Leal Secures $5M Investment to Boost AI-Driven Customer Engagement
Bogota-based retail tech company Leal has successfully raised $5 million in a recent funding round, termed as a “pre-Series B” by CEO Camilo Martinez. The funding co-led by LEAP Global Partners and Rakuten Capital, saw additional participation from Morro Ventures and Salkantay Ventures. This investment marks a strategic move for Leal.
Leal specializes in AI-driven customer engagement solutions for merchants in Latin America. Founded in 2016 by Camilo Martinez and Florence Frech, the company has carved a niche in facilitating customer engagement for business-to-consumer brands, e-commerce platforms, and financial institutions. With a focus on building a robust customer database, Leal empowers merchants to offer enticing cashback and rewards programs to their loyal clientele. The company has raised $20.5 million in venture-backed capital, with previous rounds co-led by Rakuten and IDC Ventures.
Leal’s success can be attributed to its integration with 160 different point-of-sale systems, enabling merchants to track customer behavior and purchasing patterns comprehensively. This includes customers who prefer traditional cash payments that are challenging to monitor. Moreover, the company provides campaign management tools for targeted communications, allowing merchants to connect with their audience more effectively.
Navigating Challenges and Future Prospects
Despite facing setbacks during the global pandemic, Leal successfully rebuilt its business in 2021. Introducing innovative features like allowing grocery shoppers to scan paper receipts for Leal Coins, redeemable for goods and services, proved pivotal. Leal’s rewards program expanded across Mexico, Colombia, and Central America. The company now collaborates with over 1,000 brands in eight countries, boasting 6 million users, with 3.5 million active users in the last 12 months.
With the recent $5 million investment, Leal aims to achieve $10 million in annual recurring revenue. The focus will be on;
- Deeper penetration in the Mexican market.
- Enhancing omnichannel communications.
- Developing tools for data collection and interactions.
Additionally, the company plans to refine its artificial intelligence models to provide personalized app rewards and benefits. Leveraging generative AI, Leal seeks to enhance chatbot interactions and strengthen communication channels on platforms like WhatsApp and Facebook Messenger.
Leal’s commitment to AI-driven customer engagement has positioned it as a leader in Latin America’s retail tech landscape. The recent investment propels the company towards further innovation. As Leal continues its growth trajectory, the integration of advanced AI technologies sets the stage for a dynamic and engaging future in customer relations across the region.
