Daydream: Shopping, Reimagined

Daydream is a cutting-edge AI-powered startup founded by e-commerce veteran Julie Bornstein. The company has recently secured $50 million in seed funding to develop an innovative search engine tailored for e-commerce, focusing on enhancing the online shopping experience. With the proliferation of online shopping platforms, Daydream aims to address the inefficiencies and fragmentation that consumers face today. The startup leverages advanced technologies such as generative AI, machine learning, and computer vision to offer personalized and intuitive search results for shoppers.

Idea and Product

Daydream’s core product is an AI-driven search engine designed specifically for the e-commerce sector. Unlike traditional search engines that rely heavily on SEO and often produce cluttered results, Daydream provides personalized shopping recommendations. Users can search for products using natural language queries or even by uploading images, allowing the AI to understand and match their preferences accurately. Initially focusing on the fashion industry, Daydream has already partnered with over 2,000 brands, including high-end names like Net-A-Porter and Jimmy Choo, ensuring a diverse and high-quality product catalog.


The e-commerce market is experiencing rapid growth, with consumers increasingly relying on online platforms for their shopping needs. However, the market is also becoming more fragmented, with numerous platforms and channels making it difficult for consumers to find what they need efficiently. Daydream targets this challenge by providing a unified search solution that simplifies the shopping process. By initially concentrating on the fashion vertical, the startup taps into a lucrative segment known for its high consumer engagement and demand for personalized shopping experiences.

Business Model

Daydream operates on a commission-based revenue model, earning a percentage from sales generated through its platform. Unlike many e-commerce platforms, Daydream does not fulfill orders but serves as a discovery layer, connecting consumers with brands and retailers. This approach allows the startup to focus on enhancing the search and discovery experience without the complexities of logistics and inventory management. Additionally, Daydream has the potential to explore white-labeling its technology in the future, offering its advanced search capabilities to other businesses.


The technology behind Daydream includes generative AI, machine learning, and computer vision, which work together to provide personalized search results. The platform fine-tunes off-the-shelf AI models and integrates a comprehensive dataset of product catalogs. This combination allows Daydream to understand and respond to natural language queries and image inputs effectively. By leveraging these advanced technologies, Daydream aims to deliver more accurate and relevant search results compared to traditional e-commerce search tools.

Vision and Ambition

Daydream’s vision is to revolutionize the online shopping experience by making it more intuitive, personalized, and efficient. The company aspires to become the go-to search engine for e-commerce, starting with the fashion industry and potentially expanding to other verticals in the future. Founder Julie Bornstein envisions a shopping experience where consumers can easily find what they need, tailored to their specific preferences, without the frustration of sifting through irrelevant results. The startup’s ambition is to set a new standard for e-commerce search, leveraging AI to meet the evolving demands of modern shoppers.


Daydream boasts a seasoned team of experts with extensive experience in AI, e-commerce, and technology. Julie Bornstein, the founder, has held executive positions at Nordstrom, Urban Outfitters, Sephora, and Stitch Fix. The team includes Dan Cary as Chief Product Officer, who previously worked at Google’s AI research group, and Matt Fisher as Chief Technology Officer, with a background in data and applied science at Microsoft. Lisa Green, Chief Commercial Officer, has a rich history in tech, fashion, and business development, and Richard Kim, Chief Strategy Officer, brings expertise from his role in shopping strategy at Pinterest.

Investors and Funding

Daydream has attracted significant interest from top-tier investors, raising $50 million in a seed round co-led by Forerunner Ventures and Index Ventures, with participation from Google Ventures and True Ventures. This substantial investment underscores the confidence these investors have in Daydream’s potential to disrupt the e-commerce search market. The funds will primarily be used to hire engineering talent, scale the company’s operations, and launch the platform in beta to U.S. consumers.

Achievements and Milestones

Since its inception, Daydream has achieved several key milestones. The company has successfully onboarded over 2,000 brands, including prominent names in the fashion industry. It has also developed a sophisticated AI-powered search engine capable of understanding natural language and image inputs. The recent $50 million seed funding is a significant achievement, providing the necessary resources to scale operations and enhance the platform further. The planned beta launch in the fall marks an important step towards bringing Daydream’s innovative search solution to consumers.

Challenges and Risks

Despite its promising technology and substantial funding, Daydream faces several challenges and risks. The competitive landscape in e-commerce is intense, with major players like Amazon and Google continuously innovating. Additionally, consumer adoption of new search technologies can be unpredictable, and there is a risk that users may prefer familiar platforms. Ensuring the accuracy and relevance of search results is another challenge, as it requires constant fine-tuning of AI models and data. Daydream must also navigate potential privacy concerns associated with AI and personalized search.

Jobs and Careers

Daydream is actively expanding its team to support its growth and technological development. The company is seeking talented individuals, particularly in engineering, to join its ranks. With a current team of 23 employees, Daydream plans to increase this number to 35 by the end of the year. The startup offers opportunities to work on cutting-edge AI technology and be part of a mission to transform the e-commerce search experience. Prospective employees can look forward to a dynamic and innovative work environment, contributing to a pioneering startup in the tech and fashion industries.

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