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Pandora Competitor Senzari Raises $1 Million From 500 Startups & Angels To Fund Global Expansion

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Miami-based streaming music startup Senzari, which aims to take on Pandora by targeting the markets Pandora misses (i.e., the rest of the world), has just closed an additional round of funding totaling $1 million. The round includes investors in both Miami and Silicon Valley, including, notably Dave McClure’s 500 Startups.

The company had previously raised $2 million from undisclosed angels in Silicon Valley and Boston (mainly friends and family) and a private equity group in Southern California.

Senzari, the fourth startup from serial entrepreneur Bill Hajjar, offers an online music streaming radio service with a catalog of 11 million songs – a big jump over Pandora’s 900,000. As a radio service, Senzari is not trying to compete with startups like Spotify, Rdio or MOG, which let users program playlists and download tracks for offline listening. Instead, its value proposition is that it has a bigger database containing the “right” songs (meaning, the good ones), and, most importantly, that’s it’s available outside the U.S.

Also unlike on-demand services, Senzari doesn’t have to make deals with record labels to gain access to music – just distributers like SoundExchange, ASCAP, BMI and SESAC in the U.S., and others in different countries.

The company rolled out into beta in Spain back in February of this year in partnership with MTV, following its beta launches in the both U.S. and Brazil (where VH1 is its partner) in December 2011.

Another unique feature to the service is how it integrates social. Using Facebook’s Open Graph, Senzari aims to do for streaming music radio services what Spotify did for on-demand music services – that is, it will help you discover what your friends are into. Of course, Pandora offers some Facebook integration too, but Senzari plans to go further, not just showing you who listened to what, but combining data from both your own listening habits and those of your friends to serve up personalized music recommendations.

It also offers something called “Around Me,” which combines check-in data from Facebook to algorithmically suggest tunes based on what people at a particular location (like a bar, coffeeshop, etc.) tend to listen to. In other words, a social, local, Facebook-based radio service.

The new funding will be officially announced tonight as the Geeks on a Plane (#GOAP) Latin American Tour kicks off in Miami. The 10-day tour includes stops in Mexico City, Sao Paulo and Buenos Aires.

“We are excited about joining the 500 family as it allows us to leverage its impressive mentor network and global relationships,” says Senzari COO Demian Bellumio. “As a matter of fact, we created a special section in Senzari with radios for each of the stops of the tour with music that represent current and classic hits.”

The company plans to use the funding to expand its core team, strengthen and add features to its service, and continue its rollout to other regions. Although Senzari won’t reveal its expansion goals right now, the company will announce more countries and partnerships in June at the LeWeb Conference in London.


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Kleiner Perkins And Sequoia Fund $6.5M Round For Cross-Device Ad Targeter Drawbridge

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When two of the biggest names in venture capital (arguably still the biggest) both invest in a startup, you know it’s probably time to take notice. So yes, take notice: A cross-device ad targeting startup called Drawbridge has raised a $6.5 million Series A from Kleiner Perkins Caufield & Byers and Sequoia Capital.

The company was founded in November 2010 by Kamakshi Sivaramakrishnan, a scientist at AdMob and then, after the acquisition, at Google. Sivaramakrishnan says she started the company because she saw the proliferation of ad targeting technology on the desktop web, while there was “no significant technology innovation” on the mobile side. So she decided to tackle the problem herself, “outside of the big G.”

Since then, Sivaramakrishnan says her team has built “very heavy-duty technology” to link up ad targeting on desktop and mobile. Drawbridge looks at activity on the desktop Web, and on mobile Web and apps. Then it uses “probabilistic and statistical inference models” to suggest which PC and mobile users are likely to be the same person using two different devices.

“Over time, we get enough confidence on the probability of these two activities belonging to the same user that deem it to be a ‘pair’,” she says.

And once a pair has been made, mobile advertisers have access to user data that’s being collected on the desktop, and can target their ads with much more nuance. In addition to the technology disparity between desktop and mobile, Sivaramakrishnan notes that people are usually using their mobile devices for a relatively narrow range of activity, usually entertainment or content consumption, so it’s only by accessing to their desktop activity that advertisers can determine “commercial-grade intent.”

