Astarc Ventures and Mumbai Angels Network also participated in the round
AdOnMo plans to utilise the funds for product development and expand the team
AdOnMo was founded in 2017 by Sandeep Bommireddi and Sravanth Gajula
Hyderabad-based out-of-home (OOH) advertising startup AdOnMo, on Thursday (January 30), announced that it has raised $3 Mn in a funding round led by Ant Financials’ BAce Capital. Astarc Ventures and Mumbai Angels Network also participated in the funding round.
AdOnMo plans to utilise the funds for product development and expand the team. The company is also looking to deepen its presence in India with the help of these funds. As of now, the company operates in Mumbai, Hyderabad, New Delhi and Bengaluru.
Founded in 2017 by Sandeep Bommireddi and Sravanth Gajula, uses a combination of proprietary hardware and patented software to provide intelligent outdoor advertising solutions by mounting digital screens atop cabs and outdoor screens. The startup aims to bridge the gap between online and outdoor advertising worlds by bringing end-point intelligence to digital out-of-home (DOOH).
Amazon, Honda, Exide, HDFC Bank, IKEA, Reliance Digital are some of the notable clients for AdOnMo currently. It further claims to be providing affordable solutions for small and medium-scale enterprises (SMEs) as well. The startup has so far run over 250 campaigns for these clients across India.
Stressing the importance of technology, Gajula said that the company has taken a radically different approach to the problems in the advertising industry. “We have invested and would continue to invest heavily in technology advancements and make the media-tech space not just accountable, but constantly evolving and contextual,” he added. The cofounder also claimed that the company has so far filed seven patents and is also planning to file more in the future.
BAce Capital’s investment in AdOnMo came as a part of its plan to deploy more than 60% of the $150 Mn India and Southeast Asia-focussed corpus which invests in early-stage companies.
According to a Dentsu Aegis Network report ‘Digital Advertising In India 2020’, the digital ads market in India is expected to stand at INR 17,377 Cr in 2020, a 27% increase from the current number of INR 13,683 Cr. The report estimates that OOH advertising has seen a growth of 9% from 2018 to 2019 and has a 6% share in the overall advertising industry in India. The report also said that the growing trend in the digital OOH space focusses on capturing relevant data to minimise human intervention in buying the advertised product or service, which is one of the core propositions of AdOnMo.