$137.8B U.S. ad spend for top 200 advertisers
Demandbase, a tech company that allows b-to-b marketers to tailor ads and web pages to prospects based on their corporate IP addresses, has raised another $15 million dollars, the company is expected to announce today.
The funding, led by Greenspring Associates, comes at a time of growing enthusiasm among b-to-b marketers for solutions which allow them to reach prospects outside their email inboxes -- especially via digital advertising. Marketing automation software company Marketo, for instance, told Ad Age earlier this month that it plans to integrate with a programmatic buying platform within the year. Oracle may have set up a similar move with its acquisition of data management platform BlueKai earlier this month.
"I'm seeing the convergence of ad-tech and marketing tech," said Demandbase CEO Chris Golec in an interview with Ad Age. "The reason we got into the ad side side is we wanted to solve one of the fundamentally biggest problems b-to-b marketers have, and that's getting the right companies to their site."
Demandbase, he said, will use the funding to continue to continue to build out its ad product -- which b-to-b marketers can use to target ads to specific companies -- and hire dozens of new employees.
Mr. Golec said Demandbase was primarily working on website personalization up until a year and a half ago, when it realized most visitors to its customers' websites were not coming from companies they wanted to sell to. "That's when we looked at, gosh, if we can extend this technology to the advertising ecosystem, we can make a huge impact not only on the amount of traffic, but the quality of traffic coming in," said Mr. Golec.
Website personalization is still a significant part of Demandbase's business. The company can, for instance, help b-to-b marketers create personalized webpages for prospects based on which company they work at, it can also eliminate fields on web forms because it already knows where those filling out the firms are employed.
But the ad side, Mr. Golec said, is growing fast. He said b-to-b marketers use Demandbase not only to tailor ads to certain companies, but to show ads specifically to people who visit their website from companies with the ability to buy their products. And the product gives b-to-b marketers the option of showing different ads to prospects based on the pages of their website the prospects visited.
Demandbase, founded in 2006, has raised $59 million to date. It employs slightly under 100 people.