Leadzai restructures business and cuts 25% of employees
The digital marketing adtech startup Leadzai that focuses on the online advertising market is restructuring its business and shed 25% of its staff.
The startup that was in the first batch of startups that joined Unicorn Factory Lisboa has shed 17 staff leaving a workforce of 51, justifying the cull on needing to position itself in the market in a more competitive way.
According to the online news source ECO the company will also lose a partner with which it had made a significant investment.
“In the last two years, the market for artificial intelligence and digital advertising has evolved, and consequently changed behaviors at a much faster rate than in previous years. It is our job to try to anticipate these changes and trends, and position Leadzai in the most competitive way in the market. This reorganization is due to this constant search for the right positioning,” explains João Aroso, founder and CEO of Leadzai.
The loss of a partner with whom they made a “significant investment” also impacted the decision. “In fact, there was a partner with whom we ended a relationship at the end of the year and, although it was not in 2024 a large part of our revenues, it was a partner with whom we made a significant investment and that we had planned to obtain the return on this investment from 2025 onwards,” explains the founder of adtech.
Unfortunately, the partner, as a result of this market dynamics, decided to make a strategic acquisition of another company that was incompatible with the plan we had, “he explains.
Acting in the area of online advertising, helping micro and small companies to attract customers through digital marketing, “in Portugal the business is mature and stable in terms of growth”, with the foreign market making up “practically 80%” of revenues.
“The American market is by far the largest in the world in our area. Investment in growth through digital channels by American micro and small businesses is unparalleled. We will continue to focus on mature and scale markets,” said João Aroso, when asked about the company’s strategy for the future. To date, adtech has raised around €10 million in the market.