Not every brand made a successful pivot after the Pandemic. It cost them quite a bit. Billions of dollars were wasted on failed, delayed or scaled-back projects in 2020. According to the survey, over four-fifths of companies were prevented from pursuing digital transformation projects due to the staffing, resources and expertise needed.
Delayed or wasted projects can have consequences that go beyond cash. Jonathan Cherki founded Content square to allow businesses to track online customer behavior to inform digital strategies.
Cherki was fascinated by the gap between the digital experiences brands thought they were offering and what consumers were actually getting. My goal is to change the way companies work by creating a data driven culture that is accessible to everyone. I want to help create a world where digital interactions improve our lives.
Content square was developed by Cherki as a college student. He has been the company's CEO since 2012 and moved the company's headquarters to New York last year.
Contentsquare has grown into a giant with 17 offices around the world and more than 1000 enterprise customers. The company closed a $600 million Series F round at a $5.6 billion valuation, which is double the valuation of Contentsquare. The equity and debt are split. Given the current economic climate, it is still a remarkable amount.
Sixth Street Growth led the warranting of the investment. He says the new cash will be put toward R&D efforts, geographic and market growth, as well as launching as many as three new products within the next year. Contentsquare has over 1,500 people and will be looking to hire more.
Contentsquare's main focus is on web and app analytics. Cherki said that the platform helps businesses access a deeper understanding of their customers.
The company's technology records user interactions in web pages and in apps to help steer a company's content decisions The platform tries to find areas for improving revenue and experience, delivering metrics andsession replays that reconstruct the steps individual visitors took on Contentsquare-tracked websites.
The platform can be used to integrate with web apps and other systems.
The solution analyzes 3,200 billion customer interactions a month on sites that process 2.5 billion transactions a day. Cherki said that over one million websites worldwide use Content Square. The shift to digital was accelerated by the Pandemic and highlighted the gaps in online experience. The macroeconomic climate has highlighted the importance of having a great customer experience for businesses of any size.
Cherki says that annual recurring revenue is in the range of hundreds of millions of dollars. Policymakers in the U.S. and abroad are looking at restrictions on the amount of data advertisers can collect for targeting purposes. Both anticipating this and responding to the growing consumer appetite for enhanced privacy protections, vendors such as Apple have released privacy-forward features that threaten to disrupt the behind-the-scenes mechanics of many tracker.
Contentsquare launched a cookie-less customer experience analytic product last year, according to Cherki. Cookies are text files that websites use to monitor visitors and remember certain information about them. Contentsquare has acquired upstride and Hotjar to further its machine learning and small- and medium-sized business ambitions.
Content square operates a nonprofit foundation to promote digital accessibility in areas like education and corporate social responsibility. Contentsquare launched an incubator to help fuel the growth of other startups in the field.
It will be interesting to see if the moves are enough to keep the increased competition at bay. A platform that helps companies improve their websites and apps by gleaning feedback from users raised $200 million in January. FullStory landed $103 million at a $1.8 billion valuation in August of 2021. AirKit and Glassbox have grabbed tens of millions of dollars to develop products that maximize customer journeys on web and mobile apps.
There is no shortage of new customers according to some surveys. Ninety-six percent of executives said that they have invested or plan to invest in data integration, data integrity and data enrichment technologies for customer experience in the future.
The budget and resources are less than before. Cherki said that the company is focused on helping customers succeed by empowering them with the customer insights that will help them create outstanding experiences. Contentsquare has many competitors but the strength of the platform is that it is a one stop shop for experience analysis. We want to make the digital world more human by empowering businesses to access a deeper understanding of their customers, to take intelligent action at scale, and to build experiences with trust at the core.
SoftBank Vision Fund 2 is one of the previous investors. The company has a warchest of more than $1 billion.
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