After more than 30x revenue growth in 2023, Prescient AI, a pioneer in AI-powered media measurement and optimization, has raised $10M in Series A funding led by Headline and CEAS Investments. Brands like GOOD AMERICAN, HexClad, Cozy Earth, and Nood, that use the Prescient AI platform to predict profitability and maximize revenue generated by advertising campaigns, have increased return on ad spend (ROAS) by an average of 20%. Previous investors Blumberg Capital and Focal VC also participated in the round.
“Before working with Prescient AI, we were confident in our monthly channel allocations but needed daily insights we could trust to shift our ad spend at the campaign level,” said Cameron Bush, Director of Growth Marketing for HexClad, leader in the cookware category in North America. “Using the platform’s suggestions during our crucial Q4 period resulted in a 30% increase in ROAS and an 85% increase in revenue generated by our media campaigns.”
Prescient AI uses first-party data and proprietary machine learning models to accurately determine both the direct impact of ads that users engage with, as well as the “halo effects” of all the ads consumers see, but don’t click on. These models are specifically tailored for each individual brand to attribute all of the omnichannel revenue across the entire media mix. Prescient AI also forecasts the outcome of future spend with rigorous backtesting techniques to provide accuracy and confidence scores with each recommendation on the platform.
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“Every marketer wants to know exactly where to spend to get the best results, but reliable answers are difficult to pinpoint and they continuously change with the business environment,” said Taylor Brandt, Vice President at Headline. “Prescient AI has proven its advanced AI solutions will consistently deliver accurate results and recommendations that brands can trust. They are the experts building for the future of media optimization and we are thrilled to welcome Prescient AI to the Headline portfolio.”
As brands keep adding new revenue channels and digital marketing continues to grow more complex, user-level tracking is only becoming more restricted due to consumer data-privacy protections. As a result, it’s nearly impossible to piece together buyer click-paths using platform reported data or multi-touch attribution (MTA) methods that are still commonly used today. Marketers are left to make critical spend decisions based on incomplete performance reports that rarely add up with sales data.
“For decades, the marketing analytics industry has been distracted by the promise of tracking pixels and click-based attribution models, but marketers don’t need user-level tracking to get reliable insights,” said Michael True, CEO and Cofounder at Prescient AI. “Whether it’s new privacy policies, updates to platform technology, or shifts in consumer behavior, the Prescient AI-trained models don’t weaken with change, they learn from it.”
Today, Prescient AI also launched early access to an evolution of their attribution model that measures the halo-effects of ad campaigns on sales in the Amazon marketplace. Rather than clicking and navigating to a brand’s website when they see an ad, many consumers today will search for the items on the world’s largest online marketplace. As brands try to capture those customers by adding Amazon as a sales channel, they need clarity into how marketing drives revenue through the marketplace as well as their direct-to-consumer owned sites.
“With this new funding we will continue expanding our platform to vastly increase our sales and media channel integration coverage,” continued True. “And to keep delivering product enhancements that allow our customers to make confident budget decisions.”
“CEAS is very proud to continue backing the team at Prescient AI, who have demonstrated that they are building the next generation of marketing mix optimization tools for ecommerce brands,” said Ronnie Martinez, at CEAS Investments. “Unlike anything else on the market, their AI solution gives pinpointed recommendations, while considering and quantifying the impact of cross-channel awareness via halo effects.”
Prescient AI was built from the ground up to avoid high costs, integration complications, and delayed time to value associated with Marketing Mix Modeling (MMM) solutions of the past. Sales and marketing channels can be connected to the Prescient platform in minutes and actionable campaign performance insights are revealed in a matter of days. Daily insights enable marketers to continuously optimize budget allocation and be confident that every dollar is being spent where it will return the most value.
SOURCE: PRNewsWire