Thursday, January 24, 2008

Modiv Media lands $8M for expansion

Quincy-based Modiv Media, a maker of wireless shopping and promotional platforms for retailers such as Subway and Stop & Shop, reports it has closed an $8 million round of funding.

The round included previous investors Ignition Partners and Seapoint Ventures, both of Washington, and Oak Investment Partners of Westport, Conn. The funding brings the company's total raised to $24 million since its inception in 2001.

Officials at the 50-person company say the infusion of cash will be used for continued technology development and retail penetration, as well as a staff expansion, including the recent addition of CFO and former JLS Mailing Services Inc. executive Nick Vadala, and the promotion of Mikle Surilov to VP of engineering.

Last week, Modiv Media rolled out its first commercial deployment of its Modiv Shopper, to 100 Stop & Shop grocery stores in New England. The project was completed with the help of development partner Motorola, which provided the hardware, its MC17 mobile computer.

Mobile payment and promotions is expected to grow as an industry as both handheld devices and retail marketers become more sophisticated. In New England, companies like Cambridge's iCache Inc. (mobile wallet technology) and Marlborough's Cyphermint Inc. (mobile payment software) are working to make cash transactions a thing of the past.

According to United Kingdom-based Juniper Research, there could be big money in getting rid of cash. The near-nascent mobile industry could generate $22 billion in mobile transactions by 2011, according to a recent report. But the report also cautions that the industry could see a number of different technological approaches before a ubiquitous formula is adopted.

Originally founded as MobileLime Inc., Modiv Media provides sales, marketing and promotional platforms to help retailers sell products and offer coupons via wireless devices, such as cell phones or handheld devices. The company has rolled out initiatives with national and regional retailers such as Subway sandwich shops and KaBloom florists, as well as smaller chains, such as Potash Bros. markets in Chicago, and Ring Bros. on Cape Cod.

Last year, the company merged with Boston-based Cuesol Inc., maker of electronic personal shopping products such as wireless cart-mounted touch screen browsers, in-store kiosks, and web applications.