Spotzot, Inc. said it received $2.2 million in Series A financing in a round led by Cervin Ventures, Inventus Capital Partners and TiE-Silicon Valley Angels. The money will be used to accelerate the growth at the daily deal platform company and to fund the company’s sales, engineering and operations growth.
Spotzot Raises Series A Funding for Deal Targeting Platform
Leading source of in-store and online deals targets consumers by location and intent
WEBWIRE – Thursday, November 17, 2011, Santa Clara, CA – November 17, 2011 – Spotzot, Inc. (www.spotzot.com), the deal targeting platform that powers many of the top shopping applications and web sites, announced today it has received $2.2 million in Series A financing led by Cervin Ventures, Inventus Capital Partners and TiE-Silicon Valley Angels.
Spotzot enables brands and retailers to reach millions of new and loyal customers with campaign offers targeted by location and intent. The company’s promotions and coupons are displayed on a growing network of shopping applications and web sites including ShopSavvy, Shopkick, CardStar, Geodelic and others launching soon.
Spotzot searches thousands of sources everyday for in-store and online promotions valid at over 400,000 merchant locations managed by 750 of the top national and regional US chain operators. Spotzot then organizes and categorizes the deals and delivers them through free publisher APIs that are used to power a wide range of shopping experiences, such as loyalty programs, comparison shopping, local check-ins and more.
The company’s patent-pending targeting technology intelligently presents the deals that will generate the highest click-through rates based on the user’s location, interests and shopping behaviors. In early testing, 45 percent of shoppers who clicked on a merchant page demonstrated clear purchase intent by clicking on the same deal at least twice from multiple locations—usually once while researching deals and then again while visiting the store.
“Spotzot’s APIs made it easy for us to quickly introduce deals into our mobile application, giving us broad control over how we display and target content,” said Matt Weathers, Head of Product for ShopSavvy, the leading mobile shopping assistant with more than 20 million downloads and over 10 million current unique users.
“We address two key market needs,” explains Bobby Jadhav, CEO of Spotzot. “We fill a void for publishers by providing a compelling, accurate and dependable source of everyday in-store shopping, grocery and dining offers to attract a broad consumer following, and we allow advertisers to reach millions of consumers with increased relevance.”
A survey conducted earlier this year by Ipsos OTX and commissioned by Google found that nearly 4 out of 5 US smartphone owners use their phones to help with shopping and that 70% use their smartphones while in a store. Spotzot is among the first deal providers to bridge the gap between offline and online retail shopping experiences to help brands and retailers reach consumers at the precise moment of intent to purchase.
“Spotzot’s extraordinarily high consumer intent and engagement proves they have a more effective way for brands and merchants to target consumers and improve campaign performance,” said John Dougery, Managing Director of Inventus Capital Partners.
“We believe they have the right technology innovations, domain expertise and savvy management team to make a major impact in the retail space.”
The capital will be used to accelerate the growth of Spotzot’s deal targeting platform and to fund the company’s sales, engineering and operations growth.
Spotzot’s intelligent deal targeting platform enables brands and retailers to reach millions of new and loyal customers with campaign offers targeted by location and intent
The company generates higher campaign click-throughs from algorithms that intelligently select, tag and organize high value online and in-store offers. Spotzot searches thousands of promotion and coupon sources everyday for in-store and online deals from 750 national and regional U.S. chain operators valid at over 400,000 merchant locations, including over 1,000 major shopping mall venues. Offers are accessed by publishers through a series of free APIs. Founded in 2009 and based in Santa Clara, California, Spotzot is funded by Cervin Ventures, Inventus Capital Partners and TiE-Silicon Valley Angels. For more information, visit www.spotzot.com.
Cervin Ventures Cervin Ventures is an early stage B2B technology fund investing in mobile, cloud computing, software-as-a-service and social media startups. Cervin Ventures has been founded by a team of successful ex-entrepreneurs, whose experience and network allow them to find exceptional entrepreneurs, build strong alignment on company goals with the founders, and work with them to create great companies. For more information about Cervin Ventures, please visit: www.cervinventures.com.
Inventus Capital Partners Inventus Capital is a leading US-India venture firm managed by successful entrepreneurs and industry operating veterans who have financed and guided nearly 100 entrepreneurs with operations in India and/or Silicon Valley. Inventus backs entrepreneurs first and foremost. The companies financed by the Inventus managers over their careers have achieved nearly three dozen successful IPOs or mergers, to date, resulting in the creation of over $30 billion in aggregate wealth and market value for the company founders and shareholders.
TiE-Silicon Valley Angels TiE is a global, not-for-profit, non-political, and non-religious organization dedicated to fostering entrepreneurs across its global network sponsored by top venture capital, legal and accounting firms and Fortune 500 corporations. TiE is spread across 56 chapters in 13 countries comprising 2,000 experienced entrepreneurs and business executives as charter members and 13,000 aspiring entrepreneurs and professionals as members. TiE Angels is within the domain of the Silicon Valley chapter. For more information about TiE-Silicon Valley, please visit: www.sv.tie.org.