The model also steers clear of any privacy concerns, Sivaramakrishnan says. There’s no personally identifiable information collected — no phone numbers, no email addresses, no Facebook accounts. In the meantime, Apple has started rejecting apps that access UDIDs to identify their users, which Sivaramakrishnan says makes Drawbridge “even more pertinent and significant now than when UDIDs were being lazily used as mobile cookies.”

“You don’t need a device ID to do advertising,” she adds.

Even though Drawbridge is only coming out of stealth today, Sivaramakrishnan says it has already been running campaigns with major advertisers and has significant revenue. The platform is still in beta testing, with plans for general availability in the second half of this year. Sivaramakrishnan also says the model could be expanded to other connected devices, not just desktop PCs and phones.

Drawbridge previously raised a seed round of undisclosed size from Kleiner and Sequoia.


Posted in Mobile, Social, Venture0 Comments

MoviePilot Seals $7M Series B Funding Led By DFJ Esprit

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It’s easy to miss the launch of the latest movies. You get a week of marketing and by the time you’ve figured out if you want to see it or not, it’s moved off the theatre and you’re waiting for the DVD release. Most movie marketing dollars are spent in these first few days. So MoviePilot, launched out of Berlin, brings upcoming films to fans based on their taste, turning the marketing model on its head and making better use of budgets. It focuses solely on upcoming movie projects and TV shows so that fans are less likely to miss new releases. This gives them a place to gather often long before official homepages are created, finding the right film for its natural audience and the right audience for a film.

Today it’s sealed a $7 million Series B financing, led by leading venture capital firm DFJ Esprit, and continued participation from existing VC funds T-Venture, Grazia Equity and VC Fund Creative Industries Berlin. This will be used to expand in the US and develop the platform.

Tobi Bauckhage, MoviePilot CEO and co-founder says “The campaigns we have already run on behalf of the world’s biggest studios have given us a fantastic base to further develop our brand of social marketing services for movies.”

So far MoviePilot worked with studios like Twentieth Century Fox, Universal, Disney and Paramount in the US and worldwide on movies such as “Chronicle”. Moviepilot.com and sister site Moviepilot.de have a combined Facebook fanbase of 5.4 million.

Disney, Universal and Paramount have been working with the German version of Moviepilot.de since its launch in 2007.

MoviePilot was founded by filmmakers Tobias Bauckhage and Jon Handschin (CPO), as well as former OMDB founder Benjamin Krause (CTO). The company has previously received funding from Grazia Equity, Passion Capital’s Stefan Glanzer and Deutsche Telekom Ventures, as well as Peter Read, who previously ran Nielsen Entertainment for the movie studios in Los Angeles.

I interviewed Bauckhage in Berlin:


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Payments And Online ID Verification Company Jumio Nabs Strategic Investment From Citi Ventures

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Mobile and online payments and ID verification startup Jumio has received an additional Series B investment led by Citi Ventures, a unit of global financial services company Citi. The funding follows Jumio’s $25.5 million Series B from March, led by Andreessen Horowitz. Although Citi’s investment amount is not being disclosed, to date, Jumio has raised $35.4 million in funding.

Other investors in the company include Facebook co-founder Eduardo Saverin, Peng T. Ong, partner at GSR Ventures and founder of Match.com, and Vivek Ranadivé, founder of TIBCO.

Alongside Citi’s investment, Jumio also announced that Ramneek Gupta, Managing Director at Citi Ventures, joined Jumio’s board of directors as an observer.

Founded by Daniel Mattes in 2010, Jumio is building a platform which uses computer vision and advanced algorithms to identify credit, debit and ID cards which are held up in front of a computer’s webcam or a mobile phone’s camera. In the case of bank cards, via a product called  Netswipe, Jumio is able to “see” the numbers on the card, and  then automatically enters them into the form on an e-commerce or m-commerce website or within an application. This is arguably more advantageous on mobile phones, where typing in a long string of numbers on a small keyboard can be cumbersome.

