Quigo Technologies Inc., developer online contextual advertising and search engine marketing, announced today that it has secured over $5 million in its first round of institutional funding from Highland Capital Partners. In conjunction with the financing, Bob Davis of Highland has joined the Quigo board.
Quigo is one of the contextual advertising programs that is lining up to take a bite out of Google´s quasi-dominance of the field. One question with Google however, is its stance on not splitting the bid amounts for its search engine advertising and contextual advertising- a practice that some feel will be their downfall.
Quigo is a developer of search solutions for online contextual advertising and search engine marketing in their AdSonar and FeedPoint products respectively. AdSonar is a contextual advertising platform for publishers that applies proprietary semantic algorithms to automatically identify, match and deliver the most relevant ads to each particular page of content. FeedPoint provides a turnkey, search engine marketing solution for advertisers and agencies. With FeedPoint, Quigo has developed the industry’s most advanced search engine marketing solution for easy feed creation and to increase ROI. FeedPoint effortlessly generates keywords, titles and descriptions from ordinary web pages for all search and comparison shopping engines.
“We have been very impressed with the technology behind Quigo’s FeedPoint and AdSonar products. At a time when search engine revenues are exploding and advertisers are looking for contextual placement on web sites, Quigo Technologies is positioned to harness that demand with these exceptional products. Their partnerships with Overture and AltaVista are a testament to that,” explained Bob Davis, partner at Highland and former CEO of Terra Lycos. “The management team of Quigo brings years of industry experience and technology expertise to the table and they are poised to leverage that to capture the market leadership position.”
Quigo plans to use the funding to support growth and the continued research and development of its search and contextual advertising technologies.
“With search poised to become a $7 billion market globally by 2007, contextual advertising could reach $1 billion,” estimates US Bancorp Piper Jaffray senior research analyst Safa Rashtchy, “We expect that within this field, the role of advanced technologies will be increasingly important — much more so than it was in paid search — and companies like Quigo, with a strong technology foundation, will have an edge in this burgeoning market.”