Introduction: Ecommerce Enablement as the Infrastructure Behind Modern Commerce

Ecommerce enablement has become one of the defining strengths of Israel’s retail tech ecosystem.

As global retailers rethink operations, margins, and customer acquisition strategies, demand is shifting toward technologies that improve how commerce actually functions. Israeli startups are increasingly building in these areas, helping retailers optimize pricing, operations, returns, merchandising, personalization, and cross-border commerce at scale.This trend is reflected throughout the 2025 Israeli Retail & Commerce Tech Report, where ecommerce enablement emerged as the single largest retail tech category in the ecosystem.

The numbers tell the story:

  • 23.9% of all retail tech startups operate in ecommerce enablement
  • The category includes 226 active companies
  • It recorded 32 acquisitions, the highest of any category
  • Funding activity accelerated again in 2025, particularly around AI driven commerce infrastructure

Download the full report to explore all retail tech categories, funding trends, and the Top 100 Israeli Retail Tech Startups.

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Why Ecommerce Enablement Continues to Grow

Ecommerce enablement remained one of the most resilient segments during the broader market slowdown.

While global retail technology funding contracted between 2022 and 2024, many companies in this category maintained operational momentum and continued scaling internationally. One reason is simple: these technologies sit directly inside the day to day workflows of modern retail.

The category spans:

  • Pricing optimization
  • Returns management
  • Marketplace infrastructure
  • Merchandising technology
  • Ecommerce operations
  • Customer experience optimization
  • Cross-border commerce enablement

As retailers became more selective with technology investments, startups solving measurable operational problems gained traction faster than experimental platforms. This broader ecosystem shift was highlighted by Thomas Sabu, Sr. Director of Digital Engineering at BJ’s Wholesale Club, who noted: “The retail technology ecosystem is heavily concentrated in eCommerce enablement and marketing solutions, reflecting a strong industry bias toward customer-facing capabilities. The rapid evolution of AI creates an inflection point for startups to innovate with greater efficiency, speed, and time-to-market.

AI Is Reshaping Ecommerce Enablement Operations

One of the clearest themes emerging from the category in 2025 is the rise of applied AI.

Unlike broader consumer AI trends, Israeli ecommerce startups are focusing on targeted retail use cases tied directly to revenue, conversion, and operational performance. Areas seeing the strongest momentum include:

  • AI driven merchandising
  • Conversion optimization
  • Pricing intelligence
  • Personalized customer journeys
  • Automated support and sales assistance

This application focused approach is part of what makes the ecosystem stand out globally. As Gil Globus, CEO of SayWhatt explained: “For solutions to be effective they must be customized for specific use cases. The Israeli ecosystem excels at maximizing AI for targeted applications.”. SayWhatt was also featured as one of the Top 100 startups, and belonged to this sector.

Ecommerce Enablement: A Category Built for Scale

Ecommerce enablement also stands out for its capital efficiency. Compared to other retail tech categories, companies in this space have scaled meaningful operations without requiring the same level of capital intensity seen in infrastructure heavy sectors.

At the same time, investor confidence is returning strongly. Notable recent funding rounds include:

  • Octup raised $12M Seed
  • REP AI raised $8.2M
  • Moonshot AI announced a $10M Seed round led by Mighty Capital and Oceans Ventures
  • ZyG raised a $60M Series A led by Accel in 2026 at a reported $500M valuation, bringing total funding to $118M within roughly a year of launch and signaling strong investor conviction around agentic ecommerce infrastructure

The category has also produced some of the ecosystem’s most notable exits:

  • ReturnGO was acquired by Global-e in 2025
  • Pepperi was acquired by Advantive in 2024
  • Nayax acquired assets of Syte, whose visual discovery and product recommendation technology strengthened AI driven search and personalization capabilities in ecommerce.
  • Cymbio agreed to be acquired by PayPal in 2026, further validating demand for infrastructure supporting marketplace and multi-channel commerce

These outcomes reinforce a broader pattern across Israeli retail tech: companies that solve operational commerce challenges continue attracting both strategic buyers and investor interest.

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The Top 100 Retail Tech Startups

The strength of the category is also reflected in the number of ecommerce enablement companies featured in the Top 100 Israeli Retail Tech Startups.

Highlighted companies are included in our complete report coverage on the Top 100 Startups.

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Conclusion: Ecommerce Enablement Moves to the Center of Retail Strategy

Ecommerce enablement has evolved into one of the most important operational layers in modern retail. What makes the Israeli ecosystem particularly strong is the combination of technical depth, global orientation, and strong alignment with real retail needs. Companies in this category are increasingly becoming embedded inside the infrastructure of global commerce itself.

As retailers continue prioritizing efficiency, automation, personalization, and operational performance, ecommerce enablement is positioned to remain one of the fastest moving areas of retail technology innovation.

Download the full report to explore the full ecosystem analysis, funding data, Top 100 startups, and additional retail tech categories.

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Yael Kochman