Mobile voucher startup, Shopmium, has rounded up $5.6 million of Series B investment from Ventech, Accel Partners and ISAI. The extra cash will give the French publisher funds to roll its app out to new markets.
Shopmium enables big consumer brands to target consumers directly with special offers and vouchers. The idea isn’t too dissimilar from Shopitize. Rather than redeem a coupon, the discount system cuts out the retailer and refunds the consumer directly.
Brands can run advertising campaigns on the mobile app, which acts as a form of product discovery for consumers before they can access the discount voucher. Shopmium is able to display imagery or even video as a way of increasing footfall to brick and mortar stores.
There’s no charge to advertisers that display vouchers on the app. Shopmium earns revenue from its own ad platform that supplies media to consumers’ smartphones using the cost-per-click model.
Investors Eye Potential
It’s another in a large round of funding for Shopmium. Back in late-2011 Accel Partners and ISAI pumped $2.1 million into the company to help it fuel customer acquisition and push the service into new verticals.
The startup has run campaigns for international brands like l’Oréal, Nestlé and Pepsi. Shopmium has also advertised vouchers and video ads for more local advertisers including Innocent, Tyrrell’s, Michel & Augustin and Too Good.
Reports suggest that Shopmium will be launching into a new market later this year and a second in 2014. The UK and USA are both said to be favourites for the startup, which has only been up and running 18 months.