Welcoming ChatID

I’m delighted to announce the latest addition to the Costanoa portfolio, ChatID. ChatID enables real-time conversations between product experts and customers on retail sites and stores. For example, when I was shopping online at newegg.com and looking at a Seagate hard drive, I was able to speak to a Seagate product representative with one click about a specific product question I had.

Why are we excited about ChatID? As always, the people are first. ChatID is led by the brilliant Founder & CEO Dan Herman and President & COO Mark “General” Riggs. They are a great “yin and yang” team of inspirational vision and meticulous execution.

Second, this feels like an idea whose time has come. The phrase “conversation with the customer” has been largely co opted by advertising. ChatID enables a realconversation with the customer, when they want it, at the time of highest value for the everyone — customer, brand, and retailer. Consumers are now scrupulous researchers, and ChatID satisfies their thirst for information without inhibiting the sale process. In fact, consumers who engage in chat are three times more likely to buy a product than non-chatters.

ChatID is also the rare SaaS company with a strong network effect. With seven of the Fortune 100 companies, including two of the five largest US retailers, already in their network, the value to the next brand or retailer is tremendous and grows with each new customer.

Finally, I’m thrilled to be working with Amish Jani from FirstMark Capital again. I don’t know any other investor who works harder for his companies, and I know he’ll be a great partner to ChatID and us in this journey.

Please join us in welcoming ChatID to the Costanoa family!

By Neill Occhiogrosso, Partner