Swirl Networks, a US-based in-store mobile marketing platform provider which aims to combat “showrooming” whereby shoppers use physical stores as showrooms but then purchase online, has closed a strategic $8m investment round led by Hearst Ventures, the corporate venturing unit of media group Hearst Corporation; the round includes repeat investments from SoftBank Capital, the strategic investment affiliate of Japan-based telecommunications, internet and media conglomerate SoftBank Group, and venture capital firm Longworth Venture Partners.
The funding will be used to fuel the expansion of Swirl’s technology platform, which leverages indoor micro-location targeting, into the large-scale, multi-category retail market.
Scott English, managing director, Hearst Ventures, said: “We invested in Swirl because the company is a leader and innovator in mobile marketing and retail engagement, which is the last frontier in influencing buying behavior. Many of our advertisers and partners are looking for new and effective ways to deliver personalized messages to consumers at the moment of purchase and nobody does that better than Swirl.”
Hilmi Ozguc, founder and chief executive officer of Swirl, said: “Hearst is an important partner in pursuing this massive market opportunity. Major retailers are looking for a comprehensive omnichannel strategy that brings the immense benefits of online marketing and e-commerce to their retail store sales efforts.”