A newer product is taking Jumio’s computer vision techniques, and applying them to reading ID cards. Netverify allows merchants to confirm a customer’s identity in real-time, in order to continue an in-process transaction without interruption, eliminating the need for consumers to scan and fax copies of their ID. Instead, they simply hold their ID up to a webcam, Netverify scans it and the merchant gets an instant verification. This will be especially useful for banking and financial institutions.

Both products were launched last year, and Jumio recently announced a string of customer deals covering transaction volume of $154 billion.

As for the Citi deal, the company says that Citi saw a lot of potential for  Jumio to innovate in the payment space. Citi Ventures’ Ramneek Gupta adds “The Jumio team’s innovative solutions for remote authentication caught our attention as soon as we heard about them. We believe their solutions have the potential to help the online and mobile banking industry overcome key challenges related to fraud and identity theft,” he says.

Jumio says it now has deals in the works with customers in the U.S. and Asia which will be announced later this year.


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Coupa Raises $22 Million Series E To Help Companies Track Spending

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Coupa, the creator of spend optimization software for businesses, which brings something of a Mint.com-like view into where a company spends on operating resources, is today announcing the close of a $22 million Series E round of funding led by a new investor, Crosslink Capital. Previous investors Battery Ventures, BlueRun Ventures, El Dorado Ventures and Mohr Davidow Ventures also committed to the round.

Although CEO Rob Bernshteyn says that Coupa could be profitable in a month if it cut back on its investments, the company is raising the additional funding to help it expand its product as well as move into new markets.

The new round comes on top of Coupa’s $12 million Series D from February of last year.

Founded in 2006, Coupa now has 250 customers using its service, which includes companies like Rent-A-Center, Salesforce, Pandora, Ross, The Limited, The Container Store, many Subway and McDonald’s franchises (35,000 locations at Subway, 3,000 at McD’s) and even some Fortune 50 companies like Toyota, Armstrong, and Gannett. Customers seem to be pretty happy with the service, too – Coupa’s renewal rate is 96%, Bernshteyn tells us.

“For all of the last three years [2009 to 2010, 2010-2011, 2011-2012] we’ve grown roughly 130% in our recurring revenue, well more than doubling every year,” says Bernshteyn. Plus, he adds, “we’ve had thirteen quarters of sequential growth in new, first-year subscription revenue.”

For those unfamiliar, Coupa is a platform for managing operating expenses, meaning anything that goes into running a business – the purchases, contracts, and suppliers who provide everything from office supplies to temporary labor. In Coupa, customers find the product or service they need, add it to the cart and then get the product approved through a workflow process customized to their business. Over time, Coupa builds up data on how the money is spent (which invites the Mint.com comparison).

But Coupa does more than give businesses insight into spending – it focuses on both the procurement and expense management side of things, and even includes interesting features, like being able to tweet from the platform, “thank” employees when their expense is below the category average, or warn them when they’re high.

On the product side, the company is planning to use the funding to introduce more capabilities around tracking contracts, building out its communities of customers, and improving its mobile footprint. It’s also working on bettering its budget approval app. Updates roll out quarterly, and since the service is paid for by annual subscription, the updates are free for current customers.

In terms of geographic expansion, Coupa plans to increase its presence in Europe, where it has seen “huge demand,” and it will build a channels organization that will help it get more reach, globally.


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BetterCloud Nabs $2.2M From Angels To Bring Better Management & Security To Google Apps

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About six years ago, Google launched Apps for Your Domain, which, for the first time, wrapped its suite of emerging cloud products under one umbrella — as a service for businesses and the enterprise. The service combined Gmail, Google Talk, GCal, and Google Page Creator, offering the suite to businesses, non-profits, and schools for free, with no hardware or software required. Thanks to something called “the cloud.” Today, the service is better known as Google Apps and is, according to Google, being used by at least 4 million organizations, with some 40 million-plus end users.

