Hightouch has announced an $80 million funding round, securing a $1.2 billion valuation as it pioneers a new approach to marketing. Led by Sapphire Ventures, the round saw participation from NVC, Bain Capital Ventures, ICONIQ Growth, Y Combinator, and Amplify Partners. This investment reinforces Hightouch’s commitment to transforming marketing through its innovative AI Decisioning platform.

Addressing the Challenge of Marketing Relevance

The company aims to address the long-standing challenge of marketing relevance, an issue that persists despite advancements in data and automation. Traditional marketing methods rely on static rules and pre-planned strategies, which often fail to deliver personalized experiences at scale. With AI Decisioning, Hightouch introduces an agentic marketing approach that adapts dynamically to individual consumer behavior.

How AI Decisioning Transforms Marketing

Hightouch’s AI Decisioning platform leverages reinforcement learning to determine the most effective messaging strategy for each customer. By analyzing past customer interactions, the system optimizes engagement across multiple channels, including email, push notifications, in-app messaging, and advertising. This approach allows marketers to focus on strategic initiatives while AI agents handle personalization and experimentation.

Industry Demand for AI-Driven Marketing

The demand for more intelligent marketing solutions is evident among industry leaders across retail, media, and financial services. Executives have expressed a need for AI-driven decision-making rather than simply using AI for content generation. Hightouch’s platform addresses this need by offering an intelligence layer that autonomously determines the right message, timing, and channel for every individual customer.

Early Adoption and Success Stories

One of the early adopters of AI Decisioning, PetSmart, has leveraged the platform to enhance its loyalty program communications. Bradley Breuer, Vice President of Marketing, Loyalty, CRM & Insights at PetSmart, emphasized the impact of AI-driven personalization in strengthening customer relationships. Similarly, WHOOP has reported significant improvements in cross-sell campaigns, with AVP of Lifecycle Marketing Aoife O’Driscoll highlighting the shift from manual processes to high-value strategic work.

Hightouch’s Technological Foundation

Hightouch’s ability to develop AI Decisioning stems from its existing expertise in customer data platforms. The company’s Composable CDP has experienced rapid growth, doubling its adoption over the past year. By building on this foundation, Hightouch was able to accelerate the development of AI-driven marketing agents, integrating them seamlessly with its existing data and orchestration infrastructure.

Future Plans and Expansion

Looking ahead, Hightouch plans to enhance AI Decisioning with advanced insights, model improvements, and greater flexibility for marketers. The company envisions a future where AI-driven automation complements human creativity, enabling marketing teams to maximize efficiency and impact. As AI continues to redefine marketing strategies, Hightouch aims to be the key enabler for brands seeking to turn data into meaningful customer engagement.

With this funding, Hightouch is poised to expand its capabilities and bring AI-powered marketing to a wider audience. The company remains focused on delivering data-driven solutions that benefit both businesses and consumers. As brands strive for more personalized and effective marketing, Hightouch stands at the forefront of this transformation, shaping the future of customer engagement through AI.