Pattern Leverages AI and Data to Fuel eCommerce Growth | PYMNTS.com

Pattern Leverages AI and Data to Fuel eCommerce Growth

eCommerce accelerator Pattern is seeing a “virtuous cycle” in which the company uses its data to deliver results to brands, other brands see that success, and those brands provide the company with more data, Pattern Co-Founder and CEO Dave Wright said during a Wednesday (Aug. 5) earnings call

Ask by an analyst about a year-to-date increase of 38% in Pattern’s data points, which brought the total to 91 trillion, Wright said the company uses the data to run A/B tests that help determine, for example, which messaging will resonate with an aggregate of five to 10 personas and drive the most dollars

“Of course, the data and the data moat that we have is invaluable at this point and is continuing to grow,” Wright said

Pattern leverages the data points, together with machine learning and artificial intelligence models, to optimize and automate advertising, content management, logistics and fulfillment, pricing, forecasting and customer service to drive eCommerce growth

The company’s eCommerce acceleration platform serves hundreds of global brands across more than 70 global marketplaces, according to a Wednesday press release

Pattern measures its performance through net revenue retention (NRR), which compares total revenue attributable to existing brand partners in the current trailing 12-month period to that of the previous trailing 12-month period. NRR provides insight into, among other things, the accelerated growth delivered through Pattern’s platform, according to a presentation released Wednesday

During the second quarter, Pattern’s NRR was 129%, up from 118% a year earlier, per the presentation. Wright said during the earnings call that the NRR is at a record high

“We hold ourselves to NRR because it measures what matters most, the outcomes we deliver for our brands,” Wright said during the call. “When our brands win, we win. They stay with us, they expand with us, and that record is the most persuasive thing our teams bring to the next brand considering Pattern.”

Pattern expanded its offerings during the quarter with the launch of Pattern Intelligence (Pi), an AI engine designed to automate marketplace management for global brands

During the second quarter, Pattern saw its revenue grow 47% year over year to a record $877 million, its international revenue increase 87% year over year to a record $110 million, and its revenue not attributable to Amazon rise 93% to a record $82 million, per the release

Source: www.pymnts.com