Yet, as the Google Apps ecosystem has expanded, and its tools have become integral to the day-to-day operations of millions of businesses, many are looking for better ways to monitor, control and secure end-user access to apps like Google Docs, Sites, and Calendars. That’s why BetterCloud launched earlier this year — to provide a suite of complementary products that provide Google Apps with enhanced management and security tools for both IT admins and end users. To help it get off the ground, the New York City-based startup has raised $2.2 million in seed funding from undisclosed angel investors.

BetterCloud will use the capital to accelerate the development of its security and management tools and broaden its strategic partnerships, says founder and CEO David Politis, who left his position running the SMB group at Cloud Sherpas (one of Google’s top enterprise partners, which recently merged with GlobalOne) last year to launch the new company. At Cloud Sherpas, Politis helped hundreds of organizations transition to Google’s cloud products, and led the development of its management tools for Google Apps. Prior to Cloud Sherpas, Politis was a founding employee at Vocalocity.

When Politis left Cloud Sherpas, he brought a handful of his team members with him, along with the IP and customers database of SherpaTools, the companion app for Google Apps that offered advance IT management functions for admins and end users that he and his team helped develop. If the concept behind SherpaTools sounds familiar, that’s because it is.

Politis and team are retiring SherpaTools, replacing it with a new and improved product, which launches today in tandem with its funding announcement. The new app, called FlashPanel, is available today in exclusive beta (the first 500 readers can sign up on its landing page), with public availability in the Google Apps Marketplace slated for the summer.

FlashPanel follows the February release of BetterCloud’s first product, DomainWatch, a Google Apps security tool for domains, created to ensure greater visibility and control for IT admins over their users’ activity. Politis says that he thinks the funding represents a validation of the maturity of the Google Apps ecosystem, and, in turn, the need for organizations to get better ways to make the most of Google’s products, both in security and management for admins and end users.

So what is FlashPanel? The management tool offers IT admins comprehensive domain management from one dashboard, giving them access to info on users, groups, and organizational units, Google Docs quota usage, as well as a chart profiling active, suspended, and unused seats.

BetterCloud also wants to provide granular management, as some small companies may not use CRM tools, so the suite offers shared contact management, which admins can use to disseminate information to individual users and sync with their mobile devices, add users to new groups, shuffle them around, remove them, or back up inboxes — which gives them a standard template to make it easier for onboarding new employees and deprovisioning those who’ve left.

FlashPanel also offers email signature standardization so that businesses can create a unified brand image for their employees, and its so-called “App Butler,” which users can enable via Google Chat to retrieve company directory contact info on-demand or broadcast company-wide events.

In addition, the suite includes scheduled and on-demand scans of domain activity, stats, email inbox monitoring, and delegation, as well as a product called Google Gooru, which offer companies training videos on each new Google Apps feature as they’re released, making it easier for admins to get employees using new features without the hassle of having to create their own or hold company-wide onboarding sessions.

As the Google Apps ecosystem continues to grow and develops new products and services around Vault, Chromebooks, and Android, BetterCloud wants to be the end-to-end service that provides the best management tools — for everything from domains and groups to reporting, security and compliance — for Google’s enterprise suite.

For more on BetterCloud, check ‘em out at home here.


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EveryMove Nabs $2.6M From Blue Cross, BuddyTV Co-founder To Help You Reduce Health Costs

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EveryMove, an alum of TechStars’ Seattle accelerator program building what they’ve dubbed a “mileage plan for health benefits, today announced that it has closed a $2.6 million round of series A financing. Participating investors include Penera Blue Cross, Blue Cross, Blue Shield of Nebraska, BlueCross BlueShield Venture Partners, Founders Co-op, Summit Capital, Jonathan Sposato, Voyager Capital Partner Geoff Entress, Matt Shobe, William Lohse, BuddyTV Co-founder Andy Liu, Ken Kuntz, and others.

As the startup is currently in private beta, it will be using this infusion of capital to ramp up its team as it prepares to launch into the market more broadly in the third quarter.

So what is EveryMove all about?

Founder and CEO Russell Benaroya tells us that the way health care is set up (in the U.S.) today, the people making healthy lifestyle choices end up subsidizing those who are making unhealthy decisions; instead, they should be rewarded for it. If the country is going crazy for consumer-centric healthcare, then that inherently demands that people be given control over their health (and healthcare).

