Lob raises $50M for its direct mail platform
Lob is a startup promising to help businesses deliver physical mail more quickly and affordably, and with more personalization.
The company estimates that its platform has been used to deliver mail to one in two U.S. households. And today, it’s announcing that it has raised $50 million in Series C funding.
CEO Leore Avidar told me he founded Lob with Harry Zhang nearly a decade ago to “allow people to send mail programmatically.” Over time, the company has become increasingly focused on enterprise clients — its 8,500-plus customers include Twitter, Expedia and Oscar Health — although Avidar said it will always offer a product for small businesses as well.
Avidar explained that in a digital age, there are two main categories of physical mail that Lob continues to support for its customers. First, there’s mail sent for “a regulatory purpose, a compliance purpose” — in other words, mail that businesses are legally required to send in printed form. Second, there’s direct mail sent as marketing, which Avidar said many companies are rediscovering.
“Marketing as a whole is always trying to find a unique channel in order to make their customer aware of whatever their call to action is,” he said. “Right now, social is really expensive, Google AdWords is super expensive, with email you can easily unsubscribe. No one’s been paying attention to direct mail, and the prices don’t scale with supply and demand.”
Lob says that it can reduce (Read more...)