Bengaluru’s Capillary Technologies has taken a significant step in its global expansion strategy by acquiring Kognitiv, a North American firm renowned for its omnichannel loyalty solutions. This acquisition marks Capillary’s fourth in the loyalty sector since 2021, reinforcing its ambition to become a leader in AI-powered loyalty management.
With this deal, Capillary enhances its presence in key markets such as the United States, Australia, New Zealand, Southeast Asia, and the UAE. The acquisition also brings Kognitiv’s impressive client base, which includes well-known brands like PetSmart, Hallmark, and Leading Hotels of the World. Kognitiv’s established reputation in delivering personalized, data-driven loyalty programs is expected to complement Capillary’s offerings, allowing for a more robust customer engagement experience.
Strengthening Global Presence Through Strategic Acquisitions
Capillary Technologies currently serves over 100 enterprise clients globally, including more than 15 Fortune 500 companies. The integration of Kognitiv’s technology is anticipated to deliver measurable business outcomes while enhancing customer experiences across various markets. Aneesh Reddy, Co-founder and CEO of Capillary Technologies, emphasized that this acquisition is a pivotal moment in transforming how brands establish meaningful relationships with customers.
Since 2021, Capillary has strategically acquired Persuade, Brierley+Partners, and the Digital Connect Assets of Tenerity, further solidifying its foothold in the global loyalty landscape. Jim Sturm, President of North America at Capillary, stated that Kognitiv’s addition significantly boosts their technological capabilities and expands their reach.
AI-Driven Loyalty Solutions for a Competitive Landscape
The timing of this acquisition is particularly relevant as companies increasingly focus on customer loyalty amidst a competitive digital commerce environment. Capillary Technologies, founded in 2012, leverages AI to help brands create personalized customer journeys across 30 countries. With a workforce exceeding 800, including over 150 in the US, Capillary is well-positioned to accelerate innovation in loyalty solutions across diverse sectors such as retail, healthcare, and financial services.
Having raised $140 million in a Series D funding round last year, part of which was allocated for employee stock ownership plans, Capillary underscores its commitment to talent retention as it evolves into a comprehensive global loyalty platform. This acquisition is set to further enhance its capabilities in fostering deeper customer relationships, crucial for long-term loyalty in today’s market.
