In the past several months, Israel's tech-oriented market is witnessing a rise in companies and startups dedicated to eCommerce operations and infrastructure. From payment systems, logistics, supply chain management, and customer engagement, to analytics, these companies play a pivotal role in supporting businesses of all sizes to establish and expand their online presence, optimize their operations, and deliver exceptional digital shopping experiences to customers worldwide.
One of the key players in this surge is Ground Up Ventures, an early-stage venture capital firm investing in pre-seed/seed-stage startups. By strategically investing in promising startups, the firm actively contributes to the rapid expansion of the eCommerce enablement landscape in the country.
Today, Ground Up Ventures has backed the largest concentration of companies in that space of any investor in Israel.
Tolstoy Partners with Shopify
One of Ground Up's portfolio companies is Tolstoy, whose latest partnership with Shopify stirred headlines in Israel's eCommerce arena. Deployed by 5,000+ brands like Culture Kings and LSKD, Tolstoy's video commerce platform helps brands collect valuable customer engagement data and reports consistent and meaningful ROI uplift by engaging users with personalized videos and video feeds.
Founded in 2020, Tolstoy helps companies welcome new visitors to their brand and creates a more personalized experience. With its partnership with Shopify, Tolstoy joins other renowned brands such as Allbirds, Gymshark, PepsiCo, and Staples, to name a few, for a streamlined shopping experience for customers everywhere.
Postscript Acquires Shopify App Fondue
Another Ground Up-backed company that has been creating a buzz is Fondue, a Shopify app that provides a modern alternative to traditional coupon codes by offering CashBack deals. Instead of customers using coupons and resulting in a loss of revenue for businesses, Fondue allows CashBack shoppers to make purchases at the full price. After the purchase, they can redeem their CashBack rewards for either cash or store credit. Just recently, the company announced that it has been acquired by Postscript, an SMS marketing platform for eCommerce companies, helping Shopify stores drive 30x ROI with text message marketing.
"At Postscript, we've been laser-focused on leveraging SMS to make merchants more money,' said Alex Beller, President & Co-Founder of Postscript. "Our acquisition of Fondue is us tripling down on that mission. Fondue is already improving list growth, repeat purchase rate, and contribution margin for hundreds of Shopify brands. We are excited to accelerate that growth in the coming years and bring even more innovation to our customers."
Shopify Participates in TripleWhale's $25M Investment
Triple Whale, an eCommerce smart data platform, is also experiencing unprecedented growth in its category and has recently disclosed a $25 million investment from NFX and Elephant, with strategic participation from Shopify.
Based in Columbus, Ohio, this startup specializes in offering Shopify store owners a consolidated platform that combines their analytics in one service. The aim is to assist them in enhancing their conversion rates and gaining more comprehensive insights into their marketing campaigns. By providing a centralized solution, this startup enables Shopify store owners to streamline their analytics processes and optimize their marketing strategies effectively.
This investment from Shopify further validates Triple Whale's rapid expansion and recognizes its potential as a standout player in the industry.
PDQ Overhauls eCommerce Delivery through 'Amazonian' Shopping Experience
Founded during the height of the pandemic in 2020, PrettyDamnQuick (PDQ) is a checkout-to-delivery management platform for small businesses that aims to provide exceptional Amazonian shopping experiences to clients and their customers.
PDQ's software integrates with e-commerce platforms and incorporates functionalities such as determining estimated delivery times based on factors like location, cart size, customer loyalty, and more. The software provides a range of delivery options, including multiple services and carriers, as well as the ability to outsource distribution, warehousing, and fulfillment through third-party logistics. Additionally, it supports in-store pick-up and facilitates last-mile delivery, ensuring a diverse set of delivery methods to cater to different customer preferences and business requirements.
Global Natural Beauty Brand 'Sabon' Partners with Dialogue to Optimize Its eCommerce Experience Worldwide
Dialogue is an eCommerce Personalization Platform that assists brands in increasing their sales and conversion rates through AI-driven recommendations, visual storytelling, upselling, and personalized campaigns. With Dialogue's no-code platform, users can create engaging and personalized user experiences that effectively convert shoppers into loyal customers.
Just recently, Sabon, a global leader in natural beauty products, partnered with Dialogue to elevate the online experience of its customers and deliver a seamless shopping journey that mirrors the exceptional service found in its physical stores. By leveraging Dialogue, Sabon aims to provide its customers with an enhanced online shopping experience that captures the same level of excellence as their in-store interactions.
For more in-depth discussions on Israel's eCommerce ecosystem, check out Cheat Codes, a new show that dives into what makes brands tick, scale, and become household names. Previous guests include Mr. Beast's Feastables, Mini Katana, Jones Road Beauty, and more.
