Tel Aviv-based customer content marketing platform Yotpo raised a $15 million Series B financing round led by Marker LLC, with the participation of Innovation Endeavors and Vintage Investment Partners, and existing investors Blumberg Capital, Len Blavatnik’s Access Industries, Rhodium, and others.
The company, which recently passed hundred thousand customers, also announced its expansion into New York, and the appointment of new board member Warren Adelman, former CEO of GoDaddy. The funding will provide resources to help accelerate Yotpo’s product innovation. It also allows for expansion into New York to further Yotpo’s growing presence in the US market, where 65% of the company’s customers are based. The office, located in New York’s Flatiron District, will be a significant contributor to the company’s headcount growth, which is expected to double in 2015.
“Until now, review software has failed to keep up with consumer preferences, preventing brands from seeing the possibilities of user generated content,” said Yotpo CEO and Co-Founder Tomer Tagrin. “Yotpo has taken great care in developing a platform that appeals to both mobile consumers and the brands trying to reach them. We are proud to see such a large number of investors eager to rally behind our product and join us in this stage of accelerated growth and innovation as we help our customers see the power of customer content marketing.”
“The increasingly mobile and social nature of brand-customer relationships is making it difficult for companies to market themselves in a meaningful way,” said Yuval Shachar, co-founder and partner at Marker, LLC. “Yotpo has made it possible for online businesses to break through the noise by harnessing their users’ content, generating trust and reaching new customers. We’re excited to join Yotpo’s team as they continue to disrupt the customer content marketing industry.”
Yotpo, founded in 2011, helps businesses improve their online presence by generating up to 10 times the user-generated content (UGC) compared to competitors via brand, site and product reviews. The platform provides increased marketing opportunities via deep Twitter, Google and Facebook integrations. According to the company, its year-over-year growth exceeded 400% in total customer sign-ups, review and content generation, and customer web traffic.