mFoundry has recently announced that they have acquired their latest funding round, amounting to $18 million. This round was led by MasterCard, and was also participated in by Motorola Mobility, Intel, Capital, and FIS.
Their CEO and founder Drew Sievers tells us more about the company and this recent funding in this e-interview with Lead411:
Who are your competitors and how are you different from them?
- There are many, but the primary are: Fiserv, Intuit
- Difference: Well, for a start, we’re smaller. Even so, we have more mobile banking clients than anyone in the industry.
Other key differences:
- Coverage – Through our extensive partner network, we have more connections into more financial institutions than anyone else.
- Payments – We are the only provider with a live, national mobile payments initiative–Starbucks Card Mobile, with millions of users.
- Flexibility – Our extensible platform allows us to innovate faster than anyone else.
What percentage of your marketing budget are spent on the following?
- Advertising – 0%
- Social Media Marketing – 10%
- SEO – 15%
- PR – 60%
- Direct marketing – 10%
- Other – 5% (events, etc.)
What marketing tactic has given you the highest ROI? What percentage ROI do you get back on this?
- SEO and web optimization are good investments as is PR, particularly for a company establishing a brand within a large, noisy, industry.
- ROI is hard to calculate in a business with long sales cycles, but our investments in webinars (Social Media Marketing) probably yield the best results.
What do you plan to spend your new funding on? Product development? Marketing?
- We will invest in accelerated product development and improving business scalability.
If this is your first round of financing and you’re the CEO, how many hours did you put into working on getting your financing? Was that taking up the most of your day?
- Not our first round. Fundraising is a full-time job while you’re doing it, and it can take anywhere between 3-6 months to close a large, complicated round.
If you are the CEO, what are your biggest challenges?
- Maintaining an innovative company while scaling the business rapidly is the largest challenge I face.
How many employees do you have?
- 100 today, scaling to 160 in 2012
When were you founded?
- Originally, 2004; Mobile banking business was in 2006.
How much did you revenue increase(if any) this year over last year?
- Our 3-year average year-over-year revenue growth is 127% per year.
Read more about this recent funding on their press release here.