Congratulations to VC4Africa member 8Bit and the investors (also including a VC4Africa member) with whom they secured a new round of investment deals!
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Tom Kennedy, founder and CEO of South Africa based advertising platform 8Bit, announced the company closed a round of USD 110,000, consisting of deals with multiple South African and international investors.
The company went through 88mph’s Cape Town accelerator program and raised funding from them earlier this year. Also VC4Africa member Ernst Hertzog of early stage angel fund Action Hero Ventures and Neil Emmerick of hotel booking platform Nightsbridge, both based in South Africa, committed investments.
After additional investments secured at a Net Prophet SparkUp pitching event, 8Bit now closes an investment round of USD 110,000 in total. In May, 8Bit pitched up at Net Prophets’ SparkUp – a spin on Dragons Den – and secured commitments on the spot from the panel, which included Wayne Gosling and Daniel Guasco of Groupon South Africa, Martin Diessner of investment company Evercape, as well as Sebastian Stoddart and Permjot Valia, both early-stage angel investors.
“We’re excited to grow our product over the next few months as we enter new markets and launch new product offerings. It’s an exciting time ahead for us” says 8Bit’s Tom Kennedy. The deals also make him optimistic about opportunities for other startups: “It’s great to see the South African, and especially Cape Town startup environment maturing in such a way that startups like 8Bit are now being given the opportunity to fundraise at a level enabling us to develop world class offerings and to compete internationally.”
8Bit connects brands to audiences using both a network of leading publishers, and specially developed tools and technology. The company aims to address a gap in online content monetisation, and wants to play into the trend of lead users and trendsetters increasingly sharing content that they connect with to their social networks, expanding the reach.
In practical terms, the company enables content sites to monetise and grow their audience by embedding a widget on their sites that gives PR agencies, and individual brands, access to boost a post across the 8bit network of small content providers. So if you are a nightclub and a blog writes a raving review of your club, you can pay to have that post blasted across the widgets of all sites in the network, thereby reaching hundreds of thousands of people. Each site affected by that boost, gets a cut of the purchase.
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