Admazely, a new Copenhagen-based startup, seeks to help small and medium sized webshops to take advantage of advertisement retargeting to help drive unsuccessful sales back into a webshop where they saw the item. This practice has helped larger e-commerce retailers boost click-through rates by as much as 600% by tracking webshop visitors, identifying they did not complete a transaction, then showing them an ad on a third-party website for that particular shop of product.
This particular style of advertising is successful, but has huge barriers to entry for smaller players to get into. Perhaps due to this, Admazely was alble to grab €600k in seed financing in a round led by SEED capital with business angels Martin Bochineck and Christina Rind participating.
The team behind Admazely has been working on the concept since last summer, where they've been focusing heavily on the R&D behind the project. To make it as easy as possible for smaller e-commerce sites to support dynamic ads without complicated plugins, AdMazely somewhat scrapes the front-end of the webshop and uses AI to determine what a product is, and find a name and picture to go along with it. These matched items are then presented in a UI a shop manager can use to confirm and preview.
Then to serve the ad, Admazely uses cookie matching to pass a visitor's cookie from an e-commerce site cookie on anonymously to advertising networks. Admazely must then serve up dynamic content to exclusive audiences in real time, which is a engineering challenge in itself.
Admazely will run on a somewhat standard pay per click model where advertisers will decide how much they are willing to pay per click, and work off a monthly budget. "What we want to do is something that takes away all the nonsense complexity in the retargeting space. I'm confident we can get 80% of the value with not even 20, but 5% of the effort" says founder and CEO, Peter Vilsholm Therkildsen Schlegel.
The startup should be launching with some select retailers in the first half of May. It should be really interesting to watch this startup and see if they're able to capture the 95% of e-commerce sites that do not take advantage of advertisement retargeting.
“We’ve been following the team for six months and have rarely seen a group of individuals with as much talent and dedication," Niels Vejrup Carlsen of SEED Capital. "They have shipped code aggressively and according to schedule. They solve a hard problem in an industry that we believe is ripe for a bit of disruption. Their customers are excited about their product. In other words, they have the characteristics of a game-changing company and we’re proud to be behind the team.”