Innovid Raises Second Round - $4.1 Million For Interactive Advertising Technology

written by: Richard Kastelein

Share this Article

Innovid, a startup working on technology that will empower video content producers to place interactive virtual items into their videos, has raised $4.1 million in funding from Genesis Partners and T-Venture, the venture capital company of Deutsche Telekom. This brings the startup’s total funding to $7.1 million, according to Techcrunch. Innovid has integrated iRoll in campaigns for many top brands such as Kraft, Hyundai, Buick,  Disney Pictures, and Sony.  The startup’s publishers include 80 per cent of the webÙs top video publishers including partnerships with NBC, MTV, Fox, and Tremor Media.

Will we be seeing interactive pre-roll ads coming to the living room in the future? They are aiming at Connected TV in Europe it appears.

The funding and partnership with Deutsche Telekom will help the startup hire additional staff and expand to mobile, connected-tv and European markets.

The pre-roll is becoming a standard ad unit in online video.  And there are problems with the format on the web, says Jim Louderback from Advertising Age.

Here's the problem with pre-rolls: Users hate them, just as they hate pop-ups, pop-unders, those annoying Vibrant word definitions and auto-playing audio and video ads. But they are effective -- and the selectable variants are even more so: double the click-through rates of traditional pre-rolls, and nearly three times the recall.

Unfortunately, I'm afraid they also depress video sharing and snacking -- which is ultimately how a video goes viral, and how new creators build audiences. We'll soon find out whether this is true, because it appears that YouTube will put pre-rolls on many of their more popular producers as well, including the ones that benefit most from virality.

But Innovid is taking an interesting angle on pre-rolls. 

The virtual items facilitated by Innovid are basically 3D objects that producers insert into videos post-production. They’re intended to look as realistic as possible so that they blend in with the real physical environment recorded by the video. And yet, they can’t go entirely unnoticed because users are encouraged to click and perform mouse gestures (or TV remote in the future?) with them to derive additional functionality (for example, to view a popup description about the particular item with links to external resources).

The most obvious use of these items would be to simply drop branded items into user generated content. If you’re looking to monetize your video, you could, for example, sign a deal with a beverage company and place their product on the table during an indoors scene. The virtual item representing the beverage could then respond to camera movements; when the camera moves around to the left, you also see the left side of the beverage appear. This is possible because the 3D object has been mapped to its calculated surroundings.

But with Innovid’s object placement, you could also make it so that users who click on the beverage see a description of it and the stores in which it’s sold. Or you could allow the user to even move the beverage to another location within the video or have it perform a special effect when clicked on. Whatever the complexity, the object becomes a more effective advertisement through its interactivity.



About the Author

Richard Kastelein
Founder of The Hackfest, publisher of TV App Market and global expert on Media & TV innovation, Kastelein is an award winning publisher and futurist. He has guest lectured at MIT Media Lab, University of Cologne, sat on media convergence panel at 2nd EU Digital Assembly in Brussels, and worked with broadcasters such as the BBC, NPO, RTL (DE and NL), Eurosport, NBCU, C4, ITV, Seven Network and others on media convergence strategy - Social TV, OTT, DLNA and 2nd Screen etc.

He is a Fellow of the UK Royal Society of Arts (RSA) and UK Royal Television Society (RTS) member.

Kastelein has spoken (& speaking) on the future of media & TV in Amsterdam, Belfast, Berlin, Brussels, Brighton, Copenhagen, Cannes, Cologne, Curacao, Frankfurt, Hollywood, Hilversum, Geneva, Groningen (TEDx), Kuala Lumpur, London, Las Vegas, Leipzig, Madrid, Melbourne, NYC, Rio, Sheffield, San Francisco, San Jose, Sydney, Tallinn, Vienna, Zurich...

He's been on advisory boards of TEDx Istanbul, SMWF UK, Apps World, and judged & AIB awards, Social TV Awards Hollywood, TV Connect & IPTV Awards.

A versatilist & autodidact, his leadership ability, divergent and synthetic thinking skills evolved from sailing the world 24000 miles+ offshore in his 20′s on sailboats under 12m.

He spent 10 years in the Caribbean media & boating industry as a professional sailor before returning to Europe, to Holland.

A Creative Technologist and Canadian (Dutch/Irish/English/Metis) his career began in the Canadian Native Press and is now a columnist for The Association for International Broadcasting and writes for Wired, The Guardian & Virgin. His writings have been translated into Polish, German and French. 

One of Kastelein's TV formats was optioned by Sony Pictures Television in 2012. 

Currently involved in a number of startups including publishing TV App Market online, The Hackfest and Tripsearch TV. As CSO for Worldticketshop he helped build a $100m company.

Other Sites

Social Media


About Us

TV Hackfest London 2013
TV Hackfest San Francisco 2014
M2M Hackfest 2013

Hackfest Twitter
TV App Market Facebook
TV App Market Linkedin
TV App Market Google+

Developer News
Enterprise Apps News

Digital Marketing News
Telecoms News
Cloud Computing News

This email address is being protected from spambots. You need JavaScript enabled to view it.
About us
Write for TV App Market