Home  › Social › Social Commerce

LivingSocial Picks Up $400 Million in Funding

  |  April 5, 2011   |  Comments

Social-buying brand will use money to accelerate domestic and global expansion.

LivingSocial has $400 million in new funding, the daily deals platform confirmed with ClickZ this morning.

While The Wall Street Journal reported Lightspeed Venture Partner, Amazon.com, and Institutional Venture Partners were the investors behind the sum, LivingSocial wouldn't disclose its backers.

Maire Griffin, spokesperson for the Washington, DC-based company, said via email, "LivingSocial did secure $400 million in investment bringing the company’s total investment raised to more than $600 million. We are respecting the policy of our investors not to reveal their names, but the round does include a mix of world-class public and private investors, which includes new and existing investors.

Griffin added, "LivingSocial will use this investment to carry on its aggressive domestic and international growth and continued product innovation."

LivingSocial and competitor Groupon are the clear marketplace leaders in a burgeoning space involving around 200 deals-based brands. Todd Chafee, a general partner with Institutional Venture Partners in Menlo Park, CA, told the Journal that LivingSocial is adding about 1.5 million new members each week. In total, he said it has 26 million members in 250 markets in 12 countries.

Last month, BIA/Kelsey found that the group-buying/daily deals niche would balloon to $4 billion by 2015. In 2010, the Chantilly, VA-based company's research said the daily deals services captured $873 million. If correct, its projections indicate a 35 percent compound growth rate during the next four years.

ClickZ Live San Francisco This Year's Premier Digital Marketing Event is #CZLSF
ClickZ Live San Francisco (Aug 11-14) brings together the industry's leading practitioners and marketing strategists to deliver 4 days of educational sessions and training workshops. From Data-Driven Marketing to Social, Mobile, Display, Search and Email, this year's comprehensive agenda will help you maximize your marketing efforts and ROI. Register today!

ABOUT THE AUTHOR

Christopher Heine

Christopher Heine was a senior writer for ClickZ through June 2012. He covered social media, sports/entertainment marketing, retail, and more. Heine's work has also appeared via Mashable, Brandweek, DM News, MarketingSherpa, and other tech- and ad-centric publications. USA Today, Bloomberg Radio, and The Los Angeles Times have cited him as an expert journalist.

COMMENTSCommenting policy

comments powered by Disqus

Get ClickZ Social newsletters delivered right to your inbox. Subscribe today!

COMMENTS

UPCOMING EVENTS

Featured White Papers

BigDoor: The Marketers Guide to Customer Loyalty

The Marketer's Guide to Customer Loyalty
Customer loyalty is imperative to success, but fostering and maintaining loyalty takes a lot of work. This guide is here to help marketers build, execute, and maintain a successful loyalty initiative.

Marin Software: The Multiplier Effect of Integrating Search & Social Advertising

The Multiplier Effect of Integrating Search & Social Advertising
Latest research reveals 68% higher revenue per conversion for marketers who integrate their search & social advertising. In addition to the research results, this whitepaper also outlines 5 strategies and 15 tactics you can use to better integrate your search and social campaigns.

WEBINARS

    Information currently unavailable

Jobs

    • Interactive Product Manager
      Interactive Product Manager (Western Governors University) - Salt Lake CityWestern Governors University, one of the 20 largest universities...
    • SEO Senior Analyst
      SEO Senior Analyst (University of Phoenix (Apollo Education Group)) - San FranciscoSEO Senior Analyst   Position Summary...
    • SEM & Biddable Media Manager
      SEM & Biddable Media Manager (Kepler Group LLC) - New YorkAs an Optimization & Innovation Manager at Kepler Group, you will be on the bleeding...