OgaVenue raises $45k from Spark and Hotels.ng

Lagos-based online events venue booking platform, ogaVenue has secured a $45,000 seed investment from Spark and Hotels.ng.

Talking about the raise, ogaVenue CEO, Andrew Airelobhegbe says, “We are incredibly excited to join the Spark family as it houses some of the most successful startups in Nigeria and arguably as helped to grow the most successful founders in Nigeria. We’re also thrilled to have attracted the attention of, and investment from Hotels.ng, a pioneering travel business we have long since admired and followed. With them on board, we are certain that together, we will radically change the face of events and hospitality in Nigeria and Africa.”

Hotels.ng founder and CEO Mark Essien added that, “For us, the ogaVenue deal was a no-brainer. Andrew is probably the smartest young entrepreneur in the Eco-system, and he has built a business that’s showing amazing numbers and traction. Seeing how closely his business is related to ours, it was obvious that getting involved in this deal would be to both of our advantages – there are clear synergies that can be leveraged on to accelerate growth in both the hotel and the event segments”.

http://techcabal.com/2016/08/18/ogavenue-has-raised-45000/

9 Likes

Congrats guys! So now we’re covered from the hotels to the reception, at the venue. Or maybe the other way round. Either way, party suppose dey o…

2 Likes

From this: http://www.jason.com.ng/post/50641211101/thou-art-worthy-of-funding-part-1

Mark is one of the most impressive young men I have come across anywhere in the world and have no doubt with or without me he would be successful.

And now:

Highlight mine, and I am not sure the dots I am trying to connect here but good luck, guys!

1 Like

Started from the bottom Radar, now we are here funded.

It’s amazing what you may find, hiding inside radar’s product category… :walking:

27 Likes

How do investors decide where to put their money? Which metrics are most important to them, market size, potential revenue/profit or do they just invest in the person or people behind the business?

1 Like

someone should come and invest in me na!!

2 Likes

Interesting…Hotel offering a Value Added Service for People

Please, explain

Well, In the longterm theres a possibility of buying the business, merging the business which allows hotel.ng offer a new business chain to clients, renting venues in hotels also locking down the value chain, for now they can partner but that idea might be in the offing.

3 Likes

There are a couple of pointers in Jason’s new post:

www.jason.com.ng/post/149313310525/andrew-and-the-future-of-our-ecosystem

I received the email from Andrew 9th July. I
met him 13th July. We had a deal negotiated
14th July. The rest was some mild due
diligence, my travel delaying the paperwork.
OgaVenue was given the highest valuation of any seed round in Spark’s short history. He
deserves it. He was more advanced than any
we had funded at this stage. He was crazy
profitable.

Not read the article yet, but if Jason says he was crazy profitable, then dropping 45k makes sense. I would like to know how many bookings Oga Venue has processed so far.

This, my friend, is something you may never be privy to…

http://mobile.twitter.com/markessien/status/766204360472887296?p=v

Why the announcement though?Why not close a deal and both party keeps shut,as against beating the drums?
I may be wrong, but I think its a norm already.

6 Likes

Because the startup gains visibility, gains customers, credibility and so on. It’s not just some ‘unknown guy’ anymore, but someone you can trust with your money, because others have done the same…

32 Likes

One of the few times where CEOs can be like…

9 Likes

Really happy for the ogavenue team. Glad to see young founders are coming through.

1 Like

Very real possibility here. I consult for a hotel and I know that many hotel corporate clients will only book the hotel(s) if they have an event venue they can use or if there is one close by. This alone can determine if a business worth millions (in both rooms and food) will go to a particular hotel or not. If you cannot provide a meeting space or boardroom for their 4-5 days 20 man training or quarterly meeting, they’ll just take the whole thing somewhere else. Congrats to them.

But personally, I will like to know how they did their own marketing without any online marketing. How did they manage it?

@mauri stories like these are good for the ecosystem. It makes everyone wake up, and also shows so many untapped opportunities within the ecosystem.

