PITTSBURGH, Nov. 29, 2022 – Netail, a technology that enables retailers to automatically identify competitors on the Internet and track their assortments, availability, and optimize pricing in real time, today announced the close of a $5 million seed funding. The round was co-led by Magarac Venture Partners (MVP), which provides seed-stage venture capital to dynamic entrepreneurs and successful technology companies throughout the Midwest, and Dr. Andrew Ng’s AI Fund. Other investors include HKSTP Ventures.
Consumer behavior has changed dramatically and the majority of purchasing decisions are now made online through search, marketplaces and social media. As retailers struggle to adapt, Netail’s AI technology is designed to help them succeed in attracting, converting and retaining customers in these increasingly competitive digital arenas. Real-time data and decision-making is essential for retailers to better understand how products are positioned.
Founded in 2022 as part of Landing AI, Netail will now develop its breakthrough artificial intelligence (AI) technology in Pittsburgh, Carnegie Mellon University’s home and technology hub, while maintaining a presence in Palo Alto. Netail’s latest round of funding will be used to enhance current product offerings and expand its team of retail, AI and software engineers. Additionally, Netail will leverage MVP’s deep ties to the Midwest to win customers, recruit talent and attract new partners.
With customers already spanning three continents, Netail will also expand into the APAC region by opening an office in the Hong Kong Science and Technology Park. With AI Fund’s deep domain and international expertise, Netail is poised to help retailers conquer the digital consumer worldwide.
Netail CEO Mark Chrystal said: “As shopping has been transformed, retailers need to recognize that their competitive universe has grown a thousandfold and, as a result, prices, features, availability and convenience products are at the heart of a daily battle to win each and every customer. That’s what Netail is focused on, helping retailers around the world to digitally differentiate themselves from the competition.”
Netail’s funding comes at a time when U.S. retail e-commerce sales are expected to top $7.9 trillion in 2026, according to Statista forecasts. Last year, retail sales in the United States alone were valued at $6.58 trillion. Today, online sales account for more than 14% of all retail sales in the United States and are expected to grow to nearly 22% by 2025.
“Under Mark Chrystal’s leadership, Netail has developed a compelling product that helps retailers adapt to the rapid changes in consumer behavior we’ve seen over the past few years,” said AI Visionary Andrew Ng. , CEO of Landing AI and now President of Netail, “To help win over and retain the modern consumer, many of whom now make online and offline purchases using online search and marketplaces, the Netail’s analytics solution provides in-depth customer and market visibility, and provides data to directly help retailers optimize key assortment, buying, merchandising and pricing decisions.
“Netail is uniquely positioned to tackle today’s retail landscape thanks to the team’s extensive background in AI and understanding consumer behavior,” said Jay Katarincic, partner at Magarac Venture Partners. “We are delighted to partner with Mark and Andrew for this next step in the business.”
Netail is easy-to-use technology that helps retailers see their market from a customer’s perspective and the thousands of alternative buying options that are now available through online shopping and search. Netail scans the web and automatically identifies competing products, providing real-time competitive intelligence for pricing and assortment decisions. Using business rules and AI-powered optimization, Netail helps retailers attract and convert more customers, without sacrificing brand values. Without Netail, retailers face significant increases in digital marketing spend and declining ROI. The company is backed by Magarac Venture Partners, AI Fund and HKSTP Ventures.
#Netail #Closes #Seed #Funding #Advance #RetailFocused #Development