Today, I’m thrilled to share that we’ve raised $4M in seed funding. Through the combination of AI and a team of salespeople, Tone helps e-commerce brands increase sales and customer satisfaction by allowing customers to quickly get help via text and check out faster. Our financing was led by Bling Capital, with participation from Day One Ventures, One Way Ventures, TIA Ventures, and executives from Google, Facebook, Dropbox, and Uber.
It’s good timing, too: with more people shopping online than ever before, many e-commerce brands are struggling to keep up with increased demand. While online stores make it easy for shoppers to check out when they know exactly what they want, when a question arises, it’s difficult to find quick answers. As a result, less than 3% of the average e-commerce store’s shoppers complete a purchase, whereas nearly 30% of in-store visitors will buy. This disparity is attributable to the lack of human salespeople, which provide consumers with real-time support in physical retail locations.
Tone increases sales and customer satisfaction by giving online businesses a human that customers can text with 24/7. Tone’s real human agents engage, educate, and convert visitors into customers with lightning-fast text conversations that take just a few minutes. Shoppers will often choose to conveniently text with us instead of battling with a chatbot, or waiting hours/days for a response over email.
Tone is used by over 1,000 brands including ThirdLove, Peak Design, and Usual Wines, and we currently generate hundreds of millions of dollars in annual sales for our clients. In addition, e-commerce brands using Tone are seeing up to 26% increase in revenue, 105x faster average response times, and a 15% increase in order size. We also make it easy to get started with conversational SMS. Our app can be installed in less than 10 minutes for Shopify and Magento users, or through a seamless custom integration. All stores get a 14-day free trial to prove effectiveness before signing up for a plan.
ThirdLove’s Co-Founder and President, Dave Spector, said “Millions of women come to us looking for the perfect bra and underwear fit, operating in a category that is historically offline and difficult to provide a personalized service online. And we pride ourselves on a fabulous customer service experience. Tone’s team of experts act as an extension of our 100+ person CX team, doing so entirely over SMS thereby extending the channels in which customers can reach us, and we in turn, can have a two-way conversation with them. Tone’s impressive AI has allowed them to scale their interactions for ThirdLove across multiple touchpoints on our website, equating to thousands of interactions per day, and we are excited to continue to add more touchpoints. I have already recommended Tone to other founders and CEOs of large brands.”
Thank you to all of our early customers, investors, family, and friends who have supported us on our journey. We look forward to the exciting road ahead.
P.S. – We’re a team of 18, fully remote, and we’re hiring!