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Venture Scanner is your analyst and technology-powered startup research firm Marketing Technology Startup Landscape Trends and Insights February, 2017

Venture Scanner Marketing Tech Report Q1 2017

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Venture Scanner is your analyst and technology-powered startup research firm

Marketing TechnologyStartup Landscape Trends and Insights

February, 2017

Marketing technology report outline

2

This report provides an overview of the marketing technology sector and is broken down into three sections

Sector Description

High-level sector metrics with sub-category

definitions

Trends & Insights

Infographics and data points for the marketing

technology sector

Quarterly Activity

Major funding and exit events from the previous

90 days

Venture Scanner reports are built by analysts utilizing our startup database and landscaping platform

Marketing Technology Sector Description

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Marketing startups are creating new businesses in 15 different categories

The graphic above shows a sampling of companies in each category, stats as of February 2017 4

Marketing Technology

Learn about our full 1,507 company report with $22B in funding

Content Marketing Content Creation Social Media Marketing Email Marketing Mobile Marketing

Marketing Platforms and CRM

Marketing Automation Software

Advertising Networks and Exchanges

Automated Personalization Platforms

Influencer Marketing SEO Companies SEM Companies Social Discovery Social Intelligence Website Analytics

Innovation quadrant for marketing technology

AVERAGE FUNDING ($M)

AV

ER

AG

E A

GE

(Y

EA

RS

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ESTABLISHED HEAVYWEIGHTS

PIONEERS DISRUPTORS

This quadrant shows a relative segmentation of the categories with respect to one another, Feb 2017 5

Social Discovery

Marketing Analytics

Marketing Platforms

SEM Companies

Email Marketing

SocialIntelligence

MobileMarketing

AutomationSoftware

PersonalizationPlatforms

SEOCompanies

ContentMarketing

Social MediaMarketing

Content Creation

InfluencerMarketing

Ad Networks

Marketing technology startups play in many different categories (1 of 3)

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Advertising Networks126 Startups, $2.6B Total FundingCompanies that allow media buyers to purchase ad space around the internet, including search and display ads

Content Creation67 Startups, $171M Total FundingCompanies that help businesses create custom content for branding and marketing purposes, such as blog posts and infographics

Email Marketing120 Startups, $1.2B Total FundingCompanies that create products that allow marketers to deliver email newsletters in a more engaging manner and collect analytics

Automated Personalization Platforms 121 Startups, $2.2B Total FundingCompanies that work with businesses to deliver custom ads and dynamically optimize web sites based on a user’s specific tastes

Content Marketing142 Startups, $1.8B Total FundingCompanies that help businesses market their brand-oriented content and convert readers of that content into customers

Influencer Marketing 54 Startups, $336M Total FundingCompanies that focus on social media users with large fan bases and utilize their influence to execute marketing campaigns

Category stats as of February 2017

Marketing technology startups play in many different categories (2 of 3)

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Marketing Analytics 72 Startups, $1.4B Total FundingCompanies that measure the traffic and behavioral patterns for a digital property, and then improve conversion metrics

Marketing Platforms and CRMs159 Startups, $4B Total FundingCompanies that enable businesses to create and manage marketing campaigns and engage customers across social media channels

Search Engine Marketing 44 Startups, $385M Total FundingCompanies that help marketers with managing, scaling, and optimizing their paid-search activities

Marketing Automation Software209 Startups, $3B Total FundingCompanies that provide tools that automate marketing tasks, such as follow up messaging, to free up additional marketer time

Mobile Marketing138 Startups, $2.4B Total FundingCompanies that allow businesses to deliver ads and market products across mobile devices, including SMS and in-app ads

Search Engine Optimization 84 Startups, $241M Total FundingCompanies that help businesses attain higher placements on search engines’ results page, increasing click-through traffic

Category stats as of February 2017

Marketing technology startups play in many different categories (3 of 3)

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Social Discovery 70 Startups, $2.8B Total FundingCompanies that provide a platform for idea and product discovery through social sharing and location check-ins

Social Media Marketing 243 Startups, $2.1B Total FundingCompanies that help businesses promote their brand and products across social media networks to increase traffic and sales

Social Intelligence 81 Startups, $1.2B Total FundingCompanies that examine social media interactions in order to better allow companies to identify emerging trends

Category stats as of February 2017

Marketing Technology Funding Information & Trends

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Investing into the space is focused on marketing platforms

The marketing platform category accounts for 15% of venture funding and 9% of total companies in the marketing technology startup sector

Venture Investing in Marketing Technology

Companies are categorized by function, and therefore can exist in multiple categories. Feb 2017

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VC Funding Count

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VC funding into marketing technology has generally risen

Overall marketing tech VC funding grew at a CAGR of 17% from 2011-2016

Marketing Technology Funding Over Time

Data as of February 2017

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Marketing technology startups are demonstrating traction

Marketing Technology Funding Amount by Type

Recent years have seen relatively equal funding round amounts, implying both newer and established startups are demonstrating success

Graph shows only the funding types listed therein, data as of Feb 2017

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Late Stage Series D Series C Series B Series A Seed

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Marketing technology startups founded in 2009 lead in VC funding

Startups founded in 2009 account for 24% of the sector funding over the last decade, and include companies like Pinterest, The Trade Desk, and Sprinklr

Marketing Technology Funding By Vintage Year

Data as of February 2017

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Marketing technology startups are a global phenomenon

Marketing Technology Startup Count by Country

0 970Companies

Data as of February 2017

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Top VC investors are making bets into marketing technology

Selected Investor Activity in Marketing Technology

The above count represents a subset of overall investor activity, Feb 2017

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Number of Investments Number of Companies Backed

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Marketing technology exit activity has been dominated by acquisitions

Exit events within the marketing technology sector grew by 320% between 2011 and 2016

Marketing Technology M&A and IPO Events

Data as of February 2017

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Public Acquired

Marketing Technology Quarterly Notable Events

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Recent marketing technology funding statistics

There have been 123 marketing technology funding events since Oct 2016

Recent Marketing Technology Funding Round Counts

Graph shows only the funding types listed therein, Feb 2017

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Seed Series A Series B Series C Series D Late Stage

Fun

din

g E

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ou

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Recent marketing technology funding events

Notable Recent Marketing Technology Funding Events

Company Funding Type Amount Date

Venture $156,000,000 Jan 31, 2017

Venture $56,000,000 Jan 12, 2017

Series C $56,000,000 Jan 17, 2017

Series E $50,000,000 Jan 18, 2017

Series E $42,500,000 Nov 14, 2016

Marketing technology startups raised $1.3 billion since Oct 2016

Data as of February 2017

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Notable recent marketing technology exit events

Notable Recent Marketing Technology Acquisitions

Company Acquirer Amount Date

$800,000,000 Oct 3, 2016

$675,000,000 Oct 6, 2016

$250,000,000 Oct 4, 2016

$200,000,000 Nov 30, 2016

$150,000,000 Jan 10, 2017

There have been 27 exit events since Oct 2016, all of which have been acquisitions

Data as of February 2017

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