AdTech company Vibe.co raised $50 million in a Series B funding round in September, bringing its overall valuation up to $410 million just three years after launch.
Vibe is a self-service TV ad buying platform that was founded in 2021 by Arthur Querou and Franck Tetzlaff. The company, which officially launched in September 2022, uses AI to help brands create and place ads on streaming services like Tubi, Paramount+, and Sling TV.
While many larger brands looking for this sort of one-stop service lean on bigger, more established companies like The Trade Desk, Google, and Amazon for their streaming service ad buys, Vibe has pitched itself as the perfect partner for smaller brands that haven't dipped their toes into the world of TV advertising.
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The company attributes its rapid growth in part to this decision, as well as the development of its ad placement algorithm.
Vibe said it focuses on "performance marketers," think gaming apps or direct-to-consumer beauty brands, who tend to buy ads on platforms like Instagram instead of TV. For these companies, TV advertising can feel overwhelming– a barrier to entry that larger adtech companies aren't poised to help them overcome.
Querou, who is Vibe's co-CEO, told Business Insider that the company's team has invested heavily in its generative AI studio, which has been an essential tool for companies that are new to the TV ad game.
Vibe's AI studio allows advertisers to enter their company's name or URL, and the platform will create a custom ad from there. More than 10% of the ads run by Vibe.co are currently AI-generated, Querou says. He predicts this number will rise to 35% by the end of the year and 95% by 2028.
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Querou also told BI that Vibe's ad targeting product has been a key component in the company's growth.
"We built our own data assets that allow us to be much more granular” in matching a specific product to the right viewer, he said. "We’ve transformed the whole buying stack into a recommendation engine.”
Looking ahead, Querou says Vibe plans to combine this homegrown AI approach to help scale the company. While they are planning to hire for some key management roles, he says other positions, like account managers, will be filled by internally developed AI agents.
“By building agents ourselves internally, it’ll avoid us having to hire 250 roles by the end of 2028,” he told BI.
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