If you’re an entrepreneur or even just a startup enthusiast, you’d obviously know about SimilarWeb — the Israel-based web analytics company which is virtually looking to build a better Alexa. Well, the company just got $25 million in its latest funding for that very mission, and is reportedly valued at a massive $400 Million post this round.
The company also announced Jason Schwartz, former CFO of shopping.com, as their new CFO. The funding round saw participation from existing shareholders — the South Africa-based media powerhouse Naspers and Lord David Alliance. Naspers, FYI, has investments in renowned companies all around the world including India’s Flipkart and Chinese internet giant Tencant to name a few.
The funds will be used by SimilarWeb to expand globally and plans to increase its team size from present 250 to 350 by 2016. It plans to hire more engineers from local places (Ukraine and Israel) and sales staff in New York, London and elsewhere globally.
We’re in a nice position right now where we need sales people because we are getting more opportunities than we can manage,
said Ari Rosenstein, the company’s marketing head.
SimilarWeb provides valuable insights based on data collected about the user behaviour online majorly through their smartphones using mobile internet. It tracks Internet and mobile use in nearly 200 countries and provides rankings for site traffic in the top 55 countries. It helps the companies to gain information about their customers and people visiting their websites and has raised about $65 million since 2009.
Interestingly, SimilarWeb started off as a Firefox plugin giving people recommendations to visit websites based upon the pages they visited. However when that did not work out, in 2007 the company was able to tweak their technology to track anonymous data from websites; comparing that data with other websites and mapping them together in a unique way to form a complete picture about the user behaviour on Internet.
The company claims to process data from over 100 million devices and hundreds of thousands of sites which is fed and parsed by SimilarWeb for its analytics, which uses some 5,000 different pieces of software to compare and dig deeper into the raw data. And while that might still not match analytics giant Alexa’s number, SimilarWeb differentiates itself by providing a more comprehensive data — display advertising numbers, competitors etc.
In the age of social media marketing and online business, this data is highly valuable to the companies. The company offers this data through its paid product called Pro tier, which starts at $200/month for its most basic package and is based around modular pricing where companies pay just for data they need.
SimilarWeb, through its pricing structure, is able to attract both small and medium business which makes it a valuable proposition from investors’ point of view.
SimilarWeb enables businesses to make better decisions in today’s dynamic online and mobile world. Its products are uniquely capable of providing the insights necessary to create value for businesses of all sizes – from SMB to enterprise. This latest investment underlines our continued confidence in the SimilarWeb team to redefine how the digital world is analyzed.
said Larry Illg, CEO New Ventures, Naspers, in a statement
The company in fact, has customers paying as low as $200 per month, to as high as a jaw-dropping $500K per month for its services. Many of India’s own unicorns like Flipkart, Ola etc. rely on SimilarWeb’s data for their numbers.