Poised to Transform the Consumer Packaged Goods Industry, Cresicor Raises $5.6 Million in Seed Funding

Rhea-AI Summary

Cresicor, a startup in trade promotion management (TPM) for the consumer packaged goods (CPG) sector, has secured $5.6 Million in seed funding, spearheaded by Costanoa Ventures and joined by Torch Capital. With the CPG market seeing sales of $720 billion, Cresicor targets inefficient manual TPM processes with its platform that enhances planning, analytics, and financial reporting for trade promotions, achieving a 140% revenue retention rate and reducing labor by 80-90%. The funding will bolster Cresicor’s growth and product development.

Positive

• Secured $5.6 Million in seed funding to accelerate growth.
• Targets a $720 billion CPG market focusing on trade promotion management.
• 140% revenue retention rate indicates strong customer loyalty.
• Offers an 80-90% reduction in labor for managing trade promotions.
• Helps clients dispute hundreds of thousands of dollars in invalid invoices.

Negative

• None.

Household names like Perfect Snacks, Hint Water, and Oatly customers of early-stage startup

SAN FRANCISCO--(BUSINESS WIRE)-- 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:

• Plan Promotions – Cresicor’s easy-to-use interface and workflow process allows teams to easily create, track, and manage promotions, freeing up time. It speeds up the deductions matching process by having a one-stop-shop for all backup and pertinent information for every deal within a searchable, exportable and visually appealing interface.
• Analyze Promotions – A powerful analytics engine that maximizes spend effectiveness and improves accuracy of planning by easily comparing actual versus expected spend from the deal level all the way to total business.
• Improve Financial Reporting – The embedded analytics tables help transform data into actionable insights. Whether retailer level trade rates or top account performance, Creicor helps paint the picture of how the trade is working for organizations.

“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.

About Cresicor

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

View source version on businesswire.com: https://www.businesswire.com/news/home/20210913005462/en/

Kristen Caron

kristen.caron@aircoverpr.com

Source: Cresicor

FAQ

What recent funding did Cresicor receive?

Cresicor raised $5.6 Million in seed funding led by Costanoa Ventures.

What is Cresicor's focus in the consumer packaged goods industry?

Cresicor focuses on trade promotion management for the CPG industry.

How does Cresicor improve trade promotions for companies like Oatly?

Cresicor simplifies planning, analysis, and financial reporting for trade promotions.

What is the significance of the $720 billion CPG market for Cresicor?

The $720 billion CPG market represents a major growth opportunity for Cresicor's TPM solutions.

What companies are using Cresicor's platform?

Cresicor's clients include well-known brands like Perfect Snacks, Hint Water, and Oatly.