- Last Updated: 9:16 AM, May 18, 2012
- Posted: 11:46 PM, May 17, 2012
Facebook founder Mark Zuckerberg may be famous for his hoodies, but his company’s hotly anticipated IPO is proving to have long coattails.
Companies that work within Facebook’s ecosystem are seeing a sharp rise in their value — and their ability to raise cash.
One of those companies is Vitrue, a social marketing software firm, which, sources said, is on the verge of securing new money.
“Vitrue may get a nine-figure injection from a major VC,” said one source familiar with conversations. Vitrue, which counts former Facebook ad chief Mike Murphy as an adviser, helps advertisers monitor the effectiveness of marketing at Facebook and other social-media sites.
While Facebook is still trying to crack the code on optimal advertising methods, marketers are pouring dollars into marketing services firms that allow companies to use Facebook for next to nothing.
That point was driven home last week, when GM said it would end its paid ad program — while expanding its marketing initiatives at the social networking giant.
It spent $10 million on paid ads and $30 million on other marketing initiatives via Facebook.
A spokeswoman for 6-year-old Vitrue didn’t immediately respond. The company is currently backed by General Catalyst, Dace Ventures, Comcast Ventures, Scale Venture Partners, Advent Venture Partners and Turner Broadcasting System.
Vitrue’s main rival in the social media marketing world, Buddy Media, is also quietly looking to capitalize on Facebook’s IPO, sources said.
Buddy is seeking fresh funding, they said. However, a spokesman for Buddy Media turned aside such speculation, telling The Post, “any rumors about new funding are false.”