Streamlining Packaging Sourcing: How Keychain is Changing the Game
In the fast-paced world of consumer goods, brands are always looking for smarter ways to source packaging materials and ingredient suppliers. Think about it—attending trade shows can often feel like a maze, and not in a fun way. Thankfully, innovations like Keychain are stepping up to make this process smoother and more efficient.
What is Keychain?
Keychain is an innovative AI-powered platform designed to connect the consumer packaged goods (CPG) industry with over 30,000 manufacturers and 20,000 brands and retailers. Recently, the company secured a $5 million investment led by Continente, Portugal’s largest retail chain, owned by Sonae Distribuição. This funding is a significant boost for Keychain as it continues to harness technology to redefine how brands find partners.
The Visionaries Behind the Innovation
Co-founders Oisin Hanrahan and Umang Dua are no strangers to entrepreneurial success. After founding the home services marketplace Handy, which was later acquired by ANGI Homeservices, these dynamic leaders teamed up with Jordan Weitz to launch Keychain. Hanrahan expressed the need for this platform, noting, “There are easily 200 to 300 trade shows a year for manufacturers. One has 70,000 people go to it. Brands and retailers spend a fortune trying to interact, and there’s no digital product for this.”
Revolutionizing the Sourcing Process with AI
Keychain’s strength lies in its ability to leverage artificial intelligence, effectively eliminating the information asymmetry that has historically cluttered traditional sourcing processes. “We’ve probably spent $3 million on building the data asset, and I think we’re probably 10x to 15x more efficient because of our ability to use AI,” Hanrahan shared.
This innovation is especially timely. Prior to Keychain’s inception, navigating the complexities of sourcing could be a costly and inefficient ordeal for brands. By integrating technology into this system, Keychain aims to simplify the process, ultimately driving down costs and increasing transparency.
Early Challenges Leading to Breakthrough Success
Keychain officially launched just under a year ago, but it didn’t take off immediately. “It didn’t really work for the first two months,” Hanrahan recalled. “Then we got it right, and the data just started to take off.” This persistence paid off, as brands and retailers began to submit a whopping billion dollars in projects through the platform, signaling a robust demand for what they offer.
Future Growth and Expanding Horizons
Looking ahead, the company has exciting plans on the horizon. Hanrahan indicated that Keychain is launching two new platforms focused on packaging and ingredients. It’s also set to expand into Europe later this year, a move that could deepen its impact on the global CPG landscape.
Since its debut in November 2023, the company has raised a total of $38 million from reputable venture firms like BoxGroup, Lightspeed Venture Partners, and SV Angel, along with notable CPG giants such as General Mills and The Hershey Company.
Why this Matters
Keychain’s approach is a potent reminder of where technology can take traditional industries. By streamlining the way brands connect with manufacturers, it not only boosts efficiency but also democratizes access, breaking the cycle of exclusivity often held by traditional brokers. It’s a revolution, and savvy consumers and brands alike should take note.
As we look toward the future, the world of consumer goods feels both exciting and uncertain. Keychain is just one example of how technology is reshaping industries for the better. The AI Buzz Hub team is excited to see where these breakthroughs take us. Want to stay in the loop on all things AI? Subscribe to our newsletter or share this article with your fellow enthusiasts.
