Home Online Advertising Demandbase Gets $65 Million In Series H Funding To Double Down On AI

Demandbase Gets $65 Million In Series H Funding To Double Down On AI

SHARE:

Businesses spend around $40 billion a year on digital content marketing, and Demandbase, which announced a $65 million financing round on Thursday, is looking to cut itself a slice of the pie.

Led by existing investor Sageview Capital with participation by a smorgasbord of others, including Adobe Systems, Altos Ventures and Sigma Partners, the financing is a combination of equity and debt and brings Demandbase’s total funding to $150 million since 2008.

The fresh cash will be poured directly into a bucket labeled “artificial intelligence,” said Demandbase CEO Chris Golec.

“The opportunity is to apply AI to the data we’re sitting on – 3 billion visits per months across all of our customers and 50 billion impressions that come through our DSP every month,” Golec said.

As Demandbase rolls up its sleeves on AI, the company plans to increase headcount from 250 to more than 300 with a particular focus on data science and engineering roles.

The Demandbase technology enables B2B marketers to target consistent, personalized messaging to multiple prospects within a group, aka account-based marketing, by mapping IP address to specific companies and URLs to specific products, service or interests.

Last year, Demandbase acquired Spiderbook, a data science startup founded by Oracle vets, that uses machine learning to automate the process of identifying in-market accounts and the most viable leads within those groups.

The question of who to advertise to is far more complicated in the B2B space than in the consumer-facing world. The buying cycle is longer and teams, rather than individuals, usually make the buying decisions.

“Using AI, you can execute marketing to ensure that you’re showing the right content and then you can measure that activity,” said Golec, noting that the application of artificial intelligence to search is one particularly tantalizing prospect in which Demandbase intends to invest. “It’s the difference between guessing at the keyword you think will make people come to your site and knowing exactly which keywords will attract a company to your business.”

The type of marketer looking to adopt B2B marketing tactics is also expanding, Golec said.

Two years ago, around 70% of Demandbase’s customers were high-tech companies like Google-owned API management provider Apigee or cloud-based enterprise performance platform Host Analytics.

Subscribe

AdExchanger Daily

Get our editors’ roundup delivered to your inbox every weekday.

Today, tech companies only represent about 45% of its client base as other sectors like banking, health care and manufacturing put more juice into their B2B marketing efforts. GE and Siemens are both relatively new Demandbase customer wins.

“The whole B2B segment has been massively underserved and most marketing technology is driven around B2C, cookies and consumers,” Golec said. “We’re focused on building from the ground up to help companies do a better job marketing themselves to other companies.”

Must Read

Advertible Makes Its Case To SSPs For Running Native Channel Extensions

Companies like TripleLift that created the programmatic native category are now in their awkward tween years. Cue Advertible, a “native-as-a-service” programmatic vendor, as put by co-founder and CEO Tom Anderson.

Mozilla acquires Anonym

Mozilla Acquires Anonym, A Privacy Tech Startup Founded By Two Top Former Meta Execs

Two years after leaving Meta to launch their own privacy-focused ad measurement startup in 2022, Graham Mudd and Brad Smallwood have sold their company to Mozilla.

Nope, We Haven’t Hit Peak Retail Media Yet

The move from in-store to digital shopper marketing continues, as United Airlines, Costco, PayPal, Chase and Expedia make new retail media plays. Plus: what the DSP Madhive saw in advertising sales software company Frequence.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters
Comic: Ad-ception

The New York Times And Instacart Integrate For Shoppable Recipes

The New York Times and Instacart are partnering for shoppable recipe videos.

Experian Enters The Third-Party Data Onboarding Business

Experian entered the third-party data onboarder market on Tuesday with a new product based on its Tapad acquisition.

Albertsons Takes Its First Steps Into Non-Endemic Advertising, Retail Media’s Next Frontier

Albertsons is taking that first step into non-endemic advertising next week via a partnership with Rokt to serve ads to people who have already purchased groceries.