EveryMove is looking to give consumers control by way of an interactive web and mobile platform that helps them connect and organize their health and fitness activities while turning their lifestyle actions into rewards and incentives within their health plans. The market has been primarily focused on “wellness” and “behavior change,” but wellness, Benaroya says, happens to crowded and employer-centric, while behavior change is actually really hard to get right because building building a “one size fits all,” scalable platform tends to do so by sacrificing the individual.

In turn, health providers have less than growing reputations among consumers (let’s be honest here — just ask Castlight) so they’re looking to build closer/better relationships with their customers. Generally speaking, to do this, they’re looking to partner with them to encourage actions that have a positive outcome on their long-term health — and their wallets. (This latter part is, admittedly, hard to believe given where their interests lie, but again, see our Castlight coverage.)

In other words, U.S. health insurance premiums increased by an average of 8 percent between 2008 and 2009 (which has gotten worse since) and health care costs comprise a bigger portion of America’s household budgets year-over-year than most others as costs rise and income growth remain flat. As a result, Americans are trying to be smarter, make better lifestyle decisions to avoid going to the doctor, and EveryMove wants to reward them for doing so.

Instead of going after wellness or behavior change, EveryMove is taking a different approach: Marketing. The service connects people through their lifestyle actions, which are captured through the passive collection of data via health apps, devices, and platforms, with companies that want to engage those healthy customers. This can be plans, employers, or brands, the EverMore CEO tells us, but, importantly it’s the consumer that gets to main control of their data — data which is portable and isn’t tied to their employer or insurance company.

EveryMove plans to monetize its platforms on a cost-per-action basis by taking a fee when users redeem rewards or incentives from their plan, brands, or employer. As EveryMove plans to sit in the middle of the marketplace, it takes a toll on each transaction.

Benaroya has been working on EveryMove for the last two years, working closely with Premera Blue Cross, he says, to understand their goals and objectives as the healthcare landscape changes. Benroya himself is a co-founder of Blink Digital Health, REM Medical, and a former senior associate at Blue Point Capital Partners. Taking the customer development work with the insurance plan and his experience with the marketplace, the founder has been looking to build something that’s not just a “nice to have” app, but a “need to have” source of information that will be critical to core business decision making.

The founder also sees real opportunity long-term in big data around lifestyle analytics — how that data and info can help inform decisions companies are making around positioning their products and services.

The ability to offer health plans that provide customized incentives for leading healthy lifestyles “is key to helping meet both employer and individual needs,” says Kent Marquardt, the executive vice president and CFO of Premera Blue Cross. (Premera is also an investor.) Programs like EveryMove, he says, can help them find better ways to do just that.

For more on EveryMove, check them out at home here. Below you’ll find Benaroya’s pitch from TechStars’ Demo Day:


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Ask A VC Is Back With Spark’s New Partner Nabeel Hyatt And Andreessen Horowitz’s Enterprise Guru Peter Levine

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Ask a VC, the TCTV show where you ask the questions, is back after a long hiatus and we’re kicking things off with two partners this week from Spark Capital and Andreessen Horowitz!

If you’ve got questions about what it’s like to shift from being an entrepreneur to being a venture capitalist, both our interviewees can actually tell you.

So how does this show work? You ask questions either in the comments or at askaVC(at)TechCrunch(dot)com and we’ll put them forward to our VC guests.

So for our first taping, we have Nabeel Hyatt, who just joined Spark Capital in February after serving as a general manager at Zynga (pictured at the right). He sold his company Conduit Labs to the social gaming giant and that deal set the groundwork for Zynga’s Boston studio.

Before that, he was a vice president of product at the MIT Media Lab spinoff Ambient Devices, which embedded information from the web into everyday objects like light bulbs, mirrors, refrigerators, and umbrellas to make the physical environment an interface to digital media.

If you’ve got questions about what the “Zynga mafia” will end up being like, he’s probably the one to ask.

