Leiki is a Finnish born startup that offers context-based intelligence as a SaaS solution. Leiki’s technology allows for example media sites offer automatic context-based links to readers from their own archives (or similar news sites), targeted to each user’s preferences based on their behavior on the site. At the technological core, the company has a proprietary 100k+ category natural language ontology that empowers the analysis, discovery of content and the recommendation engine. In silence, Leiki has already signed up the biggest media firms in Finland and several major ones in the UK as their customers. The company is cash flow positive and now aims to come out of stealth and raise significant funding to go after the global market.
Leiki has a very impressive client list already. Below is a screenshot from their company presentation highlighting some of their references. Not only does Leiki have the top 4 Finnish media sites under their belt, but they also cater to other organisations overseas such as BBC, The Independent, etc. Leiki has been around for over 10 years and the early days of the company can be read in a personal story by Petrus Pennanen. Nevertheless, they’ve shown steady growth in the recent years and in the year ending 2009 made over half a million in revenue. Nowadays, the company is cashflow positive.
The evidence behind Leiki’s technology is clear. They have proved that they’re able to create an increase of 5 to 10 times the cross-linking traffic compared to manual promotion of related and relevant content. For media companies this is a clear win, as Leiki’s technology can automatically scan their article database and create the ontology which contains the relationships between terms used in the text (e.g. Tiger Woods, Golf, Sports are linked to each other).
The targeting of articles is based on automatic profiling of users based on their behaviors. The ontology and the targeting ensure the resulting recommendations are much more accurate and result in higher click-throughs. More details can be seen in the company’s recent blog post.
There’s even been one case, where a media company was able to stop buying SEM altogether thanks to Leiki’s technology. The increase in traffic was so great that there was no point in buying the traffic externally. This happened with a large media network that is able to direct traffic in a smarter way between its site properties.
Another interesting area where Leiki can add value is the targeting of banner advertising. The banners in Leiki’s system are targeted and automatically customized on a similar fashion based on the relevance of topic and user’s preferences, as opposed to pre-set simple keywords like in Google AdWords. Now the technology is available to anyone on any banner network. Basically Leiki’s technology could mean cost savings in any industry where huge amount of information needs to be automatically categorized based on the relations between vast number of documents, like governmental document databases.
Leiki’s future plans include raising an investment round of potentially a few millions of euros to further speed up their growth.
Below is an example of the Leiki technology in use at The Independent’s news site at a recent article on Egypt.