Advertising, particularly online advertising, isn't a sure fire way to increase business. In 2015, 75% of retailers that spent at least $5,000 on Facebook ads ended up losing money, with the average return on investment landing in the low six figures. That is just one segment of retail. The picture doesn't improve even after broadening out. 26% of companies waste their budgets on inefficient ad channels and strategies according to a survey.
The CEO of Mutiny believes that the problem doesn't lie with the ads themselves. She pegs it on static, templated websites that don't match the personalization delivered by ads. When buyers follow an ad online, they often land on a generic website without a targeted call to action, and leave not knowing why they should buy.
I faced the problem of conversion when I ran marketing at Gusto. We solved the problem by creating a growth engineering team that wrote a lot of custom code to drive customers to buy. Most companies don't have the engineers or know-how to do that.
Mutiny raised $50 million in a Series B round co-led by Tiger Global and Insight Partners at a $600 million valuation.
Every CEO and C-level executive wants to grow revenue. Over the past decade, companies like Facebook and LinkedIn have made it easy for companies to get in front of their target buyers online.
Prior to co-founding Mutiny, Rezaei was the director of product marketing. She joined the marketing team at Gusto, a payroll management platform.
LiveGit is an online tool for real-time music collaboration. He went on to lead the developer infrastructure team at Gusto. Rezaei and Mathew worked together.
An example of website copy.
The idea behind Mutiny was to develop an artificial intelligence system that could learn from a company's online data to give guidance to their customers. Mutiny recommends segments for personalization and shows companies how to personalize them. It might suggest to an enterprise company that small startups don't convert well on their website, and then show them how rivals personalize their homepages.
Visitors completing a desired goal, whether that is purchasing a product or simply volunteering their contact information, is referred to as conversion.
Today, companies can use a longtail of manually-intensive alternatives such as connecting data to A/B testing tools, creating hundreds of landing pages, or hiring growth engineers and data scientists to manually connect and analyze data, ideate and custom build solutions for different customer.
Mutiny's artificial intelligence learns from different customers and can generate copy for a website based on what has worked for another brand. Rezaei claims that the data is completely anonymous, never shared nor sold, and compliant with relevant privacy laws. Mutiny taps GPT-3, an artificial intelligence system that can generate human-sounding text. Mutiny initially applied GPT-3 only to site headline suggestions, but eventually began applying the model to whole-page generation.
Our artificial intelligence learns from a proprietary data set of hundreds of standardized buyer attributes and the content that leads them to convert. We layer this on top of the text data from GPT to generate high-converting website copy.
Mutiny competes with rivals in the personalization space. The company has a lot of steam behind it. About 50 million people across more than 3 million companies have seen a website personalized by the platform that Mutiny uses. In the fiscal quarter of 2022, revenue is on track to double.
The skills gap in marketing will be a driver of growth. According to a Clevertouch Marketing survey, more than 70% of companies think marketing talent is more important than technology. In the startup space, few companies have a competency in converting spend into revenue.
The Pandemic has forced most commerce and purchasing online for every company. This is compounded by the funding market where companies are raising mega-rounds, the majority of which is earmarked for rapid growth. Most companies can hire the talent and access the technology needed to advertise, distribute content and raise awareness online, but they don't have command of efficient online spend.
Another page was created by Mutiny's engine.
Mutiny will have to convince potential customers that it can overcome the limitations of personalization engines. When executives have unrealistic expectations, artificial intelligence without rich data sets can fall short of accuracy benchmarks.
The result is a fully guided experience for marketers to drive revenue faster.
Mutiny's Series B was invested by a number of people, including executives from companies like Visa, Square, Figma, and Cond. The company plans to double the size of its team to 40 by the year 2023 and invest heavily in its artificial intelligence technology.
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