UK-based marketing technology startup SegmentStream has raised $2.7 million in seed funding for its ‘cookie-free’ online marketing analytics solution. The round was led by VC fund Fort Ross Ventures, based in Israel and Silicon Valley, OKS Group, and a group of angel investors, including Liad Agmon of Dynamic Yield, and Ragnar Sass, Martin Henk and Martin Tajur of Pipedrive.
The startup addresses the challenge of determining attribution and return on ad spend (ROAS) for online paid ads, an issue that is rapidly becoming critical with the imminent death of the cookie.
Established by Pavel Petrinich, Oleg Katryshev, and Constantine Yurevich, the startup’s cookie-less, future-looking solution focuses on predictive attribution. It provides marketing teams with valuable data that they can feed back into ad platforms like Facebook Ads and Google Ads to automate ad optimisation. In this way, it helps marketing teams more accurately gauge the value of marketing channels and campaigns which don’t directly drive sales.
“It is technologically impossible to rely on the old cookie-based approach for the proper calculation of ROAS, since most advertising clicks don’t get the credit they deserve. The clock is ticking for marketers to find a viable alternative to cookie-based ad tracking,” said Constantine Yurevich, co-founder and CEO of SegmentStream.
The platform aims to resolve this difficulty by applying proprietary machine learning (ML) algorithms to analyse first party user behaviour data, in order to evaluate the incremental performance of each marketing channel and campaign. SegmentStream provides marketers with “Probabilistic Conversions,” namely insights which demonstrate the actual contribution of each traffic source towards future sales.