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B2C founders are surely no strangers to the adage ‘Consumer is hard’ – it’s not just the scarcity of funding that is challenging: consumer taste is fickle and competition includes most of the tech giants. But change seems to be brewing in the B2C space, powered by the fast advancements in AI and generativeAI.
It’s particularly interesting to think about voice AI in terms of the tech stack needed to build the voice engines, but note that the application layer (for both B2B and B2C apps) sits on top of the tech stack doesn’t require to build the full infrastructure.
So what are the big ways that AI is really impacting the approach to personalization? And it's not just generativeai, it's a whole range (03:50): Of capabilities that are coming together. Let me give you an example and just show how AI plays a role in all of this. David Edelman (03:46): Yeah, sure.
AI is part of that story. Marketers are just starting to use AI and wrap their heads around how it can be useful for what we're doing for SEO, and then Google is implementing ai, so generativeAI on the search results pages, and that can be scary depending on exactly how Google implements it going forward.
While Israeli startups successes are well known in the B2B space (cybersecurity, enterprise tech, devops…), B2C startups are unsung heroes… The landscape of B2C tech in Israel is blossoming, despite several challenges. Israeli B2C – Let’s start with the high level picture. Much has changed since then.
.” Rahul Vohra, founder of Superhuman Getting your first 1,000 users is an important early milestone for any B2C startup. What are the most effective strategies for early B2C growth? This post is about how to get to your first 1,000 users, and how to get to know your users better, in particular for B2C startups.
I also recommend checking out my post on conversion, retention and churn benchmarks for various business models (B2C subscription, marketplaces, etc). Metric Unremarkable Good Excellent Outlier ARR <$500k $500k-$1.5m $1.5m-$2.5m >$2.5m ARR growth rates decreased significantly in 2023 and growth stage companies were most impacted.
What triggered me to write about this is a post by afriend, who’s an experienced CTO and expert in AI. He commented on the way founders are pitching generativeAI startups: I had the chance to meet several generativeAI startups in the last few weeks.
NEW on VC CAFE The AI Services revolution: Why VCs are betting big on Agentic AI Kindling Early B2C Growth: Getting to 1,000 Users ICMYI: My 2024 Israeli startup Landscape Collection MEDIA OF THE WEEK Another sad milestone reached. BRINTHEMHOME NOW!
Marketing is particularly well suited for adopting generativeAI because it is an iterative, creative, and dynamic practice that relies on the types of media — texts, images, video — that have driven LLM development. This is one of the reasons why many of the first B2B GenAI use cases were for marketing!)
However, entrepreneurs have never really stopped building new consumer experiences and technology (in particular GenerativeAI) is unlocking a new wave of innovation in consumer startups. It analysed 12,000 venture backed companies that raised a series B since 2010 and categorised 7,800 of them as B2C or B2B.
Looking Back: A Year Defined by GenerativeAI 2024 will go down in history as the year generativeAI truly went mainstream. It wasnt just startups leveraging generative AIcorporates like Adobe, Salesforce, and Google integrated AI-powered features into their core products, making it ubiquitous.
Below is the startup landscape for MCP and the future of AI tooling according to Andreessen Horowitz ( source ) The concentration of venture capital: 31% of All VC Money Last Year Went Into Just 20 Deals according to report by Redpoint ( source ) Eli Sharabi spoke to the UN Security Council this week – watch his powerful testimony.
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