RetainIQ, an e-commerce marketing company, announced on February 22, 2022, that it had raised $2.3 million in a seed round of funding led by venture capital firm Accel Partners. The investment round also saw Hauz Khas Ventures, Creator Collective Capital, and other prominent individual and institutional investors.
RetainIQ, launched in June 2021, will use the raised capital to rapidly scale its operations, accelerate product development, and expand its core teams across engineering, product, sales, marketing and operations.
Startup leveraging communication for customer retention
Founded just six months back by serial entrepreneurs Sitakanta Ray, Arpit Gupta and Sulakshan Kumar, the software platform enables e-commerce stores and brands globally to convert and retain their customers by leveraging communication automation on Email, Whatsapp, SMS, Push and On-site.
By empowering brands to deliver personalized experiences across all customer touchpoints from a single, integrated digital marketing dashboard, the startup solves the issues of conversion and retention faced by many e-commerce platforms. In this way, RetainIQ is heading a paradigm shift in the way brands and customers communicate.
āThe global retail industry is currently experiencing a generational shift. The future always lay in e-commerce, and the pandemic only accelerated this shift. Shopify has offered online retailers a safe space to grow, and in the process has become a huge entity ā worth over $100 billion and harboring multiple unicorns within its ecosystem,ā said Arpit Gupta, co-founder of RetainIQ.
āDespite all this, typical e-commerce conversion rates hover between 1 to 3 percent. With increasing ad costs, focusing on improving conversions and retention becomes more important. Thatās why the services offered by RetainIQ are so integral to e-commerce platforms,ā added Arpit Gupta.
Using AI to improve customer interface
The startup helps to deliver personalized experiences across all customer touchpoints from a single, integrated digital marketing dashboard. It enables brands to segment and sends personalized messages powered by AI to their customers at scale.
āAs acquisition costs continue to grow for e-commerce brands, customer retention is coming into prominence. Weāre excited to back RetainIQ to solve the retention challenge that we think can lead to a massive opportunity. We believe their team of repeat founders have the right background and expertise to address this problem,ā said Subrata Mitra, Partner at Accel Partners India.
