Novi Connect

# Novi Connect: High-Level Overview

Novi Connect is a B2B SaaS platform and marketplace that helps consumer packaged goods (CPG) brands and retailers verify product claims, manage sustainability certifications, and optimize product data for AI-driven commerce.[2][6] Founded in 2017 and based in Larkspur, California, Novi addresses a critical gap in the CPG supply chain: translating proprietary ingredient and packaging information between suppliers, brands, and retailers to ensure transparency and compliance with sustainability standards.[1][3]

The company serves a dual mission. For brands, Novi acts as a trust engine that verifies ingredients, certifications, and product claims while optimizing digital product data to increase visibility in AI shopping tools.[2] For retailers like Target, Sephora, and Macy's, Novi powers product badging programs and provides enriched metadata that builds consumer confidence.[2] The platform has evolved from its original focus on ingredient assessments in wellness and personal care to serve broader markets including food and household cleaning products.[4] With $51.8 million in total funding across three rounds—most recently a $40 million Series B led by Tiger Global—Novi is well-positioned within a $1.5 trillion market opportunity.[4][5]

# Origin Story

Novi was founded in 2017 and emerged from a recognition that consumer demand for transparency was outpacing the industry's ability to deliver it.[6] The company initially positioned itself as the first technology platform to use AI to ingest proprietary chemical information from manufacturers and suppliers, creating detailed chemical profiles that brands and formulators could use to assess current ingredients, find safer alternatives, or discover new materials meeting their standards.[1]

The company's early traction came through its seed round in March 2020, which raised $1.5 million from prominent venture firms including Cowboy Ventures, Felicis Ventures, and Polaris Partners.[1] This was followed by a $10.3 million Series A in September 2021 led by Greylock, signaling strong investor confidence in the sustainability-focused supply chain thesis.[3] The platform's evolution reflects a maturing market: as regulatory scrutiny increased and consumer awareness grew, Novi shifted from a pure ingredient assessment tool to a comprehensive B2B marketplace addressing the full product development lifecycle.

# Core Differentiators

• Third-party data translation layer: Novi uniquely positions itself as a neutral intermediary that translates proprietary information between suppliers, brands, and retailers—solving the "scalable data management" problem that has historically fragmented the CPG supply chain.[1]

• AI-ready product optimization: Unlike traditional product information management systems, Novi specifically optimizes product data for AI shopping agents and agentic commerce, helping brands earn retailer badges and build preference with AI-driven discovery tools.[2]

• Verified certification infrastructure: The platform streamlines multi-standard compliance (human health, environmental sustainability, social impact, animal welfare) and powers badging programs for major retailers, creating a trust signal that consumers increasingly demand.[3][6]

• Network effects: By aggregating data from suppliers, brands, and retailers on a single platform, Novi creates increasing value as more participants join—a classic marketplace dynamic that strengthens competitive moats over time.[1][2]

• Mission-driven positioning: In a crowded CPG tech space, Novi's explicit focus on enabling "conscious commerce" and building trustworthy products resonates with both sustainability-focused brands and values-driven consumers.[6]

# Role in the Broader Tech Landscape

Novi sits at the intersection of three powerful trends reshaping consumer commerce. First, AI-driven shopping is fundamentally changing product discovery—moving from static search to agentic recommendations—and Novi is positioning itself as essential infrastructure for brands to remain visible in this new paradigm.[2] Second, regulatory tightening (exemplified by the EU's ban of over 1,200 chemicals) is creating compliance complexity that demands technological solutions.[6] Third, consumer skepticism of traditional regulatory bodies is driving demand for third-party verification and transparency, creating a market willing to pay premiums for trustworthy products.[6]

Novi's influence extends beyond its direct customers. By standardizing how ingredient and certification data flows through the CPG ecosystem, the company is reducing friction in sustainable product development and making it economically viable for smaller brands to compete on transparency—democratizing access to sustainability innovation.[4] The company's work with major retailers also signals that sustainability verification is becoming table-stakes for retail partnerships, not a differentiator.

# Quick Take & Future Outlook

Novi is riding a secular shift toward conscious consumption and AI-mediated commerce at precisely the right moment. The company's Series B funding three years ago suggests it has achieved meaningful product-market fit, though the lack of a more recent funding round may indicate either a focus on profitability or a challenging fundraising environment for B2B SaaS.

Looking ahead, Novi's growth will likely depend on three factors: (1) expansion beyond CPG into adjacent categories like pharmaceuticals or food safety, where transparency demands are equally acute; (2) deepening AI integration as shopping agents become more sophisticated and require richer, more standardized product metadata; and (3) international scaling, particularly in EU markets where regulatory pressure is highest and willingness to pay for compliance solutions is strongest.

The company's ultimate influence will be measured not just by its valuation, but by how many sustainable products reach consumers who otherwise wouldn't have discovered them—and how much friction it removes from the supply chain for brands committed to doing better. In a market where trust is the scarcest resource, Novi has built infrastructure to manufacture it at scale.