Convert Group Revenue, Valuation & Funding (2024)

Convert Group generated an estimated $3.8M in annual revenue in 2024.

Convert Group reported annual recurring revenue of approximately 1,600,000 euros as of mid-2021, doubling from 800,000 euros in 2020 and 400,000 euros in 2019. The company has sustained 100 percent year-over-year growth across each of those periods.

Convert Group had approximately 78 customers as of mid-2021, up from roughly 40 customers a year earlier. The customer base includes 15 of the 20 largest FMCG multinationals globally. Named customers include L'Oreal, Unilever, P&G, and GlaxoSmithKline.

All contracts are annual enterprise agreements. The average contract value is 20,000 euros per year. The smallest contracts are approximately 10,000 euros per year, while the largest, such as L'Oreal, reach approximately 40,000 euros per year. Existing customers expand their contracts at an average rate of 10 percent per year through upsells.

Convert Group sells annual enterprise SaaS contracts to FMCG and consumer healthcare brands, giving them access to e-commerce sales and market share data sourced from online retailers with those retailers' consent. The company operates a two-sided data marketplace: brands pay for the data, and the harder sales motion is convincing retailers such as Carrefour and Ahold Delhaize to grant access to their systems.

Annual logo churn was 2.5 percent as of mid-2021, which Gezerlis described as abnormally low for a startup, noting that 10 percent would be more typical. Net revenue churn was negative 5 percent, meaning existing customers collectively generated more revenue than was lost to churn, driven by a 10 percent annual upsell rate per customer. The average contract value was 20,000 euros, with a range of 10,000 to 40,000 euros. At 78 customers and a 20,000 euro average, implied ARR is approximately 1,560,000 euros, consistent with the stated 1,600,000 euro figure.

Profitability was not discussed in the interview. The company employs three quota-carrying sales representatives, each with an annual ARR quota of 500,000 euros. Sales reps also receive a bonus of 3,000 euros per retailer they bring onto the platform. Senior engineering talent in Athens costs approximately 60,000 euros per year, which Gezerlis described as a fraction of comparable costs elsewhere in Europe or at large technology companies.

Convert Group had approximately 50 people on the team as of mid-2021. Of those, 20 are engineers and data scientists. The sales team numbered three quota-carrying representatives plus one sales director, a structure built from scratch starting in January 2021 following the sale of the consultancy. Prior to that, the company had no dedicated salespeople or marketing department.

The employee stock option pool represents 10 to 12 percent of the company's equity. The company is based in Athens, Greece, where Gezerlis noted that senior engineering talent can be hired at significantly lower cost than in other parts of Europe.