Attraqt Group plc (AIM: ATQT), a leading provider of online search, merchandising and personalization solutions for ecommerce, is pleased to provide the following trading update covering the three-month period ended 31 March 2021 (Q1 FY21).
Following its strong finish to H2 2020 the Company has seen momentum continue into the new financial year. Pleasingly, despite the ongoing pandemic related uncertainty, which has delayed some customer decisions, the Company has achieved its bookings and revenue target for Q1 FY21 and is tracking in line with its expectations for the full year.
Attraqt's customers continue to focus on their online retail offerings to compensate for reduced 'bricks and mortar' retail sales. There are signs that this is not just a response to the pandemic, but a growing structural shift. Particularly good progress has been seen with sales of the XO (Experience Orchestrator) product which is based on the Early Birds technology acquired in May 2019. With its self-service customer and partner onboarding features, the XO product allows the Company to realise the mid-market opportunity and scale growth faster.
In addition, Attraqt has delivered four up-sells of its new AI Search capability with existing clients in Q1 FY21. This includes one of the Group's largest clients, JD Sports, who are widely regarded for being market leaders in Omnichannel retail. For 9 years, Attraqt has powered best-in-class Search & Merchandising capability to complement JD's ever-evolving eCommerce stack. Over time, this has included the rollout over many additional JD brands and international sites as JD's growth continues at pace.
Following a successful proof of concept trial on JD Sports' UK site, AI Search will now be added to this list, a clear demonstration of the significant incremental value that Attraqt's AI Search product provides to clients. The new product demonstrates enhanced innovation and will be a key factor in strengthening client relationships going forward, driving revenue growth.
The addition of AI Search capabilities into the Group's offering was at the core of the rationale of the acquisition of Aleph in October 2020. The AI Search product applies machine learning at the heart of the search engine, providing the 'google-like' search functionality that customers increasingly demand and expect from any search function.
Mark Adams, CEO of Attraqt commented:
"The continued sales momentum that we have seen through Q1 coupled with our ongoing investment in innovation, product development, sales and marketing provides the Board with further confidence that there are significant opportunities for growth for Attraqt.
We are delighted that JD Sports have taken up our new AI Search product, a testament to the value it can provide. Increasing the speed of innovation is one of our core strategic priorities and this success shows how delivering on that objective feeds through into stronger relationships with our clients. We are well placed to capitalize on the opportunities available to us and achieve our long-term growth ambitions."