Rep AI, creator of the world’s first AI Concierge, has just landed $8.2 million in funding. The round was led by Osage Venture Partners (OVP) alongside participation from Flashpoint Venture Capital, which recently backed Whizz and Bob W, and Oryzn Capital.
The investment will fuel further development of the company’s e-commerce sales tool.
What challenge does it tackle?
Every day, hundreds of millions of shoppers struggle to shop online. They have too many choices, not enough budget, uncertainty about product quality, and decision fatigue. Given that e-commerce conversions are abysmal, and not much has been done to fix that to date.
Realising that AI could eliminate some of these complications, be a better shopping guide for people, and become the best sales rep one could have interacted with, Rep AI was founded in the US as a plug-and-play, conversation-based interface. This AI Sales Concierge leverages behavioural AI and LLMs to help e-commerce merchants turn browsers into buyers.
What does the company do?
Founded in 2019 by Yoav Oz alongside Shauli Mizrahi, his best friend and fellow engineer, to build the first sales concierge for e-commerce. Its technology leverages behavioural AI to analyse each shopper’s browsing patterns, allowing it to anticipate when assistance is most needed.
A shopper might benefit from the support the AI tech proactively offers help, giving the shopper the option to engage for the remainder of their shopping journey. By providing tailored product specifications, personalised recommendations, and relevant information, Rep AI enhances the overall shopping experience and drives higher sales.
Merchants are touted to have achieved 30x ROI within the first month of implementation. At the same time, they garner valuable insights that enable them to refine their product offerings and deliver even better customer experiences.
“While technology has changed immensely in the past 15 years, e-commerce has largely stayed the same – and so has its historically poor conversion rates. Rep AI is the evolution the industry has so desperately needed,” commented Yoav Oz, co-founder and CEO of Rep AI. “Unobtrusive and completely customisable to match each merchant’s product catalog and brand personality, it brings any sized business the benefits of a highly skilled sales expert that also happens to be infinitely scalable.”
Investors’ views
“Rep AI’s innovative use of cutting-edge AI to provide personalised sales assistance at scale has the potential to redefine customer experiences and boost conversion rates across the e-commerce industry,” said Sean Dowling, partner at OVP. “We are excited to lead this round and look forward to supporting Rep’s continued growth and innovation.”
“Rep AI brings a refreshing new approach to online sales, and it has already begun to realise its great potential,” said Lior Segal, partner at Oryzn Capital, which specialises in supporting Israeli-founded startups in Software, AI, and subscription-based companies. “The company’s technology enables merchants to provide personalised sales assistance at scale, and we anticipate this solution will become a new standard in the market in the near future.”
“Rep AI fills the need to consult with a professional while purchasing online. Especially for first-time shoppers at any given site, consumers want more information and assurance before making a buying decision,” said Noam Wolf, partner at Flashpoint Venture Capital. “In that perspective, eCommerce today is broken, leading shoppers to experience distrust and anxiety. Rep AI solves this problem, assisting both shoppers and eCommerce businesses to have a better experience.”
What do we think about Rep AI?
Rep AI is poised to revolutionise e-commerce by addressing the long-standing issue of low conversion rates through its AI-powered Sales Concierge. With personalised, real-time assistance tailored to individual shopper behaviour, it enhances the customer experience and drives sales. With its scalable solution, Rep AI can transform how online retailers engage with customers, setting a new standard for personalised e-commerce interactions and potentially boosting overall industry conversion rates.
