In tomorrow's world, artificial intelligence will undoubtedly play a very important role in many areas. Even if we're still in its infancy, the horizons opened up by AI are of great interest to many entrepreneurs who intend to revolutionize our societies.
Frenchtech Contentsquare, founded by Frenchman Jonathan Cherki, has a clear objective: to use artificial intelligence to analyze the behavior of Internet users and thus improve their digital experience. It's a real success story, as the company is already considered the world leader inExperience Analytics.
What services does Contentsquare offer? What's the future for the startup? Focus on Contentsquare, THE French unicorn.
What is Contentsquare?
In just a few years, Contenstquare has established itself as a benchmark in the field ofExperience Analytics. The Paris-based company has won over numerous customers thanks to its know-how and visionary approach.
Contentsquare, the story
Contentsquare is a story that began in 2012 in Paris. Its founder, Jonathan Cherki, was interested in AI, which was not yet as developed as it is today. So he decided to set up a system that analyzes user behavior on the Web to improve their experience. The aim for companies using this technology is to maximize their conversion rates and increase their sales.
The Paris-based startup is growing fast, and in 2019 launches the takeover of its main competitor, Clicktale. Thanks to this operation, Contentsquare finds itself alone on the market and can now focus all its efforts on improving its program. Today, Contentsquare employs over 600 employees and seven offices worldwide: Paris, London, Tokyo, Tel Aviv, San Francisco, Munich and New York.
The concept
To provide the most effective service, Contentsquare first analyzes the customer journey. This involves studying the behavior of visitors browsing your website or application. This information is converted into data that can be consulted at any time. In another step, mapping allows you to detect potential problems that may have caused users to leave your website. It's then up to you to make the necessary changes to prevent such behavior recurring.
The various problems encountered by customers when visiting your website can lead to a loss of earnings for your company. The platform indicates anomalies (looping actions, page errors, long loading times, etc.) so that you can correct them and propose a digital experience experience.
Finally, since 2018, the artificial intelligence built into the program has given you access to concrete recommendations that can convert your prospects into customers. Artificial intelligence proposes an action plan designed to solve the problems encountered by customers during their visit to your website.
Contentsquare merchandising and Contentsquare APPS
In addition to its program, Contentsquare has launched two modules for an even more complete experience:ย
- Contentsquare merchandising Contentsquare merchandising: this module compiles e-commerce data to give you information on prices, products and customer behavior. With this information, you can choose which products to feature on your site, which elements to use to generate sales, and so on.
- Contentsquare APPS Thanks to this module, you can visualize the path your customers take on your application, as well as the elements that trigger downloads or uninstallations.
Contentsquare offers a complete, high-performance service. That's why the company has invested heavily.
A seductive company
Contentsquare has benefited from funding that has enabled it to achieve unicorncompanies valued at over a billion dollars but not listed on the stock market.
Raising $600 billion
It's the most successful operation yet: Contentsquare has succeeded in raising 600 million dollars. As a result, the unicorn's valuation has doubled from $2.3 billion to $5.6 billion. The financing was achieved thanks to the collaboration of major investors such as Sixth Street, Bpifrance, Eurazeo, KKR, Softbank and the investment bank Liontree. These investors contributed $400 million, which was then supplemented by a $200 million loan from various banks.
With this round of financing, Contentsquare enters the race to become a "decacorne", i.e. a company valued at 10 billion dollars or more. With this new record-breaking round of funding, the unicorn aims to accelerate its investments in innovation and support its international development, particularly in the United States.
The project has the backing of the highest authorities, with the government announcing that it aims to present five "decacorns" by 2025, and ten by 2030. The government's aim is to catch up with the Netherlands and Sweden. All the signs are green for Contentsquare, which intends to continue its meteoric rise.
An impressive customer catalog
The company created by Jonathan Cherki has proved its worth, and its customers are satisfied with the services it offers. Their conversion rate has risen, and so have their profits. This success has convinced many, and the startup, which began as a simple project, is now seeing its customer catalog fill up with major companies.
Rakuten, BMW, Sephora, Gucci, Ikeato name but a few, have chosen Contentsquare to enhance their customers' online experience. The quality of the services offered by the unicorn is well established, and it intends to take advantage of the funding it has received to further enhance its program.
What's next?
The company faces many challenges: international expansion, keeping pace with advances in artificial intelligence, improving services, etc. Despite its promising beginnings, Contentsquare still has plenty of room for improvement.
A booming market
For some years now, AI has been at the heart of the debate. Sometimes mistrusted, sometimes heralded as the tool of the future, there's no doubt that the future is made up of tools based on artificial intelligence. That's why leading entrepreneurs such as Elon Musk are taking an interest and investing large sums in the field.
Today, Contentsquare claims to generate "several hundred million dollars in annual recurring revenue (ARR)". Its sales are growing -considerably- and its target market is estimated at 34 billion dollars. The next few years will therefore be decisive for this unicorn. But there's no need to worry on Contentsquare's side, as Jonathan Cherki declares that he "has a clear vision of its development for the next twenty years".
Towards an IPO?
Despite the profits generated, satisfactory results and seemingly unstoppable growth, Contentsquare's CEO has still not set a date for a potential IPO. For the time being, the startup prefers to concentrate on its primary objectives of improving its services and expanding internationally.
However, the idea of an IPO is not completely ruled out, as Jonathan Cherki explained in a press release: "It's definitely a path we're considering, if only to achieve operational excellence and maturity". In his view, the coronavirus crisis has not impacted the digital world, but has actually reinforced its importance. Online sales, optimized by the system offered by Contersquare, increased considerably with the pandemic: "people started ordering online and will continue to do so", says the CEO. If these predictions prove true, Contentsquare should continue its meteoric rise.
Contentsquare: key information
The workforce
By 2022, the Paris-based company will have nearly 1,700 employees on its payroll.
Sales figures
In 2020, Contentsquare generated sales of 9,700,000 euros.
Going public
For the moment, Contentsquare has not given a date for a stock market listing.
Business and strategic objectives
With annual recurring revenues on the rise, a valuation of over $5 billion and the backing of the French government, the startup has managed to reach new heights in just a few years. Contentsquare's objectives are clear: to expand even further internationally and use the funding received to remain at the cutting edge of technology and offer ever more innovative services.
Scalability
The artificial intelligence market is booming. Online shopping has boomed since the Covid-19 health crisis. All the signs are green for Jonathan Cherki and his unicorn. If its short-term objectives materialize, Contentsquare could take a major share of a market estimated at over $38 billion.
Mantra/Citation CEO
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