Israeli customer relationship management (CRM) platform Optimove, has raised $75 million in a fresh funding round, the company announced earlier this week.
The cash investment was led by growth investors Summit Partners. This is Summit Partners’ first investment in an Israeli company, the company said. Summit Partners is Optimove’s first US-based investor and the firm has also become Optimove’s primary investor, buying all shares of previous investors.
The funding will help further accelerate Optimove’s rapid growth through strategic hiring, mergers & acquisitions, and broadening its current platform.
Summit Partners’ Managing Director Steffan Peyer, and Head of Europe, Han Sikkens joins the company’s Board of Directors.
Founded in Tel Aviv in 2012, Optimove’s SaaS technology combines a Customer Data Platform (CDP) with a Multichannel Marketing Hub (MMH) to empower brands to personalize campaigns and communicate to existing customers. The software’s AI elements enable it to scale this personalization to serve each customer with the optimal message and promotion, across websites, email, Facebook, Google Ads, text messages, push notifications, and other channels.
More than 500 customers use the brand, including Papa John’s, Staples, and Varsity Tutors.
“In the last 18 months, digital consumption grew like never before. The cost of acquiring new customers has skyrocketed, and brands understand today that they must invest in their existing customers in order to drive growth,” said Pini Yakuel, Optimove CEO and founder. “We see more and more brands facing a new challenge when attempting to scale their personalization. We built Optimove to solve that challenge and offer marketing teams direct access to their customer data, the ability to build, test and optimize their CRM campaigns, and leverage our AI engine to assure every customer receives the message of highest impact on their lifetime value, through the optimal channel, at any given time.”
“Israel is producing more unicorn valuations than any other country in Europe and there’s been an uptick in its activity on the public markets as well, so it has had our attention for a while,” said Peyer from Summit Partners, “Optimove emerged for us as the leader in the rapidly-growing CRM market for the strength of its technology, its strategy and executive team. Under Pini’s leadership Optimove is poised to take the lead on market consolidation and growth.”