Mobile advertising leader Kargo has announced it is acquiring StitcherAds, an ecommerce retail platform designed to help brands drive online sales. The acquisition, reportedly worth $64 million, will empower brands with the tools to create better mobile online retail experiences.
“I’m excited to welcome StitcherAds into the Kargo family at such an exciting time in our history. The StitcherAds platform offers powerful advertising capabilities for our retail andCPG clients. We can now provide a true multi-platform product portfolio that expands our footprint into paid social,” said Harry Kargman, Kargo Founder and CEO. “This acquisition is another step towards our strategy to offer a full suite of solutions for our clients.”
Since the Ireland-based StitcherAds was founded in 2009, the ecommerce platform has focused on helping advertisers and marketers optimize their campaigns for social sites like Facebook, Instagram, Pinterest, and Snapchat. Its platform uses data automation to create social ads that advance the revenue goals of some of the world’s most innovative brands.
Through using StitcherAds, Calvin Klein has reported a 17.7 percent increase in online purchases and a 50 percent lower cost per incremental purchases. Similarly, The Company Store revealed it boosted its sales by 350 percent and acquired 573 percent more customers as a result of employing StitcherAds in its advertising campaigns.
These powerful capabilities join forces with Kargo, one of the leading multi-channel, mobile-focused commerce platforms on the market. Its award winning platform is taken advantage of by several Fortune 500 companies to boost reach to 100 percent of smartphone users in the United States.
As a result of the acquisition, Kargo now claims management of $550 million in total media spend. Large retailers such as Macy’s, Saks Fifth Avenue, JOANN Fabrics & Crafts, and Bed Bath & Beyond contribute to the half a billion dollars of media spent.
“StitcherAds and Kargo are a fantastic match, bringing together Kargo’s premium advertising marketplace with our commerce-driven approach to social media marketing,” said Declan Kennedy, Chief Executive at StitcherAds. “We’re thrilled with the new opportunities to offer full-funnel solutions that this acquisition affords us, and the depth of omnichannel capabilities we’ll bring to the market.”