Bengaluru-based product discovery platform for e-commerce Unbxd has raised $12.5 million in fresh funding led by Eight Roads Ventures, the investment arm of financial services firm Fidelity International Limited.
Existing investors IDG Ventures, Inventus Capital Partners, Nirvana Ventures and Infosys co-founder Kris Gopalakrishnan also participated in the round. Avendus Capital was the advisor to Unbxd for the Series C round.
"Traditional rules-based e-commerce technology is hard for retailers to manage while also delivering a poor experience for their shoppers. With a better AI solution in place, retailers are more competitive because shoppers can more easily buy what they seek," said Pavan Sondur, co-founder and CEO of Unbxd, in a statement.
Unbxd will invest a substantial portion of the capital raised in its latest round for improving its AI platform, which it says allows e-tailers convert anywhere between 15-40 per cent of customers who might have dropped off due to poor product discovery on their platforms.
The firm says its proprietary Intelligence Engine today captures and processes more than 50 shopper data signals, to power personalised search, navigation and product recommendations on e-commerce sites. Apart from investing in technology, it will also open new offices in Chicago and New York.
"Unbxd has a great product/market fit, and now is the right time to accelerate its go-to-market strategy. E-commerce product discovery tools represent a multi-billion-dollar opportunity globally and Unbxd is well positioned to emerge as a leader in the space," said Raj Dugar, Managing Partner, Eight Roads Ventures.
Unbxd counts US-based e-commerce firms such as Ashley HomeStore, Express and FreshDirect as its customers, helping it grow by over 400 per cent in the last one year.