OfferFit, the innovative marketing technology firm revolutionizing the way marketers approach experimentation by replacing traditional A/B testing with automated methods, has raised $25 million in a Series B funding round led by Menlo Ventures.
Ridge Ventures has joined the funding round, alongside existing investors Canvas Ventures, Harmony Partners, Alumni Ventures Group, Carbide Ventures, and Burst Capital. Capital One Ventures, the strategic investment arm of Capital One, has also participated in the round.
Founded in 2020 by Cornell math PhD’s George Khachatryan and Victor Kostyuk with the motto “A/B testing is dead”, OfferFit utilizes reinforcement learning AI to expedite experimentation for lifecycle marketers. As well as scaling the company, OfferFit also plans to use the funding to expand its self-serve and content generation capabilities, further develop its reinforcement learning models and infrastructure, and for more integrations to marketing automation platforms and data systems.
“We’ll use this funding to continue to scale, of course,” said OfferFit’s co-founder & CEO, George Khachatryan. “But we’ll also invest heavily in our product. We’re making OfferFit quicker and easier to deploy, and giving marketers more tools to leverage the insights they gain from automating experimentation.”
With the funding round, JP Sanday from Menlo Ventures has been appointed to the board, while Alexander Rosen from Ridge Ventures will serve as an observer.
“Marketing is undergoing a tectonic shift,” said JP Sanday. “AI makes it easy to create content, but how do you measure what is effective? The real power comes from leveraging AI with automated experimentation. OfferFit is the torchbearer in this space, helping businesses leverage 1:1 personalization to optimize critical lifecycle marketing campaigns like cross-sell, upsell, retention, referral, and winback.””
“Today, personalization is table stakes and leveraging AI-based experimentation platforms like OfferFit to automate learning is key to getting personalization right,” said Aparna Sarin, Chief Marketing Officer for Business Cards & Payments at Capital One. “This enables faster generation of data-driven insights into our customer preferences, allowing us to create more tailored offers and content, and lifting engagement.”