1 Like

The Truth is, in any given business there are 14 proven ways to gain traction, i would list them below , the major thing is finding the ones that work for you:

a) PR: Get your name out there via traditional media using Above the Line Strategies aka TV, Print, Radio etc.

b) Untraditional PR: Do stunts and treat customers so well that it generates buzz on traditional media eg… Treat all your loyal customers to a free dinner, give them chocolates on their birthday or celebrate their most important moments or Create the biggest Logo the World has seen, the more outrageous the better.

c) Partnerships: Strategic Partnerships with like brands that can move your company forward, OgaVenue and Hotels etc.

d) Viral Marketing: Get your users to market for you when they have a WOW Experience with your brand, trust me you have to consistently wow people to help market you, Word of Mouth Referral the best Marketing Strategy.

e) Good ol’ Search Engine Optimization: Google anyone?

f) Social and Display Ads: Advertise on Social media sites, the trick here is finding the right firm or Social media person to create a good campaign for you.

g) Offline Ads: TV, Radio, Print Again then add BTL Strategy, Activations, OOH, Billboards, Marketing collaterals, Souvenirs all branded.

h) Search Engine Marketing: Display Networks, Re-targeting ( Ecommerce Favorite)

i) Content Marketing: Write witty contents don’t copy and paste on your company i beg of you in Jesus name, if you cant write, pay someone to do so or this isn’t for you.

j) Email Marketing: In Nigeria it has become Spam Marketing, we don’t mean send 1000 mails daily, send mails but with witty content that engages not annoys.

k) Engineering as Marketing: So you pay your coders lots of cash, time for them to whip up an algorithm that helps you sell better, market smarter and be a USP eg, a holiday calculator that helps u budget for your trip to anywhere you go and when you reach your goals easily allows you book your trip seamlessly, BOTS ANYONE?

l) Target blogs: Radar, Nairaland, Linda and the million and 1 others.

m) Business Development: I am sure this is what the Oga Venue guys did well, create relationships with hotel groups and then this guys refer them to other groups and they sign more partnerships and the cycle goes on, they also can speak with Catering firms to sign up the best to offer clients who need outside caterers for their events and becomes a value added service for their platform, the list is exhaustive. By focusing on this channel, they can scale without even posting a tweet.

n) Sales: Again, Smart selling generates revenue without buzz, but to sell you must have a creative story, a good product and a portfolio of happy customers to on board or a unique proposition for first time users.

o) Affliates: Get Affiliates to promote you, provided commission and target is well.

p) Existing platforms: Big Marketplace selling by leveraging on the owners brand.

q) Events/Trade-show: By Creating, Sponsoring, Co-hosting events, people get to experience your brand the way you want to, you can use that as a gauge for your brand etc.

r) Speech giving: CEOs time to get speaking, attend Events and speak…helps build your company brand and yourself.

s) Community building: Create a community passionate on your subject matter and groom them, Radar Anyone?

15 Likes

I’m glad startups get funded but my only problem when announcing it is (I can only speak for myself, nobody else) it seems as if the amount is always too small. Like from an outsider looking in and NOT knowing the details (because God/devil is in the details) or NOT knowing what’s going on behind the scenes, it’s like:
a. The investor didn’t have enough money but saw potential and decided to put whatever they can manage (which is smart - a half bread is better than none) or
b. The investor doesn’t really believe in the startup itself but tried to help out (which is cool and generous). or
c. The cost of living is low compared to 1st World Countries (but at the end of the day we all need money, right?) or
d. Put a little in now and more in later (I’ve always wanted to know how startups got so much money but yet they have so little customers/downloads) or
e. Something else.

Like ogaVenue is a cool startup but compared to others in the Radar’s competition that was previously held there are way better ones. Why didn’t they get funded? Even before ogaVenue was funded and later announced, I remember seeing it in Vc4a Ventures and to be honest I didn’t look twice at it compared to these ones that I’ve seen. So at first I thought this was some publicity stunt. But it only became clear and it seemed like everything is some type of club after @akindolu mentioned this:

Either way congratulations to ogaVenue and thank you CEO @mark for taking the time to clarify why it is needed to announce when a startup gets funded.

1 Like