SAN FRANCISCO, Oct. 7, 2020 /PRNewswire/ -- Happy Cabbage Analytics, an integrated cannabis data analytics and marketing platform based in San Francisco, closed their $1.5 million Series Seed funding last week. The round was led by New York-based early-stage investment firm Delta Emerald Ventures, with co-investments from cannabis-focused technology investor Silverleaf Venture Partners, private equity firm Yaax Capital, and private equity firm West Creek Investments.
"We see our new investor partners as a key element to strengthening our trajectory, aligning in visions, values, and strategic understanding of the cannabis market," says CEO Andrew Watson.
"Happy Cabbage Analytics and Delta Emerald's mutual focus on data-driven decision making creates the foundation for a long-term partnership," said Ian Dominguez, Principal of Delta Emerald Ventures. "We believe dispensaries and brands will increasingly demand actionable customer insights, derived from real-time transaction data. Andrew and team bring a level of sophistication that positions them to feed this growing demand."
Launched in 2019, Happy Cabbage Analytics is an integrated data, insights, and marketing platform designed to help cannabis retailers and brands target lost customers and automate informed business decisions from their first party data. The platform algorithmically sorts retailer data to understand customer preferences and behaviors, enabling businesses to deliver hyper-targeted marketing campaigns while optimizing sales and performance. Their products feature best-in-class analytics capabilities, clarifying data without the expertise or expense of an in-house data analytics team.
The new round will be used to expand the team, invest in partnerships, and develop innovative products and integrations for performance-driven data analytics solutions.
The startup is bringing their SMS marketing product, Polaris, out of beta in October. Polaris streamlines high ROI marketing, management, inventory and customer communication recommendations into one comprehensive platform. The launch comes in succession of recently announced POS, delivery, and consulting integrations with key partners.
Happy Cabbage launched during the Winter 2019 cohort at Canopy Boulder, a seed-stage investment fund and business accelerator for companies developing ancillary products and services in the legal cannabis industry.
"We are excited to scale our business further, building out a suite of data-rich tooling that will enable our customers to grow sales and improve their cannabis consumers' experience with the click of a button," Watson said in a released statement.
"Both Delta Emerald and Happy Cabbage Analytics share the vision of bringing disruptive data-backed insights into cannabis," Watson added. "It presents a unique opportunity to bridge the gap between available data and synthesized knowledge."
The cannabis software market is showing increasing opportunity, even in the midst of the COVID-19 pandemic. Thirty-three US states have legalized medical cannabis and eleven, along with the District of Columbia, allow recreational use of cannabis, according to NORML, an advocacy organization supporting legalization. California's recreational use laws took effect on January 1, 2018, opening a massive new market for cannabis products across the state, and a growing need for data analytics to serve businesses and their consumers.