1. News
  2. Business of tech
  3. Coframe · AI websites
Coframe · AI websites2 min read

Startup raises $25M to build websites that change for each visitor

Coframe raised $25M to build AI websites that test and tailor themselves for each visitor, and it claims big sales gains for big-name customers.

By the Dashline deskSource: Techmeme
Startup raises $25M to build websites that change for each visitor
Photo: Carlos Delgado, CC BY-SA 3.0

A startup called Coframe has raised $25 million to build websites that look different to each visitor. It uses AI to test and personalize pages on its own, so two shoppers could see different versions of the same site. The money is a Series A, an early funding round. It brings the company's total funding to $35 million.

What Coframe does

Most websites are built once and look the same to everyone. Founder Josh Payne says improving them later takes "a tremendous amount of effort." Coframe's pitch is that AI can do that work. Payne says the goal is not just a prettier page. It is learning what makes a particular customer click and buy. He calls the vision the "living internet."

Who is backing it

Khosla Ventures and Hanabi Capital co-led the round. The valuation was not disclosed. Khosla Ventures also backed Coframe at the seed stage. Investor Vinod Khosla says browsing the web has become a slog. He says Amazon has "gotten worse and worse and worse" over 15 years because it pushes what it wants to sell. Writing code for every page is too expensive and slow, he said.

The results Coframe claims

Coframe says it has generated more than $300 million in extra revenue for customers including Dropbox, BCG, Block, Backcountry and Sur La Table. It also reports gains in conversion rate, which is the share of visitors who take an action, such as buying.

  • Dropbox: up 158%
  • Replit: up 410%
  • Cash App: up 60%

These figures come from the company itself. The story does not say they were checked by anyone else.

A crowded field

Payne says marketing technology is dominated by a few giants, including Adobe and Salesforce, plus many vendors selling tools for testing, targeting and measuring campaigns. Optimizely, once a Silicon Valley darling, was acquired in 2021 for an undisclosed sum. Payne is betting AI gives the category a second act.

What is not known yet

The story does not give pricing or say whether Coframe suits small businesses. It also does not explain how visitor data is used to tailor pages. Those are fair questions for any owner weighing a tool like this.

The takeaway

AI-tailored websites are drawing serious money, but the big sales gains Coframe cites are its own claims, so ask for proof before relying on them.

More articles

You should really read these.

Next step

Let’s talk