Rival data-mining vendors scored big in venture-capital markets last week, with DigiMine securing $20.3 million in third-round funding and SageMetrics raising $6 million in its second round of financing. Both companies develop software that uses advanced data-mining capabilities to analyze large volumes of information to help businesses understand their customers’ motivations and behavior.
DigiMine offers outsourced data-warehousing services, letting clients collect, store, and analyze customer data from their Web sites without building their own data warehouse. The Bellevue, Wash., vendor’s analysis tools help companies go beyond counting page hits and discover, for example, what content generated the most sales.
“That level of analysis is very difficult to do with many of the Web-analysis tools out there today,” Forrester Research analyst Charlene Li says. Digi-Mine’s customers include Dow Jones, Fidesic, and Nordstrom.com.
SageMetrics, which also provides outsourced data warehousing, analysis, and reporting services, collects and integrates customer data from multiple sources, including the Internet, customer-relationship management applications, and legacy systems. The North Hollywood, Calif., company’s customers include J.P. Morgan, L’Oreal, and WashingtonPost.com.
Mohr, Davidow Ventures, and American Express led DigiMine’s investors; Ascend Venture Group led SageMetrics’ second-round investors.
By: Rick Whiting