- Israeli startup Odeeo, which puts audio ads in mobile games, has raised a $9 million seed round.
- He plans to make an aggressive push into the United States.
- Here are the key slides from his pitch deck that helped attract investors.
Money is flowing into mobile game advertising, which is expected to reach more than $6 billion this year, up 14% from last year.
But mobile game advertisements tend to take the form of display units that burst into the gameplay to trick people into downloading more games. This has led to a flood of startups offering non-gaming ads to attract dollars from brands that aren’t primarily mobile app companies.
This pledge resulted in Israeli startup Odeeo winning a $9 million funding round led by Play Ventures. Participants include game studio founders like Anton Gauffin and Lior Shiff, as well as mobile advertising guru Eric Seufert, who is contributing through his recently launched Heracles Capital fund.
Odeeo is a 25-person company founded in 2021 that puts audio ads in mobile games, so advertisers can send messages to gamers without disrupting their gaming experience. It places ads in 500 mobile games across 20 studios like GameJam , TapNation and Unico, and he runs campaigns for big brands like McDonald’s that have been purchased through automated shopping platforms.
Odeeo’s funding round will allow the company to grow over the next three years, said the company’s CEO and co-founder, Amit Monheit. It plans to end 2022 with 40 employees and place ads in 1,000 mobile games. It’s also expanding internationally – but specifically in the US – building a sales team and courting more game studios and ad agencies. Eventually, Odeeo hopes to work directly with advertisers.
The challenge is that game studios are used to running visual ads and need to be convinced to run audio-only ads. And advertisers aren’t used to buying audio ads that appear in mobile video games.
Odeeo’s argument is that audio ads not only generate revenue, but capture players’ attention because the format is so new to mobile gaming.
“Instead of sending audio ads to Pandora or Spotify, advertisers can actually show them something new,” said co-founder and COO Elad Stern.
See the main slides of Odeeo’s fundraising platform below.