Glimpse, the first AI-based end-to-end deduction management service for CPG brands, announced it has closed an oversubscribed $10 million series A funding round. The funding round was led by 8VC and participated in by existing investors YCombinator, Origin Ventures, and Informed Ventures and new investor Allison Pickens, the former COO of Gainsight.
Retailer deductions can drain a notable percentage of a CPG brand’s revenue, wiping out 10% to 30% of profit margins. And for a $10 million brand, that could mean up to $200,000 lost each year to invalid deductions. However, for most brands, disputing retail deductions (chargebacks for pricing errors, damaged goods, and other issues) means pulling invoices, cross-referencing spreadsheets, and emailing retailers. Even though many deductions are disputable, challenging them is often manual and inefficient, requiring significant time and resources, leading to missed deadlines and lost revenue.
Glimpse’s AI-based service automates deduction management, integrating with major distributors like KeHE and UNFI and retailers like Target to manage the entire process. And Glimpse delivers an average return on investment of four to five times, with some early adopters seeing returns as high as 33 times. The service handles the deduction-related tasks:
1.) Categorization – AI automatically categorizes deductions, extracting key details like retailers and SKUs, ensuring brands maintain full visibility.
2.) Disputes – Glimpse AI agents and in-house experts manage disputes end-to-end, leveraging internal data and strategic analysis to build strong cases for revenue recovery.
3.) Accounting – Integration with QuickBooks Online and NetSuite simplifies reconciliation by mapping deductions to a brand’s chart of accounts.
Glimpse’s approach to recovering deductions is already delivering real results. And for immi, a high-protein, plant-based ramen company, deduction management was draining time and money. In just a few months with Glimpse, immi had recovered $23,600 in lost revenue, including $10,200 from a single freight charge dispute. Through Glimpse managing the process, immi has been able to redirect time and resources toward growth and product innovation.
Glimpse will utilize the funding to hire engineers and tech talent to work in person at its headquarters in New York City and extend its deduction management services to Walmart, Amazon, and new CPG verticals.
KEY QUOTES:
“When brands get paid what they’re owed by retailers and distributors, they can put that money back into growing their business. Since launching in April 2024, we’ve worked with more than 125 brands to recover lost revenue. We’re excited to expand our reach to new retailers, distributors, and categories, bringing the power of automated deduction management to even more CPG brands.”
- Akash Raju, CEO and co-founder of Glimpse
“Deduction management is an expensive, complex, and often overlooked problem in the CPG world. Glimpse has built a solution that makes it simple, scalable, and smart, freeing up cashflow for brands squeezed by thin margins. That’s exactly the kind of mission we back at 8VC: bold founders who see what others don’t and fix what’s broken.”
- Jack Moshkovich, Partner at 8VC
