Gap Inc. has acquired retail technology company Context-Based 4 Casting (CB4) in an effort to boost sales and improve its customer experience.
CB4 specializes in improving retail shopping experiences through predictive analytics and demand sensing, powered by the use of advanced learning tools such as artificial intelligence and machine learning. The company’s technology has been implemented by major retailers such as Levi’s, Urban Outfitters, Lidl, and Kum & Go.
“We believe artificial intelligence and machine learning will shape the future of our industry. Gap Inc. has experience working with CB4’s world-class data scientists, so we understand the impact and the wide applications their science can have across sales, inventory and consumer insights, as well as its potential to unlock value and enhance the customer experience,” Sally Gilligan, chief growth transformation officer and head of the Strategic Growth Office at Gap Inc., said in a statement.
While the deal’s financial terms were not revealed, CB4’s team will join Gap as full-time employees.
The acquisition of CB4 marks the latest effort by the retail giant to improve on its omnichannel offerings and deliver more seamless customer experiences. In August, the company acquired Drapr, an eCommerce startup that offers 3D-fit technology and virtual rooms to reduce the volume of online returns. Gap also participated in the funding of obé fitness, a digital fitness platform that partners with Gap Inc.’s Athleta Brand to bring entertainment, pop culture and design to fitness.
CB4 has previously been back by Sequoia Capital.