DRIVERSIDE.COM SECURES $5.3 MILLION IN SERIES B FUNDING
Site dedicated to helping car owners also announces new partnership with leading aftermarket service provider Integrated Services, Inc.
Bob Ackerman of Lead Investor Allegis Capital Joins Board of Directors
SAN FRANCISCO – March 12, 2009
DriverSide, the only Web site built specifically for the car owner, today announced it has secured $5.3 million in Series B funding. New investor Allegis Capital led the round with participation from original investor Catamount Ventures and the company’s founders. The funding will be used towards investment in revenue–generating partnerships with automotive services companies looking to reach car owners, and to accelerate DriverSide’s product development. The new round of funding brings DriverSide’s total venture capital funding to $8.4 million.
Additionally, DriverSide announced a partnership with Integrated Services, Inc.TM (ISI) the maker of LubeSoft® – the market leading point–of–sale management software system for fast lube owners. The initial launch is scheduled for April. DriverSide will build online “garages“ for ISI’s operator customers, helping them provide an end–to–end ownership experience for their consumers. ISI operates in over 2,500 locations around the United States.
“The auto industry is in a crisis far deeper than they could have imagined as consumers hold on to their current vehicles longer and longer,“ said Jad Dunning, CEO of DriverSide. “As a Web site dedicated to helping drivers get the most out of their current cars, we’re in a unique position of strength during the automotive downturn.“
The company further announced that Bob Ackerman, managing director and co–founder of Allegis Capital, will join its board of directors. Ackerman previously invested in two companies started by DriverSide co–founders Jad Dunning and Trevor Traina – CompareNet, which was sold to Microsoft, and StepUp Commerce, which was sold to Intuit.
“It takes strong teams with a compelling idea to succeed in today’s environment,“ said Ackerman. “Having successfully worked with Trevor and Jad twice in the past, I know first hand their ability to excel in challenging environments.“
Expansion of Business Services
According to a recent DriverSide survey with Kelton Research, 82 percent of Americans now plan to hold onto their cars longer than they originally intended. The data supports the industry need for DriverSide’s business services that connect service providers directly with customers and car owners.
DriverSide’s partnership with ISI is designed to help fast lube operators optimize relationships with their customers. Once created, the garage is automatically updated with vehicle service histories and is fully customized to the needs of the consumer and his or her vehicle. Automatic email reminders about servicing, recalls, parts and other ownership needs, keep consumers engaged and informed about extending the life of their vehicles.
Similar to recent launches with other industry partners, the relationship with ISI, whose software is recommended by every major oil company, is another example of how DriverSide’s end–to–end ownership experience can help the industry build and maintain relationships with customers in a very challenged market.
“Our operator customers are looking for value driven cost–effective ways to build stronger relationships with their consumers to ultimately increase lifetime loyalty and value,“ said Steve Barram, ISI CEO. “We are excited to be working with DriverSide to offer access to their unique set of tools and content around ownership.“
DriverSide offers customer acquisition and retention solutions to companies working across all stages of the car ownership cycle, from dealerships and insurers to aftermarket suppliers and service providers.
About Allegis Capital
Allegis Capital is a seed and early stage venture capital firm focused on the digital economy. The venture firm has five funds and has invested in more than 70 companies including Ironport Systems, RIBBIT, LGC Wireless, SandPiper - Digital Island, Rent.com, Shopzilla, Comparnet and StepUp Commerce. Based in Palo Alto, California, Allegis has assets under management of $500M. For more information, visit www.allegiscapital.com
About Integrated Services, Inc.
Integrated Services, Inc. (ISI) based in Portland, Oregon is the maker of LubeSoft® and WashSoft®– the market leading point–of–sale software systems for fast lube and car wash owners. LubeSoft® is a complete management tool for fast lube operation. More fast lubes use LubeSoft® than any other system – making LubeSoft® the most respected and recommended software in the industry. WashSoft is a comprehensive management tool for carwash operators.
Founded in fall 2007 by Internet Entrepreneurs Trevor Traina, Adam Jackson, and Jad Dunning, DriverSide is the first Web site specifically designed for automobile owners. Funded by Catamount Ventures, DriverSide allows consumers to save money on servicing and maintenance costs as well as buy and sell automobiles. With an in-house editorial staff, DriverSide offers useful advice on how to own and operate a vehicle as well as reviews on new and used automobiles. DriverSide’s community allow consumers to participate in forums, meet other owners of a particular vehicle, share knowledge, and post reviews on mechanics and dealers.
Whether for buying, selling, servicing, maintaining or accessorizing, DriverSide has brought together all the information and resources needed to make automobile ownership an easy and personalized experience. (www.driverside.com)
For more information contact:
Nick Leahy, Sparkpr for DriverSide, 415.321.1864, firstname.lastname@example.org