Retail sales flat as shoppers withdraw

Austin software firm, which customizes content, is expanding.

The Commerce Department said that seasonally adjusted retail sales rose just 0.1 percent lastmonth, after surging 1.5 percent in March following a harsh winter that had curtailed shopping.

Austin startup Compare Metrics, which helps online retailers better connect with shoppers, has raised $3.8 million to expand product development and add workers.

The company, founded in 2012, has developed a software platform that lets websites customize the product content they provide to shoppers.

It works by allowing consumers to use their own words to describe their preferences and style, rather than having to choose from standardized terminology and keywords. The tool understands and reacts to what the consumers want and presents products based on their preferences.

Compare Metrics has signed 10 major retailers as customers in categories including fashion, home goods and beauty, said CEO and co-founder Garrett Eastham. Customers include Lenovo, Fresh Pair, Rebecca Minkoff and the Wasserstrom Co.

Before Compare Metrics,

Eastham was product manager for data analytics at Bazaarvoice. Brett Hurt, founder of Bazaarvoice, was an early investor in Compare Metrics.

Austin Ventures was the lead investor in the deal, with participation from other investors including Capital Factory, Floodgate, Hurt Family Investments and Contour Ventures. The company has raised a total of $8 million.

The idea for Core Met- rics came from cognitive science research conducted by Eastham at Stanford University, where he earned a bachelor’s degree in computer science. The research focused on human computer interaction and understanding the impact of different computer interfaces on the decision-making process.

Compare Metrics has 32 employees and plans to add up to 10more this year.

The company is preparing to roll out a mobile product this summer to help retailers adapt to the changing online shopping environment, Eastham said.

“The proliferation of mobile devices, tablets and other technology is really throwing a wrench into the triedand-true marketing programs they’ve built and honed,” he said. “Whereas you once handled your research process on the same device, today it typically happens across multiple devices. It might start on your phone after you see a photo that catches your eye. But you aren’t going to buy on mobile; that happens later in the process on your computer. That’s the challenge for retailers — how to stay connected throughout the consumer decision journey.”