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Exclusive: Fermat raises $17M for marketing's personal data challenge

Mar 13, 2024
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Illustration: Shoshana Gordon/Axios

Fermat raised a $17 million Series A to help retailers reach more customers without collecting personal data, CEO Rishabh Jain tells Axios exclusively.

Why it matters: As cookies fade into obscurity, retailers need more channels to personalize customer experiences and drive better conversion.

What they're saying: Traditional forms of customer acquisition and conversion aren't working as well in a world impacted by privacy laws and Apple's IoS changes, says Bain Capital Ventures partner Scott Friend.

  • "This sort of initial premise that if I can make my paid social actually perform well again, and I could put more money into paid social, was really attractive to the brands that were experimenting with it," Friend says.

Zoom in: Bain Capital Ventures led the raise, with participation from Greylock Partners, QED Investors and Courtside Ventures.

  • The company has raised over $30 million to date.

How it works: Fermat allows retailers to dynamically create custom stores, or landing pages, that consumers can shop from, off of paid social ads.

  • Its platform can support various iterations of a retailers' storefronts, delivered in a personalized way to the consumer.
  • "You have the added capability of being able to improve that experience as we see more and more consumers interacting with that experience," Jain says.

At the same time, Fermat can give retailers relevant information about customers (without obtaining their personal data), like products they like or discounts they may have seen.

  • Fermat's premise is that it creates "a shopping journey based on how I got there, not just based on my immutable characteristics,' Jain says.

The bottom line: "Our mission is to make it possible for brands to create the most engaging experiences for consumers when they cannot identify who you are," Jain says.

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