Tech Startup Data Gran Aims to Increase Efficiency of Digital Marketing
What: New York based and LatAm targeted ad-optimization startup Data Gran claims that it can help customers reduce their expenditures in digital advertising by at least 20 percent and increase revenues. Data Gran raised an undisclosed amount of capital from Wayra Colombia (a fund owned by Spain's Telefonica) and Quake Capital earlier this year.
Why it matters: Many marketers still refer to digital marketing as a "black box" with major inefficiencies. A new set of ad-tech companies have launched recently in order to reduce waste.
Colombian tech startup Data Gran, founded by Carlos Mendez, has been receiving a lot of attention recently by global corporations as it helps its customers reduce their expenditures in digital advertising by at least 20 percent and increase revenues.
The Company recognizes the creation of new marketing strategies and marketing budgets optimization as the two main challenges managers and CEOs face today. Taking this into consideration, Data Gran offers an artificial intelligence toolkit aimed at developing marketing strategies and optimizing digital advertising spend across Facebook, Instagram and Alphabet Inc ’s Google Display Network and Google AdWords.
How does it work? Data Gran’s Big Data Analysis engine asks businesses to upload their databases and select a specific industry, according to trade publication Latam Tech. Then the platform’s predictive analysis software returns data on business trends such as association rules and clustering, among others. This streamlines companies’ process by providing them with information on trends within their industry, allowing them to analyze what other companies are doing, and find novel ways to stay ahead.
Clients can also use the AdOptimizer to select their digital marketing objective and choose their preferred channel. Customers are only required to select their budget and campaign length. After that, Data Gran will do the rest.
Data Gran has achieved monthly sales of around US$120,000, and Mendez expects this to increase to up to US$300,000 after the launch. Should this occur, it will bring the company’s total first-year revenue to US$2 million. For 2018, assuming a few big clients like Telefonica S.A., one of its VC-backers, will sign up, Data Gran expects revenues of at least US$1 million per month.
Data Gran has been valued at US$5 million. "We first received capital from Wayra, then from Quake Capital in NY, and we just received another investment round from a Family Office in the United States," founder Carlos Mendez told the Latin American Private Equity and Venture Capital Association.