London-based Merx, a conversational commerce platform leveraging AI, has raised £1M in a pre-seed funding round. The investment aims to enhance its technology and expand its capabilities in enabling brands to interact with consumers via messaging platforms. Investors include VentureFriends, a European early-stage VC firm, and Ascension, a London-based early-stage investment firm. The company plans to refine its AI models, integrate with enterprise platforms, and recruit top engineering talent to support its expansion.
Funding rounds in AI-driven commerce platforms have gained momentum in recent years, with several startups securing investments to develop similar technologies. Merx’s approach focuses on conversational commerce, targeting enterprise consumer goods and retail markets. This differentiates it from past initiatives, where e-commerce platforms often relied on traditional website interfaces and email marketing. The shift towards AI-powered messaging apps reflects a broader industry trend in customer engagement strategies.
How Does Merx Support Retailers?
Merx enables brands to engage with consumers using conversational channels like WhatsApp, helping businesses improve customer experience and drive sales through AI-driven interactions. The platform facilitates personalized shopping experiences, aiming to enhance customer retention and streamline digital commerce. By utilizing AI, businesses can interact with customers in real-time, offering product recommendations and tailored support.
The company operates at a large scale, handling numerous transactions and customer interactions. By integrating AI, Merx helps businesses analyze consumer behavior, optimizing engagement strategies and increasing conversion rates. The focus on conversational commerce aligns with market trends, where brands seek more direct and interactive ways to connect with their audience.
What Are Investors Saying About Merx?
VentureFriends, which led the investment round, highlighted the increasing difficulty brands face in engaging consumers effectively. The firm believes that messaging platforms like WhatsApp can enhance customer interaction and sales.
“Over the years we have seen an increased difficulty for consumer-facing companies to effectively engage with their audience and better serve their needs. WhatsApp can offer a very effective way to drive engagement as well as sales. We are excited to partner and support Pietro and Mohamed who have a deep understanding of the space and with Merx can help companies harness the WhatsApp channel.”
Merx co-founder Pietro Cammerini emphasized the shift from traditional digital commerce to AI-driven customer engagement.
“We believe the days of email marketing and website-centric digital commerce are over. In an AI-first world, brands will need to engage customers more directly and provide hyper-personalised experiences wherever customers already are. This funding marks a pivotal moment for Merx as we continue our mission to revolutionise conversation commerce through AI and empower brands to engage with their customers in more meaningful ways.”
The funding will allow Merx to enhance its AI-powered services and expand its platform’s capabilities. The company aims to strengthen its position in the AI-driven retail sector by offering advanced personalization features and improved automation through messaging platforms.
As businesses increasingly prioritize direct consumer engagement, solutions like Merx gain relevance in the evolving e-commerce landscape. The reliance on AI-driven messaging platforms allows brands to offer more responsive and personalized customer interactions. With investments supporting its growth, Merx aims to refine its technology, making conversational commerce a more integral part of retail strategies. The competition in this space remains strong, with various companies exploring AI-driven communication tools to optimize customer engagement.
