Egypt's Convertedin Receives $3M to Help E-Commerce Brands Drive Personalized and Scalable Campaigns

Egypt's Convertedin Receives $3M to Help E-Commerce Brands Drive Personalized and Scalable Campaigns

Convertedin, an Egyptian startup that operates a marketing operating system for e-commerce brands, announced today that it has raised $3 million in a seed round led by Saudi-based Merak Capital, with participation from 500 Global and MSAS.

The startup assists e-commerce brands in unifying their fragmented data to drive informed decisions, personalized and scalable campaigns, customer conversion, measurable results, and revenue growth. The startup will utilize the funds for strategic hiring and platform development.

Mohamed Fergany, the startup’s CEO and co-founder, used his experience working with top brands such as Speakol Ads and Vodafone to co-found Convertedin with Mohamed Atef and Mustafa Raslan in 2019. His time as an employee opened his eyes to the possibility of assisting offline stores in retargeting and retaining customers online while also attracting new customers to shop at their stores offline.

“If you walk into IKEA and they take your phone number down. After that, our engine works to find a similar product you might buy and we retarget you online. If you went back to IKEA for that product, we can calculate the cost of online conversion. This was the main idea at this time as we saw a huge problem where there was no analytics platform for the offline store or a retargeting mechanism,” Fergany explained.

Convertedin’s Unique Offering

The CEO asserted that, while online retailers use CRM software to collect data, they do not use the majority of it. As a result, Convertedin provides a solution that allows them to make the best use of their data. It integrates with more than ten major e-commerce platforms and ad networks — and once connected, brands can segment customers into high- and low-value categories, as well as those looking for specific products, and use these insights to create personalized multi-channel marketing and drive various campaigns on social media, SMS, email, search, and other channels, all while tracking and attributing revenue conversion.

Convertedin claims that SMB e-commerce marketers who use its platform double their return on ad spend (ROAS) and cut their customer acquisition costs (CAC) by 40%. Since its inception, the startup has collaborated with media buying and advertising agencies and works with over 100 local and multinational brands in the automotive, healthcare, and technology industries across Africa, the Middle East, and South America. Fergany revealed that its revenues from these businesses have been growing in the “double digits” month after month.

Convertedin’s Expansions

The startup, which recently expanded to Brazil in a quest to tap into the South American e-commerce revenues, which are expected to reach $160 billion by 2025 from over 200 million users, also has offices in the kingdom of Saudi Arabia and Egypt. Convertedin intends to offer its services in Portuguese, in addition to English and Arabic, to brands in Brazil and Mexico, and other South American markets. Fergany said the startup is also interested in the South African and Indian markets.

“We focus on emerging markets and if you look at it from healthy unit economics, we can sell easily in those countries because there is low competition there. And customer acquisition cost is low compared to the U.S. or Europe markets.” The new investment will help Convertedin with this expansion in addition to R&D and hiring,” Fergany explained.

Ahmed Aljibreen, partner at Merak Capital, commenting on the investment round said, “We are excited to back Convertedin, a martech company that has built a state-of-the-art platform to simplify digital marketing, improve customer acquisition and drive growth for its clients. Convertedin is led by a world-class team in which we have tremendous confidence as the company embarks on its next stage of growth in MENA and Latin America.”