Stockholm-headquartered Mediatool, a media management platform that assists global brands and advertisers, announced that it has raised 80M SEK (€7M) in a fresh round of funding.
The company says the funds will support its upcoming US expansion and meet the growing demand for its platform in the American market. As part of this expansion, Mediatool will open a new office in New York in the first quarter of 2024.
“This investment is of great significance to Mediatool, and we look forward to collaborating with Fairpoint Capital and eEquity,” says Alexander Högman, CEO of Mediatool.
“Mediatool has already made a significant impact on the industry. Currently, 40 per cent of Mediatool’s revenue comes from the USA, and now is the perfect time to take the company to the next level and establish a stronger presence in the United States,” adds Högman.
Two new investors, B2B technology Venture Capital investor Fairpoint Capital and growth investor eEquity, joined Mediatool in this funding round. Previously, Newion, J12, Almi Invest, and Twig invested in the company.
“We have followed the company for several years and are extremely impressed by what Alexander and his team have built,” says Hadar Cars, investment director at Fairpoint.
“With experience from many other SaaS companies that have managed to scale quickly, we believe that Mediatool has all the important components in place,” adds Cars.
How Mediatool’s platform works
Mediatool is a media management platform that helps advertisers streamline their media planning, activation, and monitoring workflows. It provides a central hub for managing all media campaigns across channels, campaigns, and business units.
As a SaaS platform, Mediatool aggregates all media data, including investment data, audience metrics, and campaign results, in one place. This enables advertisers to act promptly on their data and optimise their strategies across multiple markets, campaigns, and brands to increase ROMI. It is also highly scalable, making it suitable for businesses of all sizes.
There are two options: “mediatool for brands,” which provides clarity and centralised data management for marketing campaigns, and “mediatool for agencies,” which enhances delivery across client portfolios, benefiting advertising agencies.
Traditionally, ERP systems efficiently handle payroll, supply chain, and sales costs. However, media spending, even for large global advertisers with robust IT systems, is often managed using spreadsheets despite being one of the most cost-heavy items in the P&L.
This is where Mediatool comes as a solution for global companies with complex marketing departments and major media agencies.
“During our due diligence, we conducted interviews with several US-based retail giants, only to discover that they manage billions of dollars in media spend using primarily spreadsheets. Mediatool’s innovative solution addresses this glaring need,” says Jessica Mattson, deal partner for eEquity’s investment.
“The market for a modern, flexible, and reliable SaaS Media Management solution is essentially uncharted territory, and we are excited to have found Mediatool to tap into this blue ocean,” Mattson adds.
The firm successfully onboarded several of Europe’s most prominent advertisers in 2023, solidifying its position as an industry leader. It also works closely with some of the world’s largest advertisers and leading media agency networks to help them manage their clients’ campaigns effectively.
Mediatool currently manages over $6B (€5.675B) in media budgets for over 70 major advertisers.