate is raising $ 3.5M to highlight customer life value for B2C companies - TechCrunch
Ocurate, a start-up using artificial intelligence to predict customer life value for e-commerce businesses, brought in around $ 3.5 million worth of seeds.
Sponsors in the tour include 8-Bit Capital, DCF Capital, Data Community Fund, AIX Ventures, Italmobiliare, Streamlined Ventures and some individual strategic angel investors such as Adam Metzger and Mazen Al-Jubeir.
Tobi Konitzer, founder and CEO of Ocurate, founded the company in July to establish lifelong value as the organizing principle for business-to-consumer companies. Former co-founder and CEO of PredictWise, Konitzer told TechCrunch that the company's "secret sauce" as a deep SaaS machine learning framework is superimposed over Ocurate's proprietary and advanced messenger data the 90% accuracy in predicting human behavior.
Currently, companies use self - assessed metrics, and often look at cost per click or action and then save. Konitzer believes that lifetime value is a better predictor of the amount of profit a customer can bring to the company.
The Ocurate database started with voter rolls and has now collected data from more than 300,000 Americans, he said. It also pulls in data from clients; for example, if you are a Netflix subscriber, the data may include login data, telemetry data and past purchases.
“Ocurate technology allows our customers to perform lifelong value-added tasks with confidence at every stage of the lifecycle, which has a significant impact on the overall business of our customers with potential upgrades. a total profit margin of over 15%, ”said Konitzer. “Lifelong value should be the thing that governs everything. ”
Founded five months ago, Ocurate already works with four delegates - with dozens in the pipeline - and has raised more than $ 400,000 in annual revenue since its launch. floating.
Two of its customers, Wild Earth and eSalon, say they are already getting good views. Tamim Mourad, co-founder of eSalon, an e-commerce site for hair color, said the company had tried for years to build its own value-in-life model to better predict, but the data science team did not. aca. With Ocurate, it can now build more accurate forecasting models to better target and segregate clients, and understand where the company historically sits.
Steve Simitzis, chief technology officer for pet food company Wild Earth, said it aims to retain consumers and reduce mashing, but traditional ways of doing this often involve running after customers, which is both weird and expensive.
“My favorite thing about Ocurate was that they focused on giving good awareness to customers who were likely to churn out so we could celebrate our efforts,” he said. e. "For every customer, they will give you two numbers, apparently churned and trusted."
At the same time, the new funding will allow Ocurate to make its product available to the public in 2022, double its team from seven employees to 14 and further invest in integration, data science and learning capabilities tools.
Next, the company plans to build another round in the second quarter of 2023, and Konitzer said Ocurate is on target to have 20 customers by the end of next year.
“At the very beginning of realizing the value of life, we need to show that we are influencing the way it works, but fundamentally, this is who you should reach out to at different levels, and this how much money you put into this, ”Konitzer said. “We are building a recommendation system. ”