From Small App to Venture-backed Startup: The Journey of Alloy Automation

From Small App to Venture-backed Startup: The Journey of Alloy Automation

Table of Contents:

  1. Introduction
  2. Background of Alloy Automation
  3. The Storytelling Strategy 3.1. Evoking Emotion through Visuals 3.2. Providing Historical Context
  4. The Partnerships Strategy 4.1. Building Integrations 4.2. Content-focused Partnership Strategies 4.3. Leveraging Social Proof 4.4. Creating a Partner Program
  5. Building a Movement 5.1. Establishing a New Category 5.2. Creating Frameworks for Merchants 5.3. Harnessing the Power of Community
  6. Quantifying the Value of Automation
  7. Adoption of Automation across Business Models
  8. Conclusion


In this article, we will explore the journey of Alloy Automation, a venture-backed Shopify app, and how it successfully raised over $27 million in funding. We will delve into the strategies they employed to grow from a small app built in a room to a 30-person company backed by industry giants like Andreessen Horowitz and Y Combinator.

Background of Alloy Automation

Alloy Automation is an automation tool for brands that enables them to streamline their workflows and connect different operational apps they use. With a focus on automation, Alloy eliminates tedious tasks, allowing brands to concentrate on more meaningful aspects of their business. The company also offers a second product called Alloy Embedded, which enables software companies to embed integrations using RSDK.

Alloy Automation was founded by Sarah Do and Greg, who met during their involvement in the Apple developer community. With a background in engineering and design, the founders embarked on the journey of building the Alloy app as a side project. Little did they know that it would evolve into an ecosystem of over 220 integrations and garner significant investor interest.

The Storytelling Strategy

One of the key strategies employed by Alloy Automation was effective storytelling. In a market where it can be challenging to define what the company does in one sentence, Alloy utilized various approaches to communicate its value proposition. They started with a clear thesis: the current state of store operations is tangled and messy, and Alloy is the solution to untangle and connect all the different apps seamlessly.

To evoke emotion and convey the challenges that merchants face, Alloy used visuals and logos that resonated with their target audience. By mapping out workflows and showcasing the before and after of Alloy integration, they presented a clear and compelling story to potential customers. Additionally, they contextualized their solution by highlighting the changing e-commerce landscape and the need for automation.

The Partnerships Strategy

Partnerships played a significant role in Alloy's growth and go-to-market strategy. By embracing the Shopify App Store and other integration opportunities, Alloy expanded its reach and catered to various merchant needs. They actively sought out partnerships with complementary apps and leveraged content-focused strategies to amplify their integration announcements.

Alloy also established a sense of social proof by showcasing the faces and testimonials of their customers. This helped build trust and credibility among potential users. Additionally, Alloy aspired to create a partner program that would further strengthen their ecosystem and benefit their partners monetarily.

Building a Movement

Alloy Automation understood the importance of creating a movement around their product. They realized that they were not just building a Shopify app; they were shaping a new way of thinking about integrations and automation in the e-commerce ecosystem. By positioning themselves as pioneers and thought leaders, Alloy gained significant traction and captured the attention of merchants and investors alike.

To establish a new category and encourage merchants to think differently, Alloy developed frameworks such as the E-commerce Tech Stack. This visual representation helped merchants understand their app ecosystem and paved the way for discussing automation and integration benefits. Moreover, Alloy leveraged the power of the community, engaging in discussions on social media platforms, and participating in events to amplify their message.

Quantifying the Value of Automation

Measuring the value of automation can be challenging; however, Alloy focused on three key aspects: cost savings, time savings, and the ability to create new workflows. By automating repetitive tasks, Alloy enabled merchants to reduce their engineering costs and reallocate that budget to other strategic areas. Furthermore, the time-saving aspect of automation allowed merchants to be more efficient and focus on higher-value activities. Lastly, Alloy provided merchants with the opportunity to create workflows and processes that were previously impossible with their existing toolkit.

Adoption of Automation across Business Models

The adoption of automation varies across different business models and company sizes. Alloy Automation experienced growth primarily through a product-led motion, targeting brands with e-commerce managers and engineering resources. While small merchants with limited sales volumes may not immediately benefit from automation, Alloy offered free plans to expose them to the concept. Larger brands, such as Burberry, were among their enterprise customers, showcasing the scalability of the tool.


Alloy Automation's journey from a small app to a venture-backed company highlights the importance of effective storytelling, strategic partnerships, community engagement, and building a movement. By employing these strategies and quantifying the value of automation, Alloy successfully positioned itself as a leader in the realm of e-commerce integration and automation. As the e-commerce landscape continues to evolve, the demand for streamlined workflows and automated solutions will only continue to grow.


  • Alloy Automation successfully raised over $27 million in funding and grew from a small app to a 30-person company.
  • The storytelling strategy employed by Alloy, using visuals, historical context, and evoking emotions, played a crucial role in their growth.
  • Partnerships were leveraged to expand their reach and amplify integration announcements, with a focus on content-driven strategies and social proof.
  • Building a movement around automation was key to positioning Alloy as a thought leader and pioneer in the industry.
  • Quantifying the value of automation was achieved through cost savings, time savings, and the ability to create new workflows.
  • Adoption of automation varied across business models, with larger brands benefitting from automation tools that catered to their specific needs.


Q: How did Alloy Automation quantify the value of automation for merchants? A: Alloy quantified the value of automation through cost savings, time savings, and the ability to create new workflows. By automating tasks, merchants could reduce engineering costs, be more efficient with their time, and unlock new marketing channels through streamlined workflows.

Q: Did Alloy Automation offer a free plan? A: Yes, Alloy Automation offered a free plan to cater to smaller merchants and expose them to the concept of automation. This allowed them to build a larger user base and provide value to a wide range of customers.

Q: What types of businesses adopted automation? A: Adoption of automation varied across different business models. Alloy Automation primarily targeted brands with e-commerce managers and engineering resources. However, they also offered free plans for smaller merchants and catered to larger enterprise brands like Burberry.

Q: How did Alloy Automation establish a new category? A: Alloy Automation established a new category by creating frameworks, such as the E-commerce Tech Stack, that helped merchants understand the benefits of automation and integration. They also engaged with the community, participated in discussions, and shared their expertise through social media and events.

Q: How did Alloy Automation leverage partnerships? A: Alloy Automation leveraged partnerships by building integrations, employing content-focused strategies, showcasing social proof, and working towards establishing a partner program. These partnerships helped expand their reach, amplify their message, and create a mutually beneficial ecosystem.

I am a shopify merchant, I am opening several shopify stores. I use ppspy to find Shopify stores and track competitor stores. PPSPY really helped me a lot, I also subscribe to PPSPY's service, I hope more people can like PPSPY! — Ecomvy

Join PPSPY to find the shopify store & products

To make it happen in 3 seconds.

Sign Up
App rating
Shopify Store
Trusted Customers
No complicated
No difficulty
Free trial