Aila Adds $4.5M, Continues Surge of Retail Tech Startups

Every year seems to be the year when brick-and-mortar stores will catch up to their online peers in terms of technology. Now there’s another tech startup on our radar trying to make that happen.

Aila Technologies, formerly known as Padloc, says today it has raised $4.5 million from Romulus Capital, a Boston-based venture firm. That’s an interesting partnership: Romulus has invested in tech startups working in real estate (Placester), healthcare (Cohealo), air travel (Beacon), restaurants (E la Carte), and other traditional-sounding industries.

Natick, MA-based Aila works with companies such as Apple and IBM to develop mobile- and tablet-based kiosks, handheld devices for salespeople, and advertising portals for retail stores. The startup’s customers include Lowe’s, Foot Locker, Whole Foods Market, and Rite Aid.

The five-year-old company is led by CEO and co-founder Jason Gulbinas, who has a background in product design and development. “The shift to mobile devices is happening throughout the store—from the aisle to the check-out to the dressing room,” Gulbinas says in a prepared statement.

Other startup players in retail tech include NewStore, which raised $38 million earlier this year for mobile-shopping software; Swirl Networks, which raised an $18 million round last spring for beacon-based advertising; Celect, which raised $5 million for product-arrangement software; and any number of mobile payment and point-of-sale companies.

Author: Gregory T. Huang

Greg is a veteran journalist who has covered a wide range of science, technology, and business. As former editor in chief, he overaw daily news, features, and events across Xconomy's national network. Before joining Xconomy, he was a features editor at New Scientist magazine, where he edited and wrote articles on physics, technology, and neuroscience. Previously he was senior writer at Technology Review, where he reported on emerging technologies, R&D, and advances in computing, robotics, and applied physics. His writing has also appeared in Wired, Nature, and The Atlantic Monthly’s website. He was named a New York Times professional fellow in 2003. Greg is the co-author of Guanxi (Simon & Schuster, 2006), about Microsoft in China and the global competition for talent and technology. Before becoming a journalist, he did research at MIT’s Artificial Intelligence Lab. He has published 20 papers in scientific journals and conferences and spoken on innovation at Adobe, Amazon, eBay, Google, HP, Microsoft, Yahoo, and other organizations. He has a Master’s and Ph.D. in electrical engineering and computer science from MIT, and a B.S. in electrical engineering from the University of Illinois, Urbana-Champaign.