Ad tech firm Good Loop has closed a Series A round of $6.1m (£4.5m). The funds will be used to accelerate the company’s product roadmap, including the development of new solutions aimed at reducing digital advertising’s carbon footprint. The company also plans to expand its international teams, including opening new offices in New York and Chicago to serve its growing US markets that currently comprise 33 per cent of total revenue.
The round was led by New York-based investment fund, Quaestus Capital Management (QCM), with additional backing from Scottish Enterprise, impact investor SIS Ventures, European ad tech fund First Party Capital and investment raised on the crowdfunding platform Seedrs – bringing total investment into the ad tech for good platform to $8.2m since it was formed in 2016.
Good-Loop runs campaigns in over 18 markets around the world, and is on a mission to make the connection between brands and consumers more meaningful by delivering respectful ads that have real social impact – while also driving significant business and brand uplift for advertisers.
The company’s ad formats motivate people to watch an entire ad online by allowing them to unlock a free charitable donation at the end of each spot. It’s a strategy that aims to allow advertisers to receive more meaningful brand engagement, while appealing to consumers’ goodwill by providing a cost-free means of philanthropy. According to Good Loop this results in an average ad recall 4.5 times higher than the industry standard. Designated charities receive 50 per cent of ad revenue. Current clients include Unilever, PepsiCo, Nestlé, Levi’s, adidas, NBC Universal and Nike.
Good-Loop CEO Amy Williams, who founded the company alongside CTO Daniel Winterstein, said: “At the heart of our industry is an inherent value exchange between advertiser and consumer, and I’m on a mission to harness that value as a significant force for good. Through our respectful, positive ad platform, brands can treat people online as partners – rather than targets – united by a desire to have a meaningful social impact. Backing from industry experts like QCM and FirstPartyCapital, social impact investors and, indeed, the general public, will help to supercharge our growth whilst keeping us true to our values at every step along the way.”
Good-Loop, which has offices in London and Edinburgh, has also launched a suite of solutions to help advertisers measure and offset the carbon cost of their digital ad campaigns, including its Carbon-Calculator and Green Ad Tag, a 1x1 tracking pixel that enables brands and agencies to track and offset the carbon cost of their digital advertising in real time.
Demand for Good-Loop’s ad programmatic solutions has grown 180 per cent in the last 12 months, while its purpose-powered ad formats have also now raised more than $5m for charities around the world, including Save The Children, WaterAid, Feeding America and the WWF.