Usercentrics a Germany based SaaS startup headquartered in Munich is working towards the creation of an entirely new infrastructure for handling user content in a wider range of data architecture. The company announced the closing of a new multi-million Series A investment from ALSTIN Capital, which was participated in by Reimann Investors and Cavalry Ventures, to meet this objective and to enhance global scaling operations. Regional head for NASDAQ listed Criteo, Alexander Gosswein, also contributed to the funding.
The software developed by Usercentrics, primarily allows its clients, most of whom are agencies, enterprises, and publishers, to obtain, handle, and legally document the consent of users for data processing applications. The software is anticipated to gain importance as data protection and collection of privacy-compliant consent is playing an increasingly important role around the globe with the implementation of the new GDPR regulation.
User Consent Management Increases Relevance of Funding
Properly managing user content has become a highly relevant constraint for enterprises that have business models driven by data, and companies meeting the requirements are seen as having a competitive advantage.
The market environment has resulted in increased credibility of the pitch delivered by the Munich based startup. Already, Usercentrics has claimed that hundreds of customers including major Fortune 500 businesses such as Commerzbank, Telefonica, and T-mobile have signed up for their services.
Mischa Rurup, the CEO and founder of Usercentrics stated: “Without consent, personal data is worth nothing; and without data, consent is worthless. If personal data is processed in the future, the company must prove the data’s origin, exact purpose, retention period and many more attributes. If the organization fails to do so, data from several years may have to be deleted in retrospect if the respective consents have not been documented correctly. This leads to a loss of customers and revenue. The company thus exposes itself to a significant risk, which exceeds the 4% fine foreseen in the GDPR.”
She further said: “Data and their consents only become a success factor after being merged. Usercentrics therefore generates consent IDs and attaches them directly to the data so that the consents are linked to the data.”