(ETAIL WEST) Constructor, the leading AI-powered product discovery and search platform for enterprise ecommerce companies, today announced key results and milestones from a successful FY23 (Feb. 1, 2023, to Jan. 31, 2024). Over the past year, Constructor has doubled its revenue, expanded its global client base and introduced innovative, generative AI-driven products to market — helping ecommerce companies better engage their buyers and deliver on metrics that matter.
As ecommerce companies seek to create winning digital customer experiences, enhancing product discovery — or making it easier for buyers to find the right products for them — is a win-win: benefiting buyers and businesses alike. According to Forrester Research, “Commerce search and product discovery solutions enable targeted experiences that support merchant goals. Those goals could be to sell more volume by showing the products that are most likely to convert or to sell specific items based on parameters like inventory position or profitability.”1
Companies using Constructor’s platform — tailor-made for ecommerce, with the ability to personalize experiences to the buyer/shopper, while also optimizing for unique ecommerce metrics — realize these goals and more. Sample results from customers include: a 13% increase in ecommerce conversions, a 15% increase in revenue per user, $40 million revenue lift, a 5% increase in revenue per visit, a 4% increase in add-to-carts and more.
Milestones from Constructor’s FY23 include:
- Doubled revenue for the third year in a row, while doubling annual recurring revenue (ARR) from subscriptions/contracts as well.
- Signed leading retailers, brands, distributors and manufacturers across ecommerce, with especially strong traction in fashion and apparel, and B2B ecommerce. Constructor signed and/or expanded engagements with: Under Armour, Monica Vinader, Sephora, Fisheries Supply, Maxeda DIY Group, Curtsy, Kmart Australia, Rugs Direct, Scrubs & Beyond and many more.
- Powered 88 billion interactions with Constructor’s product discovery platform. Every time a buyer clicks on a Constructor-powered search result, recommendation, product finder quiz and more, Constructor receives data to personalize and fine-tune digital experiences. With 88 billion platform interactions in FY23, Constructor helped brands drive hundreds of millions of tailored experiences every single day.
- Further expanded its geographic reach, especially in Europe, the Middle East and Africa (EMEA) — with both new hires and significant new business in the region. Across EMEA, Constructor serves ecommerce companies in the apparel, home goods and furnishings, toys, grocery, do-it-yourself (DIY), B2B and general categories.
- Grew company headcount by 45%, with new hires spread across North America, EMEA, Asia-Pacific (APAC) and South America, and growth in marketing, sales, engineering, product and customer success departments. Constructor continues to hire across these departments, as well as general operations.
- Introduced generative AI-powered products that are driving value for ecommerce companies worldwide. Grocery chains, apparel brands and general retailers use Constructor’s AI Shopping Assistant (ASA), a conversational product discovery tool that blends generative AI with Constructor’s personalization technology: delivering recommendations that are personalized to shoppers’ history, preferences and intent, and reflective of real-time inventory. Results from customers include: 10% increase in website revenue, 6% increase in search conversions, 7% increase in clicks and more.
In addition, Constructor debuted Attribute Enrichment, addressing a common pain point for ecommerce merchandisers: missing or mislabeled product catalog data. The GenAI-based tool automatically generates attributes and categories that fill in the gaps — exposing buyers to a broader range of products, so ecommerce companies don’t miss out on a sale. Results from customers include 97%+ accuracy in product tagging/labeling (far greater than that achieved by human taggers doing the same tasks — and with Attribute Enrichment taking far less time).
- Unveiled additional AI-powered products, including Merchant Controls & Intelligence (with actionable insights and AI- and machine learning-driven predictive analytics for merchandisers) and Image Search API (enabling shoppers to replace textual queries with an image of what they’re looking for).
- Strengthened integrations to make installing and managing Constructor even easier. These included major enhancements to Constructor’s Salesforce Cartridge, Commercetools Connector, BigCommerce Connector, Akeneo Connector and more.
- Earned awards and recognition for product innovation and workplace culture. Constructor was honored in the inaugural Convrt Awards for ecommerce innovation (“Best AI Solution”) and in Will Reed’s Top 100 of 2023 (spotlighting companies shaping the future of workplace culture).
Constructor was also named a Leader in G2’s Summer and Fall 2023 and Winter 2024 Grids® for E-Commerce Search Software (earning badges including Easiest to Use, Best Support and Easiest to Do Business With) and received a 2023 Top Rated Software Award from FeaturedCustomers.
- Ranked highest in the strategy category in “The Forrester Wave™: Commerce Search And Product Discovery, Q3 2023.” Constructor was recognized for “strategic strengths in innovation and adoption,” with reference customers who “feel well supported and overwhelmingly expect to remain with the vendor in the long term.”
“We’re indebted to our world-class customers, who — in addition to our talented and dedicated team — have made our growth and successes possible,” said Eli Finkelshteyn, CEO, Constructor. “It’s exciting and gratifying to partner with them to address their product discovery challenges: helping ecommerce companies better connect with buyers, improve the customer experience and grow their sales. This is what really energizes our team. We look forward to continuing our fast pace of innovation in the year ahead — applying commerce-focused and generative AI in ways that deliver measurable value for ecommerce companies and their customers alike.”
See Constructor’s Tech in Action at eTail West
Constructor will demonstrate its award-winning platform and recent innovations, including AI Shopping Assistant, at eTail West, Feb. 26-29, from booth 106. To book a demo, please visit: https://info.constructor.io/etailwest_2024.
1 Forrester Research, “The Commerce Search and Product Discovery Landscape, Q2 2023,” Emily Pfeiffer, May 12, 2023.
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