SAN FRANCISCO--(BUSINESS WIRE)--VideoEgg. Inc., the leading video advertising network for online communities, today announced that it has secured $15 million funding led by Focus Ventures. WPP, August Capital, and Maveron also contributed to the round.
VideoEgg, which delivers video advertisements across many popular svideo advertisements web sites, such as Bebo, Hi5, Flixster and Facebook applications will use the capital to grow its advertising network business and accelerate product development efforts, including innovative ad formats, targeting, and the most effective ways to leverage social networks to build brands.
"The social net continues to take time and attention from traditional media, especially in youth segments. We think traditional ad networks are not meeting the needs of brand marketers who are looking for viable alternatives to TV advertising," said Matt Sanchez, co-founder and CEO of VideoEgg. "This funding will help us to continue to build the next generation ad network and make advertising more social, moving away from creating an impression to securing an actionable brand engagement.”
Demonstrating compelling industry growth, IDC recently stated that internet advertising is the most important sector of the digital marketplace and estimates that it will grow to $31.4 billion in 2011. VideoEgg has been taking advantage of this growth through partnering with some of the largest social networks, bringing outstanding consumer reach to its advertising partners, which include Universal Pictures, Discovery Networks, Electronic Arts, Ford, Nike, Unilever and Nestlé. The company has demonstrated significant growth and leadership since launching its ad network earlier this year, including partnering with several leading social networks and signing on over a hundred advertisers.
“It’s all about the right mix to win in this market, which requires insight into the needs of marketers with innovative technology and a focus on rich media,” said Steven Bird, general partner of Focus Ventures. “VideoEgg has made significant traction selling advertising solutions and is truly seen as an innovator in the ad world.”
The strategic investment signals great confidence in VideoEgg’s market leadership and ability to reinvent the ad network around new ideas of engagement for brands. The company will continue to expand to build its unique solutions and serve brands across tier one ad markets.
For more information visit www.videoegg.com.