Toronto-based search marketing startup Chango has raised $4.25 million in Series B financing. Rho Canada, a division of NY-based Rho Capital Partners, led the round, which included participation from iNovia Capital, Metamorphic Ventures, Extreme Venture Partners and 24/7 Media co-founder Geoff Judge. As a result of the funding, Rho Canada’s Roger Chabra will join the Chango board.
Chango, a leader in search retargeting, today announced the completion of a $4.25M Series B financing. The investment was led by Rho Canada, a division of NY-based Rho Capital Partners, and included participation from previous investors, iNovia Capital, Metamorphic Ventures, Extreme Venture Partners and 24/7 Media co-founder, Geoff Judge.
The funding comes as Chango’s diverse data partners are now providing Chango clients with the ability to target more search queries per month than Yahoo! and Bing.
In its simplest form, search retargeting allows marketers to find individual consumers who have searched for the terms that matter most to a campaign and to target these consumers with highly personalized ads. Search retargeting is so successful because it focuses in on those individuals who are expressing the right type of intent, hence eliminating wastage from the media spend. The Company’s mantra is that search retargeting takes what is best about search and expands it into the world of display.
“We are thrilled to welcome Rho as a new investor, given the firm’s successful track record in helping to build long-term value for startups like Chango. The funding will be used to further solidify our position as a leader in the fast-growing search retargeting market” said Chango’s Founder & CEO, Chris Sukornyk. “We continue to demonstrate that search retargeting delivers consistent return on investment for our customers, leading agencies and marketers around the world. We are ushering in a new era that is making display media front and center for online direct response campaigns.”
As part of the new funding, Roger Chabra, General Partner of Rho Canada, will join the Chango board. “Rho is pleased to be partnering with the impressive, serial entrepreneurs at Chango. The recent addition of Dax Hamman and Chris Dingle gives Chango the strongest management team in the industry,” stated Chabra. “While many companies’ are speaking to search retargeting, Chango is taking a much more comprehensive and holistic approach, focusing on continually offering the industry’s best service and platform and on making this platform work effectively for a broad array of brand and direct marketers in multiple industries. Chango is the early leader in an exploding sector and we share the team’s belief that there is an opportunity to build a very large and disruptive business in the multi-billion dollar online ad market.”
2010 saw Chango experience major growth in all sectors of its business. The Company experienced impressive revenue and customer growth, across a number of verticals including retail, e-commerce, health services and travel. Chango significantly grew its partnership base with the addition of a number of leading search data providers and is now working with the majority of the industry’s leading advertising exchanges.
Chango provides a full-service solution for search retargeting to brands and agencies, as well as a self-service platform.
Chango is a performance marketing company whose mission is to make display advertising as effective, easy and accessible as search engine marketing. Our leading search retargeting solution enables media planners and search marketers to effortlessly target specific individuals based on their recent search history. By integrating the concepts of search engine marketing into display advertising, Chango delivers unprecedented flexibility and results. Chango is backed by leading venture and angel investors and is headquartered in Toronto with offices in New York and Chicago. For more information, visit www.chango.com or follow Chango on Twitter at http://www.twitter.com/changoinc.
About Rho Canada
Rho Canada, based in Montreal, is dedicated to backing leading, early-stage companies across Canada. Formed in 2006, Rho Canada is affiliated with Rho Ventures, based in New York and Palo Alto, and leverages off Rho Ventures’ 30+ years of experience in investing in venture-stage companies. Since 1981, Rho Ventures has been investing in leading edge, high growth companies that redefine the status quo. The firm has a deep history of supporting companies at multiple stages of growth spanning early stage investments to later stage expansion and growth equity transactions. Rho Ventures has financed approximately 200 companies and has invested in market leaders across many high growth sectors including information technology, communications, new media, healthcare and energy technology. Rho has over $2 billion under management. For more information, visit www.rho.com or follow Rho Canada on Twitter at www.twitter.com/RhoCanada.
About iNovia Capital
iNovia provides venture capital to entrepreneurs who transform innovations into successful companies. The team is comprised of sector experts focused on Mobile, Consumer Internet, Internet Communications, Software and Digital Media. iNovia has $165M under management across two seed and early stage IT and Life Sciences funds. For more information, visit www.inoviacapital.com or follow iNovia on Twitter at www.twitter.com/iNovia.
Metamorphic Ventures is a seed/early stage fund investing in digital media and transaction processing technologies. Digital media investments are focused on B2B web, mobile and app services and include FetchBack (recently sold to GSI Commerce GSIC), Tynt.com, iSocket.com, MyLikes.com, MadisonLogic.com, TuriyaMedia.com, GoodHealthAdvertising.com, Encoding.com and others. For more information, visit www.metamorphic.vc.
About Extreme Venture Partners
Extreme Venture Partners (EVP) is focused on providing early stage venture capital and management expertise to help propel start-ups into the big-leagues. We work with smart people who have great ideas for disruptive businesses, and the energy and ability to deliver. For more information, visit www.extremevp.com.