Then later this week we have Peter Levine, a general partner at Andreessen Horowitz, who is extremely seasoned at company building (pictured at the top). Not only does he teach at Stanford’s Graduate School of Business and do mountain climbing, he has also served as CEO of XenSource, a provider of open source virtualization solutions that was acquired by Citrix Systems. He then became the senior vice president and general manager of Citrix’s data center and cloud division.

He’s also actually a two-time venture capitalist. Before XenSource, he was a managing director at Mayfield. And then, before that, he was at Veritas Software where he started as an engineer when the company had just a few people. By the time he left 11 years later, the company was doing $1.5 billion in revenue, had nearly 6,000 people and he was one of three executive vice presidents, responsible for sales to hardware manufacturers, marketing, mergers and acquisitions and the Veritas venture fund. Like his firm’s other partners, he also writes regularly and has some good advice on how to run board meetings and evaluate sales deals here.

Levine has recently gotten the firm into deals like Actifio, the virtualization data management software maker that raised $33.5 million in December. So if you have questions about Andreessen’s enterprise strategy or the firm’s unique approach, he’s the one to ask.


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Etsy Raises $40M To Fuel International Expansion

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Etsy, the popular online marketplace for all things handmade, just announced that it has raised $40 million in a new funding round led by Index Ventures with participation by Burda, Union Square Ventures, Accel Partners. All of the investors in this round also participated in the company’s $20 million Series E round in August 2010. Including today’s round, Etsy has now raised about $92 million.

According to Etsy’s CEO Chad Dickerson, the company plans to use this additional funding for two things: “we plan to grow Etsy into an economic force all around the world and we want to provide more products and services to help sellers succeed and build their businesses on the Etsy platform.”

In today’s announcement, Dickerson noted that his company has already made some efforts to expand internationally by launching in Germany and France. He also pointed out that he hopes to bring more wholesale opportunities to Etsy sellers thanks to the company’s recent acquisition of Trunkt.

Last year, about $525 million changed hands among Etsy buyers and seller. The company currently has about 300 employees and its community sold about $65 million worth of goods last month. The site gets about 40 million monthly visitors and currently has about 15 million registered users and 875,000 sellers in 150 countries.


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Social Ad Startup Adaptly Raises $10.5M From Valhalla And Time Warner

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Adaptly, a startup that manages ad campaigns across multiple social networks, just announced that it has raised $10.5 million in a Series B round of funding. At the same time, it’s launching a new product called Evergreen to help advertisers promote their social network content.

The round was led by Valhalla Partners, with participation from Time Warner Investments and Vivi Nevo — all three are investing in Adaptly for the first time. The company previously raised a $2.7 million round from First Round Capital, Charles River Ventures, Lerer Ventures, and others. Adaptly says all of its previous backers invested in the new round.

Among other things, the money will be used to fuel international expansion, says CEO and co-founder Nikhil Sethi.

As for the new Evergreen product, Sethi says that brands have worked and spent to build large followings on Facebook and other social networks, but that doesn’t mean those fans are actually seeing the content that the brands create — for example, Facebook estimates that an average post on a Facebook Page only reaches about 16 percent of that Page’s fans. For companies who want to reach a bigger percentage, Facebook announced an ad product called the Reach Generator, where companies pay to promote their content. Sethi says that Evergreen has a similar idea — using advertising to build on the organic reach of your content — but it works across multiple social networks, and is accessible to smaller advertisers. (Though initially Adaptly is focusing on Facebook, and the first customer it’s announcing is Kraft Foods.)

One of the more “forward-thinking” features, Sethi says, is the fact that Adaptly is pushing advertisers to promote content that’s actually good. More specifically, “We won’t let an advertiser put money behind a piece of content that doesn’t pass an organic threshold of engagement.”

Sethi also argues that this is part of a larger shift in the social advertising world, away from what he calls “the CP-something model,” where advertisers measure their success using metrics like eyeballs (CPM), clicks (CPC), and actions (CPA). Instead, Evergreen is closer to the traditional TV, radio, and print advertising, where the metrics are more focused on reach.

“Some people will argue that it’s a shame that [this model] is reappearing, but for the social space, it’s necessary to become more validated against the marketer’s budget,” Sethi says.


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