Cyance has created Nexus, a SaaS platform that monitors and stores signals across the web, ad networks and social media to build predictions from billions of behaviour signals.
Cyance reached its overfunding limit in December 2017, its SyndicateRoom round closing at £370,532.
This was an EIS opportunity.
According to a recent report, the global predictive analytics market was valued at approximately $3.49bn in 2016 and is expected to reach approximately $10.95bn by 2022, growing at a CAGR of around 21% between 2016 and 2022.
Originally established in 2007, Cyance was a B2B direct marketing organisation and provided data, analytics, lead nurturing and telemarketing campaigns for global tech companies. Anticipating both changes in its marketspace and new regulation which would render the legal framework for use of data more stringent, the company adjusted business strategy. Cyance has since relaunched to provide B2B predictive marketing SaaS products, together with regulatory-compliant international data solutions and services. These products – which can be purchased piecemeal or together to create a powerful, synergistic, data tool-kit – are intended to help clients improve the efficiency of their marketing departments, gain competitive advantage over peers and accumulate more sales.
This is achieved by utilising AI and machine learning to more accurately gauge a customer’s ‘propensity to purchase’. By collating several different factors from a large database covering a vast number of global sources in this way, clients can spend more time on the most probable leads.
Nexus is a subscription based software enabling clients to make use of tailored algorithms to model and score the potential of their existing clients and prospects. These scores are then applied to feeds of new business prospects that Cyance has detected to be in ‘buying intent’ mode.
Nexus aims to help clients to reduce the rate of lost accounts and identify the best customers on which to focus retention and upselling efforts.
Having developed its product line, the team at Cyance believe the biggest current inhibitors on its expansion lie in developing its sales and marketing resources.
Cyance believes there is a compelling and growing business need for legally compliant refreshed data and methods of marketing communication in accordance with new legislation that is in the process of being introduced, such as new GDPR and EPrivacy regulations in Europe. Cyance believes this puts it in a strong position to address this growing requirement for updated business and contact data.
The lead investor
Lead investor Peter Brooks has over 27 years’ experience in mid-market UK private equity. Peter has helped buy and sell more than 50 businesses in his career, sat on 25+ boards and completed 3 Management buy-outs. He was actively involved in the buy-in transactions of Motorcare, Picsolve, and Guestline, and has strong experience in business services and outsourcing as well as investing in and raising money for unquoted companies (via own, managed or institutional funds).
Since 2011, he has invested in numerous cloud based, SaaS companies that he deems scalable and is a non-executive director at various growth companies.
Peter’s due diligence encapsulates several key areas: management background and skills, understandable sector, pricing and terms, scalability, ability to disrupt the market, degree of operational leverage going forward, business model, and cash demands.
See current opportunities