Independent Research Firm Shows Algolia Customers Achieve $73M in Incremental Revenue
Recent Total Economic Impact Study Finds Algolia Increases Conversion Rates and Revenue While Saving IT Development Costs
March 27, 2019 at 12:00 AM Coordinated Universal Time
SAN FRANCISCO, March 27, 2019 (GLOBE NEWSWIRE) -- Algolia, the leading Search and Discovery solution for websites and mobile apps, today released a commissioned study conducted by Forrester Consulting on the Total Economic Impact™ of Algolia. The study was developed through extensive research into four Algolia customers who have up to four years of experience using the platform. The goal of the study is to provide readers with a framework to evaluate Algolia’s potential financial impact on their organizations.
By using its research to create a composite organization representative of the four customers interviewed, Forrester calculated both the quantifiable and unquantifiable benefits from using the Algolia platform. The study shows that antiquated and in-house constructed search tools yields limited success, with the former solutions failing to deliver relevant and personalized experiences to customers. Similarly, open-source solutions are too expensive and time-consuming to build and maintain relative to the results they produced. Consumers experienced difficulties using the organization’s on-site search functionality, resulting in lost sales opportunities and leading them to seek alternatives.
After implementing Algolia, the organizations improved their customers' search experience, resulting in increased sales, shortened cycles for updates to search parameters and reduced burden for IT teams. Tangible results reveal that through implementation of Algolia, organizations:
- Drove $73 million in incremental revenue. Algolia enabled organizations to provide fast, relevant and personalized search results to customers, allowing them to find products they were looking for on the companies’ websites with ease and speed. As a result, conversion rates increased, resulting in new revenue streams.
- Saved $169,000 in development costs by replacing open-source search tools. To achieve the functionality comparable with Algolia, an organization previously would have had to invest in initial development plus continual improvements in order to stay up-to-date with customers' expectations.
- Reduced the maintenance burden on IT, saving $205,911. Prior to Algolia, search tools required dedicated full-time IT resources to keep the tools running and functioning properly.
"Seamless and enjoyable search and discovery experiences are invaluable to the modern consumer, whose expectations are set by large, brand-name companies,” said Nicolas Dessaigne, founder and CEO of Algolia. “Algolia’s mission is to offer companies a cost-effective solution that provides such experiences, while being easy to set up and maintain and allowing for flexibility to fine-tune capabilities based on companies' unique needs. From our perspective, we’re proud to see the study’s findings reflect our purpose and mission, as these serve as our company’s guidepost.”
To learn more about the findings from the Forrester Total Economic Impact™ study, register for the upcoming webinar, featuring Forrester’s Julia Fadzeyeva on April 3, 2019 at 10 a.m. PDT / 1 p.m. EDT.
- Blog: https://blog.algolia.com/
- Twitter: https://twitter.com/algolia
- LinkedIn: https://www.linkedin.com/company/algolia/
- Facebook: https://www.facebook.com/algolia/
- Careers: https://www.algolia.com/careers
Our mission is to make every search interaction meaningful and rewarding through developer-friendly and enterprise-grade APIs. Algolia helps the most innovative companies across all industries create powerful, relevant and scalable discovery experiences for their users. Unlike other solutions, Algolia's hosted platform reduces the complexities of building and scaling a fast, relevant digital experience and helps teams accelerate development time. More than 6,500 companies like Twitch, Lacoste, Discovery Communications, Medium, WeWork, Zendesk and Stripe rely on Algolia to manage 41 billion search queries a month.
Founded in 2012, Algolia is backed by $74M in funding from Accel Partners, Alven Capital, Point Nine Capital and Storm Ventures. The team is headquartered in San Francisco with offices in Paris, London, New York and Atlanta. To learn more, visit www.algolia.com.
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