Reactiv Raises $7 Million CAD in Seed Funding, Backed by Former Shopify Executives

Toronto-based Reactiv, an emerging player in AI-powered mobile commerce, recently made its public debut with the announcement of a $5 million USD ($6.97 million CAD) seed round. The funding round, closed in July, was led by Bonfire Ventures, with participation from American VC firms like Foxe Capital, Anthemis Group, Daher Capital, and Alumni Ventures. This round followed a quieter pre-seed round of $625,000 USD ($871,000 CAD) completed in February, with some angel investors joining both rounds. Bonfire Ventures Principal Jennifer Richard will now serve on Reactiv’s board, strengthening the company’s advisory and strategic direction.

Reactiv, co-founded by Michael Pezzi, Vikash Jha, and Shopify veterans Ross Correia and Zack Elias in 2023, offers a no-code mobile app builder tailored for ecommerce merchants. Leveraging AI for customization, Reactiv’s platform enables merchants to transform their existing websites into fully functional mobile apps without requiring technical expertise. The platform also includes features to enhance customer engagement and drive sales conversion. Some notable clients already utilizing Reactiv include Campmor, Missouri Star Quilt Company, Top of the Mornin’ Coffee, and Canadian online fragrance retailer FragranceBuy. Available in the Shopify app store, Reactiv is priced at $499 per month, with a premium package at $4,999 per month that grants access to advanced developer kits.

A significant value-add for merchants is Reactiv’s dynamic content synchronization. According to Ruth Foxe Blader, General Partner at Foxe Capital, merchants only need to update content on their website for changes to automatically reflect on the mobile app. This streamlined approach eliminates the need for separate content management for web and mobile platforms, saving both time and costs—a substantial advantage for brands seeking efficient, cohesive digital management.

One of Reactiv’s innovative offerings is Reactiv Clips. This feature enables brands to create a fully interactive section of their app that can be embedded within ads or social media posts, allowing users to experience a snippet of the app without needing to download it. Reactiv Clips can send push notifications to users who click on the ad or post, without requiring prior opt-in, aiming to recover potential abandoned sales by nudging customers back toward a purchase.

Reactiv’s journey reflects the co-founders’ dedication and sacrifice. Initially bootstrapped by its founding team of 10, Correia and Elias personally funded the startup by liquidating their assets, including Shopify stock, and leveraging credit. While the founders hoped to keep funding local, as Correia noted, they faced a limited appetite in the Canadian market for this type of mobile commerce technology, prompting them to seek support from international investors.

Reactiv is set to revolutionize the mobile commerce space by providing ecommerce brands with powerful, AI-driven tools that not only enhance customer engagement but also simplify the entire app development process. By enabling brands to create fully functional mobile apps without coding knowledge, Reactiv eliminates the traditional barriers to mobile app adoption. The platform also streamlines content updates, ensuring that any changes made to a brand’s website are automatically reflected on its mobile app, reducing the need for dual content management. This seamless integration of website and mobile app content represents a significant leap forward in the no-code, mobile-first ecosystem, offering modern brands a more efficient, cost-effective way to engage their customers and expand their digital presence.