VisionAI, a Bielefeld, Germany-based startup using AI to provide e-commerce merchants with better search results and cross-selling opportunities, has raised €5 million in a seed funding round.
Led by HV Capital, the round included the participation of Christian Reber (founder at Pitch, Superlist, Wunderlist, and Interface Capital), Niklas Jansen (co-founder at Blinkist), Oliver Flaskämper, Philipp Westermeyer (founder at OMR).
Similar to what competitors Depict and 35up are working on, VisionAI is leveraging AI to offer e-commerce retailers a fighting chance in a world dominated by online giants, namely, Amazon and Zalando.
According to a McKinsey report, more than a third of Amazon’s revenues can be attributed to its recommendation, or cross-selling, engine — a service primarily driven by the massive amounts of expensive, time-consuming, and technically difficult-to-implement, data the company has amassed.
“When selling online, it is crucial that the right person finds the right item immediately. Our tools open the eyes of online shops and thus ensure more sales,” explained VisionAI founder Melvin Schwarz. “With our cross-selling tool, partner shops were able to increase their sales by more than 10 percent.”
Having trained its offer on over 30 million specialised images, VisionAI says its suite of plugins for Shopware 5/6 or Shopify can provide medium-sized businesses with services on par with those of Amazon.
Within the first 15 months of business, VisionAI says it’s been able to generate €1.5 million in sales and is working with some 120 global customers including New Balance and Alpha Industries.
Lead image: VisionAI co-founders Berkan Cinar, Melvin Schwarz, and Julian Meyer (left to right) - Photo: Uncredited