OMG Digital, the ‘BuzzFeed of Africa,’ raises a seed round of $1.1M
OMG Digital, the Ghana-based media startup known as the “BuzzFeed of Africa,” announced that it has raised $1.1 million in seed funding from investors. Its main site, OMG Voice, already has versions for Ghana, Nigeria, and Kenya, and the new capital will be used to expand into more countries, produce more video content, and grow its advertising and marketing departments.
Launched by Jesse Arhin Ghansah, Prince Boakye Boampong, and Dominic Mensah in February 2016, OMG Voice now claims 4.5 million unique visitors each month. OMG Digital already has a team of 25 and plans to launch sites for four more countries (South Africa, Uganda, Zambia, and Tanzania).
OMG Digital’s new investors are: “Kima Ventures, Soma Capital, Comcast Ventures Catalyst Fund, Social Capital, M&Y Growth Partners, and Macro Ventures. Angel investors, including Josh Buckley of Mino Games, Will Sternlicht, entertainment lawyer Kenneth Hertz, and Off-Grid Electric founder Frances Xavier Helgesen, also participated”.
How was the company founded ?
OMG Ghana was started in 2012 by Ghansah and his co-founders when they were in college. Smartphones were becoming more popular, but Ghansah had a hard time finding interesting things to read. As a consequence, he and his other co-founders decided to create something for people like them, with lightweight content. The popularity of Smartphones and Facebook helped them boost their new venture. First launched as a microlending platform, OMG Ghana was later turned it into a media company and was accepted into Y Combinator.
Particulars
Every country’s version of OMG Voice has a lot of tailor-made content, since there are a lot of cultural nuances that need to be adapted to the specific public. Some countries share a lot of similarities, since they are close in terms of culture (ex: Ghana and Nigeria; Kenya and Tanzania). This makes it easy for OMG Voice to create content for both of them.
Sources of revenu & marketing strategy
OMG Digital monetizes through digital marketing, with 80 percent of its ad sales that come from banner ads. About 60 percent of OMG Digital users are between 18 to 24 years old and one of its value propositions is helping overseas companies figure out how to reach young African consumers in different markets. OMG Digital has already partnered with Coca Cola, Huawei, KFC, Philips, Pringles, and several of Africa’s largest telecoms, including MTN, on marketing campaigns and sponsored content.
Future expansions
OMG Digital will begin with English-speaking markets before tackling French and other languages, with the goal of one day being present in every African country.They are trying to tackle expansion by finding the next closest market in terms of culture, to the countries they are already in.
”OMG Voice already has a culinary vertical called ServePot, and plans to launch tech and lifestyle verticals as well. The company will also begin building an events business, with meetups and startup conferences”. OMG Digital wants to pioneer content advertising in Africa with major brands. We wish them all the best !
Source: Techcrunch
Credits to: Catherine Shu
