GraphEffect Secures $2 Million in Funding to Expand Its Facebook Ads API Services

GraphEffect, a Facebook tab application developer and marketing platform with Ads API access, announced $2 million in new funding today. Secured from Matt Coffin formerly of Experian Interactive, audience targeting service provider x+1′s president Stephano Kim, and several VC firms, the money will be used to expand the company’s service offering and make hires for its technology and sales wings.

The funding indicates growing investor interest in the Facebook Ads API as a crucial part of any online marketing strategy.

GraphEffect, formerly Focused Labs, previously developed custom tab applications for brands such as Microsoft, but has recently been running Facebook marketing campaigns aimed at driving Likes and increase downstream conversions. Its Ads API service uses algorithmic optimization to maximize return on spend.

Founded last year by Clark Landry and James Borow, GraphEffect soon reached profitability. Its clients include LiveNation, Sears, Kleenex, and Bacardi. Ad spend from these major brands can be up to hundreds of thousands of dollars a month, of which Ads API service providers can take between 2% and 20% depending on advertiser commitment.

Investors, including Thrive Capital, CrossCut Ventures, Rincon Venture Partners, Founder Collective, Lerer Ventures and Baroda Ventures that joined the round, are likely betting that more brands will be shifting their advertising budget to Facebook. Coffin’s former company Experian just acquired Techlightenment, which includes Ads API tool Alechemy, so he may of taken the hint.

We expect more Page management companies and traditional marketers to look for access to the Ads API industry this year, either through acquisition, partnership, or internal development. There’s simply too much money to be made in the industry for them to stay out.

Creative Social Branding

Mediabistro Course

Creative Social Branding

Starting November 24, learn how to create a social buzz for your brand! You’ll learn how to engage with audiences on social platforms, identify and engage with current trends and influencers, and build an excellent social strategy to amplify your numbers and rate engagement. Register now!

 

Leave a Reply

Get the latest news in your inbox
interested in advertising with inside facebook?

Social Media Jobs
of the Day

Social Media Strategist

A Luxury Real Estate Developer
New York, NY

Newswire Editor

PR.com
New York City / Long Island, NY

Senior Social Media Brand Manager-Los Angeles Area

Brigade Marketing
Los Angeles, CA

Featured Company

Join leading companies like this one and recruit from the nation's top media job seekers on the Mediabistro Job Board. Every job post comes with our satisfaction guarantee. Learn More
 

Our Sponsors

Mediabistro A division of Prometheus Global Media home | site map | advertising/sponsorships | careers | contact us | help courses | browse jobs | freelancers | content | member benefits | reprints & permissions terms of use | privacy policy Copyright © 2014 Mediabistro Inc. call (212) 389-2000 or email us