Hootsuite Acquires AI Tech Firm Heyday for CA $60 Million

Hootsuite, the Vancouver-based social media management software firm, announced that it has acquired AI tech company Heyday for $60 million. 

This deal will enable Hootsuite users to get in touch with their customers directly via Heyday’s AI-powered video and chat function. Besides, it also allows companies to respond to customer queries in real-time. 

Hootsuite stated that Hootsuite and Heyday will operate as different entities. However, Hootsuite will leverage Heyday’s AI to power its own products. 

SEE ALSO: Microsoft Acquires CloudKnox to Improve Its Multi-cloud Capabilities

Evolving e-commerce landscape in North America 

Hootsuite said that more and more e-commerce companies are turning to message and social platforms to improve their customer experience.

This acquisition will allow Hootsuite to offer better solutions to brands so that they can improve their customer experience. 

Besides, the e-commerce sector is showing no signs of slowing down across North America. U.S. e-commerce sales increased by an impressive 39% in the first quarter of 2021 [1]. 

Hopping onto this trend, a lot of brands are relying on social media to improve customer engagement and experience. This is where Hootsuite’s solutions help them forge stronger relationships with their customers. 

Tom Keiser, Hootsuite’s Chief Executive said that social platforms are the new face of customer care. He also said that modern-day companies are interacting with customers on multiple channels at scale, which is impossible with AI intervention. 

What does this deal mean for Hootsuite?

After successfully acquiring Heyday, Hootsuite will now be able to provide AI capabilities to sales, support, and marketing teams from around the world to improve customer experience. 

It was critical for Hootsuite to expand its services as competition across the social media management landscape continues to grow. In addition, a lot of companies have recognized the importance of social media management, which is why the development of analytics and scheduling tools has picked up speed in recent years. 

Hootsuite’s competitors such as Sprout Social and Buffer are also eyeing similar opportunities. 

AI Chatbots: Future of customer care?

The deal is likely to be pretty lucrative for Hootsuite as AI chatbots are becoming increasingly popular. 

The adoption of chatbot technology from e-commerce and social media platforms is on the rise. Today, a multitude of cutting-edge AI chatbots are taking over the customer experience space as customers are becoming used to engaging with chatbots to address their queries. 

The pandemic is certainly one of the main driving forces behind this trend. 

More about Hootsuite

Hootsuite is a Canadian social media management platform with over 18 million users from around the world. To date, it has managed to raise around $300 million. 

More about Heyday

Heyday is an AI-powered conversational software that enables users to improve customer engagement.  Before being acquired by Hootsuite, Heyday has successfully raised around $6.7 million. 

SEE ALSO: Square Announces Plans to Acquire Australian Buy-now-pay-later (BNPL) Giant Afterpay

Image Source: Hootsuite

Karandeep V

Karandeep was born in Pune, Maharashtra, an upcoming metropolitan city in the Western region of India. While most members of his family are engineers, he had different ideas. He was more inclined toward exploring the non-technical aspects of a business, which is why he studied Bachelors of Business Administration at Symbiosis International University, Pune.  Having said that, his love for new and upcoming technologies remained intact, which is why he has written extensively about technology throughout his career. After a brief stint with a gaming company at the beginning of his career, he discovered that his love for writing was not temporary.  Being a tech geek, he always liked installing and playing around with new applications on his mobile devices and the home desktop. He was fascinated by how technology can simplify even the most mundane and complex tasks with just a few commands. He keeps a close eye on how businesses use different tools to streamline their operations to boost productivity and efficiency.  At ToolsMetric, he writes product reviews that cover the main features and specifications of different enterprise applications. The sheer amount of innovation and hard work that goes into building these tech solutions is one of the reasons why Karandeep loves reviewing these tools. Besides product reviews, he also writes interesting news articles and blogs that track the latest developments in the tech industry.  When he is not writing, you can find him rooted to his seat playing video games, watching movies, or supporting his favorite football team. Since his childhood, he has always loved to travel and explore new places. Traveling is a major part of his life due to a myriad of reasons such as experiencing new cultures, food, and traditions. His other hobbies include playing football, cooking, and running.  You can find him on LinkedIn here.

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