VigLink, a startup that helps publishers and bloggers monetize their outbound traffic, has closed a $5.4 million Series B funding round led by Emergence Capital, with participation from existing investors Google Ventures and First Round Capital. The company raised $800,000 in January 2010 and has now raised a total of $7.3 million. The company is also revealing that SoftTech VC took part in an earlier round (their participation was not previously disclosed).
VigLink’s goal is to help publishers monetize their content more effectively and without much effort. After installing a small snippet of code on your site, VigLink will detect whenever you create an outbound link to any of 12,500 merchant sites. It will then automatically convert this link to an affiliate link, which means that you get a kickback whenever someone clicks it and eventually completes a purchase on the linked merchant site. → Read More
Editor’s Note: This is a guest post by Hunter Walk who spends way too much time researching 1980s hair metal bands on Wikipedia. His obsession with Wikipedia is unrelated to his day job leading the consumer product team at YouTube.
Wikipedia is the world’s 5th largest website, runs no ads and, depressingly, seems to be perpetually on the fringe of solvency. Google for “Jimmy Wales personal appeal” (Wales is Wikipedia’s founder) and you’ll see that there are 32,000+ results, which gives you a sense of the fundraising requirements for this user-generated encyclopedia. The question of whether they’ll ever run ads in order to break this cycle is an ongoing debate. In fact there’s a Wikipedia page devoted to this topic with discussion about ads, opt-in ads, search ads, etc.
At 400+ million users worldwide, any of these options could certainly raise considerable funds used to support the technical and philosophical mission of this non-profit. But to date, Wales has been reluctant to introduce any advertising. So where do we end up? After hitting its 10 year anniversary this January, the question is: can Wikipedia sustain itself for another 10 years without a significant change to its business model? → Read More
Most online publishers are at least vaguely familiar with affiliate programs, which can help them generate revenue from the stores and products they link to. Unfortunately, actually managing accounts with these programs can be a bit of a pain, and many people simply forget to use them. VigLink is a new startup that’s looking to help by automatically inserting affiliate links whenever you link to a product from your site. The company has just disclosed a $800K funding round it raised last summer that was led by First Round Capital and Google Ventures, with a number of angel investors including Reid Hoffman, Dipchand Nishar, Niel Robertson, Hadi Partovi, Ali Partovi, Carlos Cashman, and Micah Adler.
For those that aren’t familiar with them, affiliate programs are often offered by online retailers who pay you a commission to drive traffic (and purchases) to their webstore. Amazon is best known for their program, but many other businesses now feature them as well. VigLink looks to help you use as many as these programs as you’d like with a minimal amount of effort. The site is currently in a private beta, but plans to launch publicly in the next few months. → Read More
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