Funding led by Summit Partners and CEO of Jungle Scout Greg Mercier supports the company’s continued growth as Jungle Scout builds on significant market momentum and announces the acquisition of ad technology company Amazon Downstream Impact.
AUSTIN, TX, March 4, 2021 /PRNewswire/ — Jungle Scout, a leading all-in-one platform for selling on Amazon, today announced that it has raised $110 million in growth capital, led by Summit Partners and Jungle Scout Founder & CEO Greg Mercier. Capital supports Jungle Scout’s continued growth as the company expands its technology suite with the acquisition of SeattleDownstream Impact, one of Amazon’s leading ad technology companies, is expanding its SaaS platform to support Walmart and continues to expand its advertising and e-commerce brand management capabilities at scale.
“As an Amazon seller myself, I started Jungle Scout in 2015 to help other entrepreneurs find financial freedom on Amazon. We’ve grown profitably since day one, and we believe the opportunity only growing,” Mercer said. “Since 2015, we’ve been working to expand our product capabilities to help companies manage every step of their sales journey, from researching products to launching and scaling their business ventures. Today Today, Jungle Scout serves a global customer base of entrepreneurs and brands focused on building a business on Amazon and beyond. We continue to fulfill our mission to provide brands around the world with essential insights to understand and sell in the marketplace. evolving e-commerce.
As the world continues to embrace e-commerce, Jungle Scout and the businesses the company serves are experiencing strong growth.
- Today Jungle Scout supports more than $8 billion revenue from Amazon and serves more than 500,000 brands and entrepreneurs working to build successful businesses on Amazon.
- The company’s powerful data engine processes data from over 500 million Amazon products, delivering insights into sales, keywords and other trending insights to help brands, entrepreneurs and agencies identify opportunities and sell successfully on the Amazon channel.
- In June 2020, Jungle Scout introduced Cobalt, a market intelligence and product insights platform designed to help enterprise brands win the Amazon channel. Cobalt processes over 1 billion data points daily and is designed to deliver powerful insights including detailed market share data, segment and trend analysis, competitive insights, optimization content, etc.
- The company continues to invest in the future growth of the e-commerce platform, including expansion to Walmart.com.
- Today, Jungle Scout employs over 200 team members in 16 countries and expects its numbers to double in 2021.
- The company also opened its second and third offices in Chinain Hangzhou and Qingdaoin addition to its office in Shenzhen.
We believe Summit Partners’ investment underscores the critical role Jungle Scout’s powerful technology plays in helping both established brands and aspiring entrepreneurs build successful e-commerce businesses.
“Jungle Scout was one of the first companies to identify the opportunity to provide SaaS-based tools to help businesses and brands expand their e-commerce footprint on Amazon and beyond, and the company is has built on this leadership position over the past few years,” said Neil Roseman, technologist-in-residence at Summit Partners and board director of Jungle Scout. Roseman served as Vice President of Technology at Amazon from 1998 to 2007, where he helped lead the development of software underpinning many of Amazon’s early marketplace and commerce capabilities. “We believe Jungle Scout’s technology is robust and highly scalable, designed to help a business grow as Amazon’s third-party selling ecosystem has grown. We believe the addition of Downstream Impact will add to this product and its engineering strength, and we are excited to be part of the company’s growth journey.”
Expanding Platform: Jungle Scout Gains Downstream Impact
The addition of adware leader Amazon Downstream Impact (“Downstream”) will support Jungle Scout’s continued focus on providing essential data-driven insights to help brands and agencies excel in e-commerce. The downstream manages more than $250 million per year in Amazon ad spend for some of the world’s biggest brands, including HP, Bic and several major global CPG companies. Its AI-powered automation tools are designed to help brands optimize their ad campaigns and glean insights to compete more effectively within the Amazon channel.
“Advertising is a critical growth lever for brands looking to be truly competitive on Amazon, but it’s also an undeniable pain point,” Mercer said. “Jungle Scout researched the best AI-based ad technology to add to our platform. We evaluated dozens of tools, and Downstream emerged as a clear leader for its management and optimization capabilities. Amazon’s advertising programs.”
Downstream was founded in 2017 by former Amazon employees Connor Folley (CEO) and Salim Hamed (CTO), who have both worked closely with Amazon’s advertising business and understood the need to provide insights to brands looking to optimize ad spend and stay competitive in a changing e-commerce environment. fast.
Advertising is Amazon’s fastest growing business, accounting for nearly $21.5 billion annual revenue in 2020, a 66% year-over-year increase.1
Jungle Scout study of nearly 5,000 Amazon sellers finds 75% use at least one form of Amazon pay-per-click (PPC) advertising, and for many, PPC is a critical investment area for 2021 But, sellers also cite managing PPC offers as a significant business challenge; Data from Jungle Scout indicates that 62% of sellers are concerned about rising advertising costs on Amazon.
“We’ve seen Amazon’s advertising business grow faster than Google and Facebook combined over the past year, but advertising effectively on Amazon is a challenge,” said Downstream’s co-founder and CEO. Connor Folley. “Downstream provides insights into advertising performance in the context of a brand’s costs and budgets, providing a more comprehensive perspective designed to optimize advertising campaigns. As part of the Jungle Scout platform, we believe we can helping brands connect this information to improve their e-commerce strategies.”
1Advertising revenue (“other” revenue, primarily advertising) from Amazon’s investor relations
About Jungle Scout
Jungle Scout is the leading all-in-one platform for selling on Amazon, supporting over $8 billion of Amazon’s annual revenue. Founded in 2015 as Amazon’s first product finder, Jungle Scout today offers a full suite of best-in-class business management solutions and powerful market intelligence resources to help entrepreneurs and brands manage their e-commerce activities. Jungle Scout is headquartered at Austin, TX and supports 10 global Amazon marketplaces.
About Summit Partners
Founded in 1984, Summit Partners is a global alternative investment firm that currently manages over $23 billion capital dedicated to growth equity, fixed income and public equity opportunities. Summit invests in growth sectors of the economy and has invested in over 500 companies in technology, healthcare and other growth sectors. Summit has partnered with over 30 e-commerce and consumer companies. Summit has offices in North America and Europe and invests in companies around the world. For more information, please visit www.summitpartners.com or follow on LinkedIn.
In The United States of America, Summit Partners operates as an SEC-registered investment adviser. In the UK, this document is published by Summit Partners LLP, a company authorized and regulated by the Financial Conduct Authority. Summit Partners LLP is a private limited company registered in England and Wales registered under number OC388179 and whose registered office is located at 11-12 Hanover Square, London, W1S 1JJ, UK. This document is intended solely to provide information on Summit Partners’ potential financing capabilities for prospective portfolio companies.
Downstream Impact is an Amazon advertising software platform that enables brands to better measure, manage and optimize their presence on Amazon.
Connor Folley and Salim Hamed
Connor and Salim co-founded Downstream in 2017.
Greg Mercier is the founder and CEO of Jungle Scout.
SOURCE Jungle Scout