Nativo has acquired SimpleReach, a move that Nativo CEO Justin Choi said will pair his company’s distribution system for native ads with SimpleReach’s measurement tools.
“If you can’t measure the impact of something, it’s difficult to scale spend in that area,” Choi told me. “When we say measurement we’re actually talking about connecting content to outcomes.”
To be clear, Nativo already offers measurement tools of its own, but apparently they’re limited to content that the brand or marketer is publishing on their own sites. SimpleReach, on the other hand, can measure sponsored content programs published elsewhere on the web, so Choi said it provides a “complementary measurement technology.”
Both Nativo and SimpleReach are long-standing players (and partners) in the native advertising and content marketing industry. Choi said Nativo has succeeded by “focusing on content,” and on the “mid-funnel” of the customer purchase journey.
“Almost all our relationships involve … the actual brands themselves, because we do solve a unique problem for them,” Choi said. “That middle part of: How you get someone to consider something? How do you create intent?”
The companies aren’t disclosing the financial terms of the acquisition. SimpleReach has raised a total of $24 million from investors, including MK Capital, Atlas Ventures, Village Ventures, High Peak Venture Partners and Spring Mountain Capital.
Choi said the company will continue to support SimpleReach as a separate product while also working to integrate its data into Nativo. Apparently “all the core team members” are joining Nativo, as is an off-site engineering team.
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He added that the remaining team members have already been hired elsewhere (Update: It’s WeWork-owned Conductor), so “everyone that wanted a home ended up with a home.”
Updated to remove a reference to the number of SimpleReach employees joining Nativo, which a company spokesperson said was not accurate.
Native Ad Startup Nativo Raises $3.5M Round Led By Greycroft
