Online retailers are investing heavily in marketing tools to try to capture a bigger slice of the $1.9 trillion global e-commerce market.
Springbot Inc., a five-year-old marketing automation startup, announced on Thursday that it has raised $10 million in funding to capitalize on the trend. The round was led by the growth capital arm of Harbert Management Corp., an alternative investment firm that has about $4.4 billion in assets under management. It was joined by Tech Operators and TTV Capital.
The latter funds are both based in Springbot’s home city of Atlanta, where it plans to step up hiring as part of a new growth initiative. The startup’s efforts will focus mainly on widening the adoption of its namesake marketing platform. Delivered from a cloud as a subscription-based service, the product promises to help retailers take better advantage of the sales data that buyers generate on their websites.
Springbot can collect usage statistics from a company’s shopping cart and combine them with visitor information to identify potential weak spots. If a retailer is looking to boost its website traffic, for instance, the service will generate recommendations on how to draw more users. Its analytics dashboard also provides insight into buyer demographics that enables marketers to tailor their promotions for specific groups.
One segment that represents an especially big priority in the e-commerce world are consumers who check out a certain product but don’t end purchasing it for one reason or another. Springbot enable marketers to act upon the audience data produced by its service through integrations which services such as AdRoll, which makes it possible to display tailored ads for users who abandoned their shopping carts.
Besides hiring more personnel, the startup will use its new funding to expand upon these analytic capabilities. According to its funding announcement, one of the first items on Springbot’s roadmap is a “marketing data co-op” that will enable customers to share audience information with one another and find new sales opportunities.
Springbot has raised a total of $20 million to date from seven backers.