Vungle, a new company that helps mobile developers promote their apps through video “trailers,” today announced it has raised $2 million from Google Ventures, AOL Ventures, Crosslink Capital and angel investors including Charles Hudson’s SoftTech VC, Ron Conway’s SV Angel, Dave McClure’s 500 Startups, Maynard Webb, Scott McNealy and Tim Draper.
“When I met the Vungle team and saw the in-app video advertising platform they were developing, it was one of those ‘aha moments’ for me”
Vungle addresses one of the major marketing problems facing mobile application developers and customers alike: discovering how the app really works before you download. Simply viewing screen shots, user ratings, text descriptions or banner ads often don’t do the applications justice. Even if a developer recognizes the value of a video trailer for the application, the cost of producing and distributing one is often prohibitive.
Enter Vungle. Like movie trailers produced to entice viewers to see a film, Vungle produces professional, punchy and cost-effective video trailers that make it easy for customers to see the app in action before downloading. Vungle’s video trailers are displayed in mobile applications and are tied into the company’s in-app video advertising platform for increased developer monetization. Vungle’s in-app video technology currently runs on the iOS platform.
“When I met the Vungle team and saw the in-app video advertising platform they were developing, it was one of those ‘aha moments’ for me,” said Maynard Webb, former board member at AdMob and founder of Webb Investment Network. “They have figured out a way to create high quality video trailers at scale and at an accessible cost – and integrate them into applications for maximum downloads, analytics and monetization. This company could win big in the exploding mobile applications space and that’s why we’re putting our money on Vungle.”
“Our vision is to give mobile app developers an effective and cost-effective way to make real money through the applications they offer to the world,” said Zain Jaffer, chief executive officer and co-founder of Vungle. “Their success is our success, and we are thrilled to have a stellar group of investors working with us to build out this vision at Vungle.”
The company plans to use the funds for expanding its hiring and building out the product platform. A beta program for developers is planned for roll out early this summer.
Vungle, which was founded by two accomplished and gutsy young British entrepreneurs, won one of 15 spots in the highly selective AngelPad accelerator class in the fall of 2011. AngelPad, which chooses a handful of companies to participate in a 10-week program to accelerate the development of promising young companies, receives thousands of applications for the coveted slots.