NEW YORK CITY -- Vengo Labs said it has closed a $2 million financing round to expand its network of compact vending machines that deliver digital media at the point of purchase to create an "interactive sales and consumer engagement platform."
The New York City tech startup has an installed base of 60 machines throughout the Big Apple that sell or dispense samples of products ranging from chips and candies to OTC medicines and headphones. The machines serve as a digital advertising network for such brands as Uber and Mondelez.
Vengo recently partnered with CC Vending, one of New York City's largest vending operations, to handle logistics and fulfillment and to install its machines at locations.
Vengo reported that its current network of machines throughout New York City, in locations like New York University, as well as bars and offices, is driving 280,000 active customer engagements each month. It explained that the team of aerospace engineers that founded the company have worked to turn each tap of the screen into a quantifiable, data-driven science to improve brand reach for its media partners.
Investors in the Series A financing round include Coinstar founder Jens Molbak. Crowdfunding platform SeedInvest was also major participant, contributing $720,000 to the A round, Vengo said.
The new funding follows a $1 million round raised by the company last year to fund TaxiTreats, its original concept of installing miniature vending machines inside New York City cabs. The startup won the Big Apple's "NYC Next Idea" contest for that idea, which is still under development, in March 2012. | SEE STORY
"Vengo is changing the way that brands interact and engage with consumers and providing a smarter alternative for research and sampling," said investor Joanne Wilson. "Vengo is already influencing consumer consumption patterns in New York City."