SleekFlow, a social commerce platform based in Singapore and Hong Kong, announced on Wednesday that it has raised an additional $7 million in funding. The company has developed a conversational AI suite for customer engagement, specifically tailored for Asian markets. The company will allocate the funds to further develop its AI technology, expand its presence in Southeast Asia and the Middle East, and establish a foothold in the European market.
SleekFlow journey and competitors.
SleekFlow’s fundraising and growth plans highlight the remarkable rise of social commerce. Sellers are now utilising popular platforms such as Facebook, Instagram, WhatsApp, TikTok, and YouTube to promote their products and connect with potential customers. At the same time, consumers are leveraging these social media platforms to explore and purchase a wide range of items.
The growth rate of social commerce is outpacing that of traditional e-commerce. By 2028, we expect a remarkable surge in the market value of social commerce in the Asia-Pacific region, surpassing $894 million. We anticipate this growth to reach 10.6% compared to 2022.
Conversational AI has played a significant role in the development of social commerce. AI-powered chat functionality enables sellers to efficiently handle large volumes of users without compromising their operational efficiency. It enhances the process by incorporating a programmatic layer, utilising analytics to gain a deeper understanding of effective strategies and target audiences, and automating tailored responses.
Projections indicate significant growth in the conversational AI industry, with a projected market value of $49.9 billion by 2030. This represents a substantial increase of 24.9% compared to the $13.2 billion recorded in 2024.
With the increasing importance of social commerce and e-commerce in general, it’s no wonder that the conversational AI industry is highly competitive. SleekFlow has several competitors in the market, such as Messagebird, Respond.io, Gupshup, Omnichat, Trengo, WATI, Unifonic, and Verloop.
Henson Tsai, the founder and CEO of SleekFlow, emphasises that the startup distinguishes itself from competitors through its streamlined features. These features encompass a wide range of capabilities, such as the ability to market across multiple platforms and interfaces from a single dashboard, automated marketing processes, and a user-friendly flow builder that allows for the creation of personalised chat experiences for every customer. Our instant checkout capabilities offer a range of convenient features, such as in-chat payment links, collaborative team tools, seamless integration with HubSpot and SalesForce CRM platforms, and e-commerce functionality.
The goal is to enhance its platform by developing fully automated sales and support journeys in voice, calls, and email in order to provide exceptional value to our customers, according to Tsai’s statement to Eltrys.
The startup has recently welcomed a new CTO, Gao Lei, who brings over twenty years of tech leadership experience in Silicon Valley, specialising in AI and big data.
According to Tsai, our engineering efforts have seen a significant boost in innovation and advanced AI since the appointment of our chief technology officer, Gao Lei, a seasoned veteran from Silicon Valley.
SleekFlow operates on a multi-tier SaaS business model and offers an additional feature for customers interested in establishing and managing a WhatsApp business messaging channel. In industries such as insurance, healthcare, telecom, and retail, companies of various sizes use the startup, which appeals to sales and marketing teams. Hong Kong Broadband Networks (HKBN), Delonghi, Cellini, and Khind are some of the customers that have chosen to partner with us.
SleekFlow is currently operating in Singapore, Hong Kong, Malaysia, Indonesia, Brazil, and the United Arab Emirates. According to Tsai, consumer behaviour in Indonesia is undergoing a significant transformation, with a growing preference for online shopping over traditional brick-and-mortar stores. This shift is particularly noteworthy considering Indonesia’s projected status as one of the largest consumer markets by 2030. Tsai expects Saudi Arabia and the UAE, with their high spending power, to play a significant role in the social commerce market.
In this recent funding round, Atinum Investment, a VC firm based in Seoul, took the lead. Moses Tsang, a former Goldman Sachs Group general partner and Chairman of Goldman Sachs Asia LLC, joined them in addition to their current backers, AEF Greater Bay Area Fund and Transcend Capital Partners. In the past, SleekFlow secured an $8 million Series A funding round, with Tiger Global as the lead investor.
The company has chosen not to disclose its valuation. However, it is worth mentioning that the company has successfully raised $15 million so far. Furthermore, its annual recurring revenue (ARR) has shown significant growth, reaching $8–9 million as of June 2024, compared to approximately $1–2 million in December 2022. According to Tsai, the staff has significantly increased from 60 to 160, and the customer base has experienced a remarkable global growth of over 5,000.
