Kiwi SaaS firm set to launch new mobile marketing platform in US
Posted on 2-Oct-2015 19:57
Filed under: News
The Kiwi technology firm behind award-winning mobile marketing campaigns for some of the world’s biggest brands is planning a 2016 launch for its smartphone advertising software in the United States, helping ad agencies and their clients capitalise on the huge growth in mobile marketing.
Motim Technologies, which is backed by cornerstone investors Powerhouse Ventures and the New Zealand Venture Investment Fund, opens an offer on Monday 5 October with leading equity crowdfunding platform Snowball Effect to help fund its United States expansion.
Motim has pioneered the development of augmented reality and other camera-based technology for mobiles, and has worked on global campaigns for the likes of Becks, Coca-Cola, Nike, Sony, Disney and Universal. Locally, it has produced work for Peter Jackson’s Weta.
Motim Chief Executive Andrew Plimmer says consumers are rapidly transitioning to a mobile-first world and the rest of the marketing industry is struggling to keep up.
“Mobile is now a major consideration for brands as consumers spend more time on their smartphones and tablets. But the traditional ad industry model doesn’t work with mobile - consumers don’t want broadcast-style advertising hitting their phones, which are considered deeply personal spaces, and ad blocker apps are gaining in popularity.
“There’s a real paradigm shift going on in the marketing world as the industry tries to adjust. What Motim has been able to do quicker and better than anyone else is use our technology to create unique brand experiences that don’t feel like advertising.”
Motim’s equity crowdfunding offer has a funding target of $500,000 (9.6 per cent of the firm’s equity) and a funding cap of $1.5 million (24.1 per cent of the firm’s equity). The firm has a pre-money valuation of $4.7 million.
As well as continuing to develop bespoke mobile campaigns for agency and corporate clients, Motim plans to use the funds raised to launch a new software-as-a-service (SaaS) platform to its advertising agency partners. The SaaS platform will allow agencies to buy mobile media space for publishing with Motim’s interactive technology to deliver mobile campaigns.
Plimmer says Motim expects to earn substantial recurring revenues from the SaaS platform, mainly from the fast-growing United States market.
“The United States continues to be a big focus and, with an established base in Atlanta, Georgia, we’re a highly-regarded player there. There’s a US$25 billion untapped advertising opportunity in mobile in the US in 2016, and the market is growing at 34 per cent year on year.”
According to industry journal eMarketer, 2015 will see mobile account for more than half of all digital ad spend in the United States – and also surpass print ad spend - for the first time. The display and search categories dominate the mobile advertising space.
Plimmer says with Motim’s new SaaS platform incorporating the emerging space of ‘visual search’ (utilising smartphones’ in-built cameras) as well as display marketing, the firm has a significant advantage over newcomers to the mobile market.
Since launching in 2007, Motim has won numerous marketing industry awards for its work on high-profile campaigns, such as movies Despicable Me and Tron, album launches for heavyweight musicians Skrillex and Big Sean, and its Dog-A-Like app for Pedigree - which attracted more than 15 million users worldwide.
Head of Deal Flow at Snowball Effect Shaun Edlin says: “There’s been very few opportunities to invest in tech firms at growth stage in the equity crowdfunding market to date, so it’s great to have Motim, with its track record and exciting growth prospects, come on board.”