The financing came from venture capital firms Granite Ventures and Menlo Ventures. Sellpoint doubled its client roster in 2007, and now provides video product demos for more than 50 manufacturers. The videos are syndicated to more than 100 retail sites.
Sellpoint Inc. has raised another $7 million in financing, which it plans to use to expand its business of providing online video product tours.
The funding came from venture capital firms Granite Ventures LLC and Menlo Ventures LLC. Menlo Ventures was among the earlier investors that previously put $10 million into the company.
Sellpoint says it doubled its client roster in 2007 and now provides video product demonstrations for more than 50 manufacturers, including Brother, Canon, Epson, Hitachi and Panasonic. The videos are syndicated to the web sites of more than 100 retailers, including Amazon.com, Best Buy, Circuit City, Staples and Wal-Mart, the company says.
“Online video product tours continue to grow exponentially. Studies show that product tours have become a key factor in converting shoppers into buyers at the online point of sale,” says Standish O’Grady, managing director of Granite Ventures and a new SellPoint board member. “Given this, our investment in SellPoint was an easy decision as it is the company positioned to lead this growing category based on its unique, patented Active Product Tour technology and the value it provides to consumers, manufactures and retailers.”
“2007 was a record-breaking year for SellPoint clients with shoppers choosing to view over 70% more rich product content provided by our Active Product Tours than last year,” says Rick Martin, SellPoint’s CEO. “As more consumers look to online shopping venues first and expect engaging and comprehensive product information, the demand for dynamic, informative video tours will increase from retailers and manufacturers, and SellPoint is poised to meet that need.”
Sellpoint launched its business of creating, hosting and syndicating product videos in 2005, when it was known as Tentoe. The company changed its name to Sellpoint in 2006.