Boston programmatic media buying company ChoiceStream announced on Monday that it has raised $7.5 million in Series B funding, led by New York City-based Fred Alger Management.
The newfound capital will go towards growing its programmatic advertising business. It’s also ChoiceStream’s first raise since 2011, when the company completed a major pivot from product recommendation software to its current programmatic play, which allows advertisers to bid automatically on digital ads targeting specific consumers.
ChoiceStream raised nearly $70 million in venture capital from its start in 2000 to 2007, prior to the strategy switch. Coinciding with the pivot in 2011, the company raised $8.7 million in capital, which was then said to be part of a $10.7 million round, from Sage Hill Partners, AT&T, Sutter Hill and several private investors. Including Monday's funding, ChoiceStream has raised $16.2 million for its new business.
“This funding will be used to expand ChoiceStream’s programmatic platform by further investing in our survey-based targeting, dynamic creative, and audience insights capabilities,” said chief executive Eric Bosco in a statement.
The company works with more than 150 brands and agencies, including Dunkin Donuts, AAA and Zappos.
Last September, ChoiceStream added Mike Sheehan, the former CEO of advertising giant Hill Holliday and current CEO of the Boston Globe, to its board of directors.
Writer's Note: This article has been updated since its original publishing.
Image via ChoiceStream
