Showbox, an emerging online video editing startup, has raised $8 million in Series A funding round led by leading media executives and strategic partners that includes former AMEX Travel CEO Charles Petruccelli, IMAX chairman Brad Wechsler, Wix.com Ltd co-founder Giora Kaplan, TPG Partner Karl Peterson and more.
Founded in 2013 by CEO Effi Attad and CMO Tomer Afek, Showbox is an online editing platform of choice for non-professional video makers and provides cloud-based tools that allow quality, simple video production for individuals and brands. The company operating in the stealth mode for last two years , is planning to use its new funds to continue product development, improve existing features and boost market penetration.
Atad said, “Current video solutions are either too basic or too expensive and geared solely towards professionals. Showbox is the only platform that makes video production accessible by creating a DIY platform that simplifies the entire production process while still offering a professional grade result. Individuals and businesses alike are looking for a scalable mechanism to produce creative video content, from publishers posing weekly magazines to vloggers publishing daily – Showbox answers this need.”
According to a study by Cisco, videos will account for 80% of major consumer traffic by 2018 which is 68% more than the last year. Along with the YouTube, the introduction of autoplaying videos on Facebook and Twitter give way to the increase in the medium for videos and these are increasingly important for anyone who wants to build an online brand.
Despite of the growing importance, the founders say there is a wide gap between editing tools for amateurs and professional studios. “Brands continue to spend more on video, yet cite the cost of production as the biggest barrier,” said Afek.
Showbox which uses a freemium model and working to closed beta phase with a waitlist of 50,000 users, is wanting to narrow the gap by providing a wide array of show formats that users can drop footage into, fine-tuning the videos with tools, title card and templates, backgrounds and other things. The formats allow in the creation of endless content in multiple genres and greatly reduce the need for post production. Users can customize their formats and save them within the platform, streamlining episode creation in less than 10 minutes.
“As native video content becomes the standard in social media beyond its already wide use by millennials for self-expression, consumers are growing increasingly unwilling to engage with traditional advertising and brands of all types will need t adapt. Showbox empowers these brands – and their communities – to elevate their engagement by effectively tapping into the power of high quality, creative video content, without the need to spend a fortune,” added Afek. “Brands and influencers have powerful messages to deliver and Showbox is giving them a platform that matches the quality and power of their unique voice.”
Before ShowBox, Atad founded New Media Communications, a video tech company that sold to Harmonic Inc. for a reported $19 million.