In a competitive and rapidly changing e-commerce landscape, companies consistently aim to improve their checkout experience. Rally, an ingenious composable checkout platform for e-commerce merchants, responds to this challenge by securing $12 million in Series A funding.
While e-commerce reached an all-time high during the global pandemic, the industry became fiercer as the economy cooled down in the past year, leading to a shift in e-commerce founders' perspective from optimism to realism. Today, merchants face increasingly difficult decisions, including allocating resources toward software investments, noted Jordan Gal, co-founder and CEO of Rally.
With this funding, Rally breaks its business down into two segments. The first aims to meet merchants' needs via integrations with leading commerce tools, such as Salesforce Commerce Cloud, Magento, and BigCommerce. In contrast, the second segment plans to provide a “headless” ecosystem for merchants. Headless technology allows website front-end or back-end modifications without affecting its complementary aspect.
Rally is about to announce an imminent partnership with companies specializing in website front-end and back-end to offer headless-as-a-service, although details remain undisclosed for now.
Gal and co-founder Rok Knez formed Rally to devise checkout solutions for businesses operating outside Shopify's ecosystem. Their prior experience in another checkout company, CartHook, led to nearly $3 billion in transactions for Shopify merchants before selling the business to Pantastic in 2021.
At present, Rally is working alongside 50 e-commerce merchants to furnish one-click checkout solutions with payment processing capabilities and post-purchase offerings. In turn, these post-purchase options convert purchases into multi-revenue channels by allowing retailers to display additional offers after the checkout process. For instance, instead of being directed to a simple “thank you” page, customers receive the choice to upgrade to a subscription or buy related products without interrupting their payment flow. Consequently, this innovative method has helped merchants augment their revenue by over 12% on average, according to Gal.
In addition, Rally has doubled its team's size over the past year and currently handles millions in monthly GMV (gross merchandise volume). The latest funding round was led by March Capital and featured participation from Felix Capital, Commerce Ventures, Afore Capital, Alumni Ventures, and Kraken Ventures. This investment has boosted Rally's total venture-backed capital to $18 million.
Gal plans to allocate the new funding toward marketing endeavors, expanding into new markets like enterprise and international sectors, and initiating integrations with platforms like Salesforce Commerce Cloud, commercetools, Affirm, and AfterPay. Furthermore, Rally aims to enhance its fraud protection offerings and introduce web3 features, beginning with enabling merchants to accept cryptocurrencies during their checkout process.
In today's competitive software market, services like AppMaster.io and Rally are increasingly sought after by retailers aspiring to streamline and upgrade their platforms without having to create their checkouts or apps from scratch. In the end, Rally's approach empowers merchants to focus on their core competencies, while trusting their partners to handle critical aspects of their e-commerce endeavors.
