StartupYard Alum Brand Embassy Announces $1M Seed Funding
Brand Embassy gets $1M in seed funding as it opens six new offices worldwide
Brand Embassy has closed a $1 million round of seed investment with two funds and is opening six new offices globally. The move comes as customer service moves towards social media and away from traditional channels such as toll-free phone numbers.
Brand Embassy equips companies to answer customer service inquiries through social media channels such as Facebook and Twitter, enabling them to provide “social care” for their customers with its SaaS platform.
Brand Embassy has moved quickly to establish its niche in the evolving customer service industry. “Our platform has been used by over fifty large international companies across the world,” says Vit Horky, Co-founder and CEO of Brand Embassy. “They’ve handled over 7.5 million service issues via Brand Embassy since 2012. Currently our strongest sectors are with telecoms and financial groups – two sectors where customers demand a fast and accurate response to their queries.”
Social media is becoming a more important channel for major brands to have two-way communication with consumers than as a direct marketing tool. According to J.D. Power and Associates’ 2013 Social Media Benchmark report, service issues now outrank marketing when it comes to consumer activity on social media. Younger consumers (18-29 years old) are now nearly twice as likely to use their favorite brands’ social media sites for servicing interactions (43%) than for marketing (23%).
The investment comes as Brand Embassy prepares to take its SaaS platform to a global audience. “We’ve opened offices in the USA, Dubai, Portugal, Slovakia, Spain, and Latin America to complement our offices in Prague and London,” states Vit. “The partnership with new investors will help us expand our sales and product development team and launch new unique product features.”
The two new investors in Brand Embassy – Rockaway Capital and Spread Capital – see a huge potential for Brand Embassy and its emerging segment. “ I see Brand Embassy as a global project which already has a strong position and I am anticipating substantial growth as this whole segment of caring for customers via social networks grows in importance,” says Jakub Havrlant, internet entrepreneur and investor, who invested through his Rockaway Capital investment vehicle. Josef Chvojka, representing the Spread Capital Fund says: “We believe that Brand Embassy, and its team led by Vit Horky, have the courage and competence to change the world of customer interaction. We are proud to be part of a global success.“
The new investment is an exit deal for two early Brand Embassy investors: StartupYard, a CEE technology accelerator, and Michal Nydrle, owner of the Kindred Group media group. “This is a great confirmation of our trust in the Brand Embassy team. We accelerated them three years ago when they were only two founders with a good idea. We’re thrilled for them and wish them the best with their new partners.” says Cedric Maloux, CEO of StartupYard.
About Brand Embassy:
Brand Embassy brings customer service to social media with its SaaS platform for managing service inquiries posted on Facebook, Twitter and other social networks. Brand Embassy software is used by Vodafone, Telefonica O2, T-Mobile, KIA, ING, Prezi, GE Money and other leading companies. Winner of the Red Herring Europe Award 2013, Brand Embassy was founded in Prague, the Czech Republic and has offices in Dubai, Latin America, Slovakia, Spain, Portugal, the United Kingdom, and the United States.
About Rockaway Capital:
Rockaway Capital was created in mid-2013 by Jakub Havrlant to specialize in web projects that reach over into the offline world and transform user behavior. By end-year, the combined revenue of Rockaway projects was nearly 40 million USD. Rockaway plans to invest 15 million USD into Czech and international projects through its newly opened Capital Fund during 2014.
About Spread Capital:
Spread Capital is a new investment company that began building its portfolio in 2013. Its activities are focused on projects which combine technical innovation, market originality, and user enthusiasm. Spread Capital has up to €20m of raised capital available for investment in 2014.