The UX analytics specialist plans to extend its platform to new digital channels. After SMEs and large companies, it is developing an offer for the middle market.
The Contentsquare analytics experience (UX) platform has raised $600 million, including $200 million in debt and $400 million in equity. Funds gleaned during a sixth round table led by the Sixth Street fund. At his side, many investors already present are back in the pot, including Bpifrance, Canaan, Eurazeo, Highland Europe, KKR and SoftBank Vision Fund 2. They are joined for the occasion by LionTree. As for the line of credit, it is carried by BNP Paribas, Crédit Agricole Corporate & Investment Bank, Goldman Sachs, JP Morgan and Société Générale. Raising the total funds raised by Contentsquare since its creation in 2012 to $1.4 billion, the operation brings the Parisian company’s valuation to $5.6 billion.
Available in SaaS mode, the Contentsquare platform dissects the behavior of visitors to websites and mobile applications. It detects the slightest mouse clicks, movements and tactile controls on a tablet or smartphone, interactions with texts, links, images and videos taking into account their content. It identifies the friction points, at which phase of the navigation or the conversion tunnel the visitor hesitates or picks up. It estimates the impact of prices on the purchasing decision… In total, the platform brings together five applications: CS Digital to analyze the customer journey, CS for Apps to optimize the mobile experience, CS Find and Fix for web performance. , CS Merchandising to optimize e-commerce performance, and CS Insights to provide optimization recommendations and benchmarking.
External growth will continue
Contentsquare combines organic growth and external growth. So far, the publisher has made six acquisitions. The latest: that of Hotjar in 2021. A takeover that allowed it to get its hands on a UX analytics tool targeting SMEs with fewer than 50 employees. With no less than a million customers. This brick completes an offer historically tailored for large companies. A segment in which Contentsquare claims a thousand customers, including 30% from the Fortune 100. Among its main references are BMW, Clarins, Decathlon, Engie, Samsung, Schneider Electric, Sephora or Virgin Atlantic. A strike force that allows it to analyze 3,200 billion digital interactions per month and nearly 2.5 billion dollars in transactions daily. Result: “several hundred million dollars in annual recurring revenue and annual growth of more than 100%”, boasts the company
Following its new influx of funds, Contentsquare intends to strengthen its existing bricks while extending to new products. A dual objective that the company intends to achieve both through organic growth and external growth. “With each takeover, we redevelop the applications acquired to achieve interconnected products”, explains to the JDN Jonathan Cherki, founder and CEO of Contentsquare. “The objective is ultimately to bring together all the dimensions involved in the purchasing decision within a single platform to prioritize areas for improving the user experience.”
“The objective is to achieve an offer capable of addressing all sizes of organization”
In the short term, Contentsquare is working on a UX analytics solution targeting the middle market. “This is an internal development. The objective is to achieve an offer capable of addressing all sizes of organization”, indicates Jonathan Cherki. For the future, Contentsquare should naturally support other user interfaces, such as social networks whose weight continues to grow in e-commerce. “Even if the metaverse is a real interface, it’s a segment that we could study”, confides Jonathan Cherki, before specifying: “our analytics solution without cookies will be able to adapt to all of these variations. .”
AI, priority axis
Another priority area: artificial intelligence. “This is a central element for optimizing the analysis of purchase dimensions, but also for better predicting the effectiveness of optimization recommendations”, points out Jonathan Cherki. The company also plans to expand its catalog of application integrations. “We have already deployed more than 2,500 integrations,” notes the CEO, who finally insists on the Contentsquare Foundation. Launched in March 2021, this non-profit organization aims to promote digital accessibility for all. “1 billion people suffer from digital accessibility problems. Knowing that today 70% of web content does not implement the accessibility criteria for the hearing impaired, the visually impaired, the dyslexic… It is therefore a priority for us”, insists Jonathan Cherki.
Currently mainly present in Europe and North America, Contentsquare plans to strengthen its presence in Japan, New Zealand, Singapore and Australia. As for its R&D, it is divided between Paris, Barcelona and Tel-Aviv. From around 1,500 employees today, the company plans to grow to 2,000 people by the end of the year. Is an IPO planned? “The IPO will be part of the future crossing points. It is a means of financing and not an end in itself, which will allow us to continue to grow”, concludes Jonathan Cherki.