Spangle AI raises US$15M to turn AI discovery into retail conversions
Former Amazon execs raise funding to build AI infrastructure that bridges shopper intent and checkout.
If you're still thinking about AI as a chat tool or product recommender, Spangle AI wants to change that. The Seattle-based startup, founded by former Amazon execs, just closed a US$15 million Series A round to build what it calls the “agentic infrastructure” for e-commerce.
Backed by NewRoad Capital Partners and returning investors like Madrona and DNX Ventures, the company is going after a big pain point: turning shopper interest into action as AI-powered discovery tools like ChatGPT and Google AI Overviews shift where decisions get made.
In this article, we look at what Spangle AI is building, how its agentic approach works, and what marketers need to know about the fast-moving shift in online shopping behavior.
Short on time?
Here’s a table of contents for quick access:
- What is Spangle AI building?
- What’s driving investor interest in “agentic” commerce?
- How marketers can use Spangle AI in real campaigns
- Why this matters for your AI roadmap
What is Spangle AI building?
Spangle AI sits at the infrastructure layer of commerce. Its platform helps brands unify AI-led product discovery (like recommendations on social media or AI search) with conversion-driving on-site experiences. Rather than treating discovery and checkout as separate systems, Spangle uses intelligent agents to connect them as a single learning loop.
At the heart of this is ProductGPT, a brand-specific engine that understands what products are being sold, how they’re marketed, and which behaviors drive conversion. Real-time agents—called Seller Agents—interact with customers, adapt on the fly, and send insights back to ProductGPT. This constant feedback improves the AI’s understanding of what works, helping the system get smarter over time.
Brands like REVOLVE, Steve Madden, and Alexander Wang are already using the platform to boost results. REVOLVE reported a 60% jump in ROAS and 50% lift in revenue per visit. Steve Madden saw a 20% conversion bump. These kinds of metrics caught investors’ attention, especially in a market where AI tools often struggle to prove ROI.
Patrecia Meliana
What’s driving investor interest in “agentic” commerce?
Spangle isn’t the only startup chasing the agentic commerce model. Others, like Swap and Profitmind, are also building platforms where AI agents handle tasks like custom storefront generation, inventory decisions, or price optimization.
But Spangle’s edge may lie in execution and founder pedigree. CEO Maju Kuruvilla led Amazon’s Bolt unit, while CTO Fei Wang previously built customer service automation at Alexa-scale. That background is resonating with investors who want more than just AI hype.
“This isn’t just another AI plugin,” said Scott Jacobson at Madrona. “They’re going after one of commerce’s most expensive inefficiencies: converting paid traffic.”
With e-commerce spending expected to surpass US$6.8 trillion globally, and with customer journeys increasingly shaped by LLMs and recommendation engines, platforms that can bridge upstream discovery with downstream purchase behavior are positioned to win. That’s the gap Spangle is aiming to fill.
How marketers can use Spangle AI in real campaigns
Spangle is infrastructure tech, but it has practical implications for day-to-day marketing. Here are four specific use cases:
1. Turn AI discovery into real conversion
Shoppers now find products through AI Overviews, TikTok, and ChatGPT. Spangle links that discovery layer with your site, dynamically adapting landing pages and site experiences based on where the user came from and what they’re likely to want.
2. Personalize at scale—without overloading your team
Spangle’s ProductGPT learns your brand and adapts experiences in-session, based on real-time behavior and product context. This replaces rigid rules-based personalization.
3. Replace slow A/B testing with AI-led learning
Instead of waiting weeks for test results, Spangle’s agents learn and optimize continuously from every session.
4. Scale personalization while keeping brand voice
Generic AI tools often go off-brand. Spangle trains on your tone, brand content, and visuals to ensure alignment.
Why this matters for your AI roadmap
Spangle AI’s funding isn’t just a signal for startups—it’s a wake-up call for enterprise marketers. As AI agents increasingly shape what users see, want, and expect before they even hit your site, marketers need to rethink how their systems respond.
Static landing pages, slow experimentation cycles, and disconnected product feeds won’t cut it in an agentic era. What Spangle’s traction suggests is that marketers who build or partner with real-time adaptive infrastructure may finally close the loop between intent and purchase.
With the next wave of AI shopping tools already surfacing on platforms like ChatGPT, TikTok Shop, and Pinterest, those who delay may find themselves optimizing for a shopper journey that no longer exists.
