StellarAlgo Raises $16.5 Million In Series A Investment
By Community | November 11, 2021
StellarAlgo, the leading customer cloud platform for the sports and live audience industry, announced today a $16.5 million Series A funding round led by Toronto-based Carallas Holdings. Other new investors include Newbound VC, and Bleacher Report founder Dave Finocchio. The round also included follow-on investment from existing shareholders Accelerate Fund II, Bluesky Equities, and InterGen Capital. To date, StellarAlgo has raised $19.0 million.
Funds will be used to continue the growth of StellarAlgo’s cloud-based solutions, which help sports and live event organizations monetize their live audiences using insights-driven sales, marketing and analytics tools. Product advancement will include investment in the company’s flagship tools, the Customer Data Platform (CDP) and Data Warehouse, to make it easier to efficiently engage fans and drive lifetime fan value.
StellarAlgo will also use this capital to expand its offering to foster partnerships with the brands supporting these teams and leagues while extending their presence by opening headquarters in both the United States and Europe. In conjunction, the company plans to double its workforce over the next 12 months, continue to hire best-in-class data engineers, customer success, product development, sales and marketing team members.
“This funding represents a major milestone for our company and will significantly advance the industry’s ability to monetize fan bases through digital channels,” said Vincent Ircandia, founder and CEO at StellarAlgo. “Sports and live audience organizations around the world are grappling with a rapidly evolving fan, and we make it possible for these properties – and their partners – to connect with and convert the world’s most passionate audiences.”
StellarAlgo’s customer cloud platform – which includes the most modern Data Warehouse offering in the market as well as the company’s flagship Customer Data Platform – anchors the fan management activities of more than 85 sports and live audience properties and partners throughout North America and Europe, including the MLB’s New York Yankees, the NBA’s Milwaukee Bucks, the NHL’s LA Kings, and the US Open Tennis Championship. Live audience businesses and their partners use StellarAlgo’s suite of products to implement a data-driven, fan-centric approach to connect and engage with fans on a personalized level never before seen in the industry, using segmentation capabilities that span multiple data sources — including ticketing, email, demographics, merchandise, and CRM — to build predictive lists that take their understanding of known customer lifecycle data points to new levels and maximize the lifetime value of their fan universe.
There are over two billion avid sports and entertainment fans globally whose engagement is higher than that of any customer on the planet. Yet, these live audience properties continually rely on antiquated methods for measuring their fanbases, marketing to individual segments and converting that fandom into revenue. Regardless of where a property may be in their journey toward customer centricity, the quality of their existing data, or the sophistication level of their existing technology toolkit, StellarAlgo’s customer cloud platform allows live audience properties to reach their goals with improved pace, certainty, and agility.
“StellarAlgo is positioned to disrupt business operations for sports organizations worldwide,” said Paul Gallagher, VP Investments of Carallas Holdings. “We were very impressed with the company’s progress which has come thanks to a highly-effective management team and an unrivaled, state-of-the-art technology platform. This progress has solidified Stellaralgo’s first-mover advantage – our organization is excited to help facilitate the next stage of the company’s development.”
StellarAlgo provides invaluable insights and tools that help better monetize these fanbases. The company’s customer cloud platform is so valuable to live audience organizations that enough business was generated to be profitable in 2020, despite the pandemic effectively shutting down the live audience industry. The company has more than doubled their business every year since platform launch in 2017.
“Engagement and connection are at the heart of what every fan wants from their favorite team – no one makes this relationship more central to how properties interact with their fanbase than StellarAlgo,” said Finocchio. “This is a company that’s poised to disrupt the sports tech space with advanced technology that every organization in the sports ecosystem should salivate over.”