Cresicor, a consumer packaged goods (CPG) trade promotion management (TPM) platform startup, today announced they have raised $5.6 Million in seed funding led by Costanoa Ventures with participation from Torch Capital.
Trade promotions are the second largest spending cost that many companies incur, only behind manufacturing; companies often reinvest up to 20% of their revenue on them. Currently, TPM is often done manually ? both inefficient and expensive ? typically in Excel or Google Sheets. With CPG sales topping $720 billion dollars in just the United States in 2020, it is truly an untapped growth market.
"Simply put, the CPG industry is antiquated, filled with fragmented and inefficient processes, making it ripe for disruption," stated Alexander Whatley, CEO of Cresicor. "Cresicor aims to first provide a solution to trade management for consumer brands, one of the most glaring and painful problems these brands face today."
Cresicor is building a modern, user-friendly platform to manage a company's trade promotions. Specifically, Cresicor enables customers to:
"Cresicor completely re-shaped how we organize, track, and understand trade spend," Rich Clark, Former VP of Sales at Perfect Snacks continued. "We needed a tool that could take our business to the next level, and Cresicor delivered."
Boasting an impressive 140% revenue retention rate, Cresicor's solutions provide an 80-90% reduction in labor for managing trade promotions. In addition, Cresicor has helped customers dispute hundreds of thousands of dollars in invalid invoices. For brands over 100MM, it has provided ROI savings of millions of dollars through improved efficiency, increased accuracy of planning, and identification of disputable expenses.
"Cresicor is enabling the next generation of great CPG brands to compete and win in trade promotion," stated John Cowgill, Partner at Costanoa Ventures. "We're proud to back a great team and product that, still in seed stage, is already working with awesome brands like Perfect Snacks, Hint Water, Oatly, and dozens of other household names."
Cresicor was founded in 2017 by engineers from Harvard and MIT, and CPG veterans with over 10 years of industry experience and over $1B in exits under their belt. This round of funding will be used to accelerate growth of the team and its product, sales, and software development.
Cresicor is a trade promotion management (TPM) software built by and for the consumer-packaged-goods industry (CPG). From campaign creation to deductions management and promotion measurement, Cresicor helps brands manage every element of trade spend. Cresicor is designed to fit the quintessential business model of small to midsize CPG companies. With an easy-to-use platform and industry-leading experience, Cresicor prides itself on its ability to bring businesses to the next level. Learn More
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