Taykey, an ad tech company founded in Israel and with its eye on social trends, has attracted a heap of VC funding in a short period of time. Earlier this year, Taykey announced a further $15 million round of funding bringing its total VC investment to $32 million in five rounds of funding. The most recent VC funding included an injection of money from Eric Schmidt’s Innovation Endeavors fund, clearly demonstrating his faith in the company and the concept.
So what has attracted such high profile investment?
Taykey first sold ads programmatically to brands around content which trended with their desired audiences. However, it is now planning to shift its focus to a SaaS marketing platform. The unique selling point of Taykey’s marketing platform is that it enables advertisers to understand what its desired audience are talking about and browsing in real time. Using that data, ads can be placed next to the content in question. Taykey uses complex algorithms to track, understand and forecast the trends in the data that it mines from different web sources, where consumers’ everyday interests and aspirations are expressed.
Taykey has the potential to make brands more relevant and agile than ever. This is crucial because monetising a trend is a hard nut to crack successfully. Trends are fast moving in nature and what can be trending one minute can be a PR disaster for a brand the next minute. Taykey’s algorithms possess the ability to pick up on negativity around trends and pull ads as quickly as within 10 minutes of any trend-backlash. Last week in London, at Advertising Week Europe, it was stressed that social media is still a challenge for brands. Taykey offers a package that can help solve some of these issues, and assist those brands who have whole war rooms set up to monitor trends, who despite their size and their resources can become overwhelmed by the changing nature of trends.
What does the latest round of investment mean for Taykey?
The $15m fundraising will go towards the “roll out of a new marketing platform focused on analytics and audience insights – a media planning supplement to its existing media buying platform”. Taykey anticipates advertisers will benefit from the trend-spotting software throughout their marketing function and across the business, for example playing a role in creating social media content and even creating products.
Amit Avner, CEO and founder of Taykey, has also revealed that they will be offering a subscription model to advertisers, rather than a pay-per-campaign model, claiming that this will get better rates for customers who buy more and more at scale, and who want to scale fast. On the one hand for marketers who are closely watching budgets, being leased the tools may be a safer long term investment, and on the other hand for Taykey the model offers a steady income. The question then is whether Taykey will continue to resist the acquisition interest that will no doubt come from some of the leading marketing giants, off the back of this investment.