Looks like Tagga's investors like what they see with their new Agency Platform. The Vancouver startup announced today that it has closed a $400,000 funding round led by a number of independent investors out of the US, Canada, and the UK.
Originally a SMS service that made it easy for individuals to set up free interactive SMS campaigns, Tagga shifted gears in November changing its business model to focus on selling to larger marketing agencies that can sell Tagga to their clients as a mobile marketing solution.
As Tagga CEO (and sometimes Techvibes contributor) Amielle Lake stated in her recent post titled Five Things I Learnt from Year One in my Startup, "the reality is that things change so much in the first year that your strategy is shaped by the data you gather from your market, customers, and team."
Tagga’s intial business model was built on integrating ads into outgoing SMS messages. After realizing that advertisers weren’t quite ready to pay for ads at the end of the text messages, Lake looked to advertising agencies for a fit and found one.
Agencies need to be able to propose and deliver mobile marketing campaings to their clients and Tagga allows them to do just. Lake and her investors clearly see the 30,000 advertsing agencies across North America as a market opportunity worth pursuing.