Israeli startup Mabaya grabs $2.25 mln seed

Israeli digital shelf placement startup Mabaya has raised $2.25 million in seed funding. The investors were not named.


Tel Aviv – December 2015 – Mabaya, a new digital shelf placement startup, is announcing today that it has secured $2.25 million in seed funding to expand its e-commerce services worldwide. In the physical world, brands pay a lot to have their products displayed on the most visible shelf in the store. Mabaya brings this power to the e-commerce space, by letting online retailers of all sizes display specific products to relevant shoppers in premium placement.

Mabaya – Sponsored Products from Jonathan on Vimeo.
Since launching, the company has already secured a number of tier one e-commerce customers, such as MercadolLibre, the world’s 5th largest online marketplace dedicated to e-commerce and online auctions, Shop Direct, one of the top 20 online multi-brand online retailers in the world, and Rocket Internet, one of the largest internet groups in the world.

The new partnerships are a sign of exceptionally strong growth in the last quarter. In fact the company is already gearing up for another funding round in order to expand further and meet the growing demand.

Mabaya analyzes an online retailer visitor’s preferences in real-time, and displays the items a shopper will want to see the most. The biggest online retailers, like Amazon and Alibaba, already utilize similar technology internally. Mabaya makes this technology affordable and accessible to every level of e-commerce.

“Mayaba’s goal is to enhance the shopping experience for everyone,” says CEO Avi Rabinovich. “With Mabaya, brands get their products in front of the right people; active shoppers are engaged with native product promotions that are of interest to them; and online retailers enjoy a new revenue stream, for clicks on the promoted products in addition to actual sales. Our partnerships are just further testament to the fact that our platform is changing the future of ecommerce”.

The heart of Mabaya is algorithmic in-site software that starts with big data, then applies a contextual analysis of search terms and an individual shopper’s behavior to display relevant sponsored products. When shoppers search and browse for products in the online store, sponsored products are displayed in premium placements, just like the paid results on Google AdWords. Customers that click on a sponsored product are taken to that product’s detail page within the retailer’s website for purchase.

Brands love the ability to impact their merchandizing and promote their products to the top of the digital shelf. Mabaya lets them achieve this with an open bidding platform. That means brands have total control of their budget, and pay only when people click on their products and visit their product pages. According to our case study this helps brands increase the sales of their sponsored products by more than 20% on average.

Mabaya is also optimized for the ever-increasing adoption of smartphones and tablets, so consumers can easily scan product suggestions like browsing through a catalog of personally curated products.