PayTunes a Delhi based mobile ad platform has raised around $500k in its Pre Series A round of funding from CIO Angel Network and IAN- Indian Angel Network. The funds will be used in marketing and team expansion. The round was also led by Vishal Khare and Rajeev Arora on behalf of IAN & will alos join the company board. Sanjay Mehta and Apurva Parekh also invested in this round. In 2015 it has also raised $100k from CIO Angel Network. Amit Naredi earlier working as a CO-founder and Chief sales officer at My FM.
PayTunes was founded in 2015 by Divya Pratap Singh, Gaurav Tiwari and Rakesh Sehgal. It provides brands and advertisers a targeted medium to reach mobile consumers through audio visual ads. It plans to integrate a feature an ads on caller tune which will increase the platform’s reach multiple times and more lucrative for advertisers.
Divya Pratap Singh founder of PayTunes said
“Conventional mediums like TV and Radio lack control in terms of targeting campaigns to their target users and exposure of the ad. We are giving an entirely different and fresh method of mobile advertising, other than static banner ads, which are already in practice. We use the traditional audio ad which is broadcasted to a user on mobile on the incoming call which is then combined with graphic ad to complete the audio-visual effect on the user. This makes PayTunes the only mass medium apart from YouTube with a reach of more than 2 Mn users daily through our audio-visual offering on mobile.”
PayTunes a simple app replacing mobile ringtones with ad jingles from advertisers & at the end of the call, a visual for same ad is displayed. The user can also earn points which they can redeem in terms of bill payments and mobile recharges. It further provides offers from shopping, e-commerce and other segments to earn more points.
The startup is currently operating in Delhi-NCR, Gujarat, UP, Pune, Mumbai, Bihar and Rajasthan regions. It’s app claims to have more than 4 lakh downloads.
Vishal Khare said,
“Currently most of the branding spend (~80% of INR 50K Cr Market) goes in traditional media such as TV, Radio and Print. Paytunes is building an alternate medium in the branding domain, which still manages the biggest chunk of advertising spend (~80%). While most of the consumption is offline, all these mediums are trying to move to mobile to improve user engagement. It presents a great opportunity for brands to reach mobile consumers extensively with the traditional audio-visual ad in its very own digital way.”