Placer.ai, a startup specializing in AI-driven market research based on location data, has secured $75 million in funding, elevating its valuation to nearly $1.5 billion. This funding will enhance their services across various industries, including retail, real estate, and healthcare.

Location data continues to be crucial in app development, with Placer.ai leveraging it for AI-based market research. The company recently raised $75 million, bringing its valuation close to $1.5 billion

Placer.ai offers location-based analytics to industries such as retail, events, real estate, financial services, and healthcare by using AI and anonymized data from third-party apps. The funding was initially reported through a Form D filed in July and later confirmed by the company's CEO and CFO.

This investment highlights the increasing importance of location data for businesses beyond just app developers. Despite growing concerns over data privacy due to frequent breaches, the value of data collected through everyday activities remains significant.

Placer.ai's analytics cover broad trends like foot traffic and detailed insights into consumer behavior, demographics, and purchasing patterns. While some may find these methods invasive, they are not uncommon, with companies like Foursquare and Esri also offering location analytics.

The company collects data via an SDK integrated with hundreds of app publishers and other third-party sources. Placer.ai emphasizes its commitment to privacy by ensuring all data is anonymized before analysis.

The latest funding round included participation from existing investors, with GEM Realty Capital noted by PitchBook as a contributor. Placer.ai's extensive cap table features over 50 investors, including notable names like Josh Buckley, WndrCo, Lachy Groom, MMC Technology Ventures, and Fifth Wall Ventures.

Placer.ai's CEO, Noam Ben-Zvi, revealed that the company reached an annual revenue run rate of $100 million in February, growing 80% last year and expecting a 60% increase this year. The customer base has expanded to over 4,300, including Sony, city development organizations, Wegmans, and Century 21.

The funding, driven by inbound interest, will be used for business development and to add more features and data sets to Placer.ai's platform, which already offers hundreds of data sets to users.

Founded in 2018 by Israelis Noam Ben-Zvi, Zohar Bar-Yehuda, Oded Fossfeld, and Ofir Lemel, Placer.ai faced a significant challenge with the Covid-19 pandemic, but its data proved invaluable during lockdowns, leading to business expansion post-pandemic.

Placer.ai uses machine learning and inference to create detailed profiles from app data, a feature increasingly appreciated by users looking to integrate more AI into their workflows. Customers seek a comprehensive platform for market research, including insights into market expansion and competitor performance.