NewMedia SPARK PLC
13 July 2000
NewMedia SPARK plc invests £600,000
in Touch Clarity Limited to develop internet-based
Customer Relationship Management software
NewMedia SPARK plc, the technology and internet investment
company, today announced that it has invested an initial
£600,000 in Touch Clarity Limited. Touch Clarity is
developing Customer Relationship Management (CRM) software
which will improve the commercial efficiency of websites by
enabling them to present users with personalized content.
Touch Clarity will use data-mining technology and a shared
repository of user information to help websites present more
relevant information to their users which will reduce
attrition, increase dwell times and e-commerce revenues. It
is estimated that the global CRM market will be worth
£10.5bn a year by 2003 with an annual growth rate of 49%.
The investment forms part of an initial £1 million seed
round of venture capital funding from NewMedia SPARK and
JAFCO Co., Limited, a leading Japanese venture capital
investor. The funds will enable Touch Clarity to develop
and package its first product, aimed at the internet
marketplace. Touch Clarity intends to develop further
products for other interactive media such as digital
television and wireless. NewMedia SPARK has an option to
invest a further £900,000 and JAFCO a further £600,000 to
bring the total investment to £2.5 million.
Touch Clarity was founded by Paul Phillips and Alex
Kelleher. Paul Phillips was previously European Managing
Director of Urban Science, a leading data mining software
supplier and Alex Kelleher was founder and CEO of Vivid
Edge, the London based internet consultancy which was sold
to Framfab earlier this year. Alex remains Non-Executive
Chairman of Framfab UK.
Commenting on the investment, Andrew Carruthers, COO of
NewMedia SPARK plc, said:
'We believe that there is huge market potential for
effective personalization tools across all interactive
media. We are pleased to have the opportunity to invest in a
pioneering company in this field with a highly credible
management team and a distinctive business model. We are
also pleased to be working with JAFCO on this investment and
we look forward to further co-operative investments with
them in the future.'
Paul Phillips, CEO of Touch Clarity said:
'The Internet is an immature medium that is about to go
through some radical changes. Touch Clarity is one of a
handful of companies world-wide in the race to develop
software that enables web-sites to become active learning
systems.'
Alex Kelleher, Director of Sales and Marketing at Touch
Clarity, said:
'Our software will have far-reaching consequences in terms
of making web-sites accountable and efficient. I am
confident that the market is now ready for sophisticated
personalization tools.'
Akira Oka, Head of JAFCO's investment team in London
commented:
'We believe that Touch Clarity is addressing enormous under-
served demand in the eCRM space. We are very excited to
work with the management with strong track records in this
business. We are also pleased to be working with a leading
internet investor, NewMedia SPARK. We look forward to
developing a good relationship on this investment and more
opportunities to collaborate with them in the future.'
_____________________________________
For further information, please contact:
NewMedia SPARK 0207 851 7777
Fenella Copas
Buchanan Communications 0207 466 5000
Tim Anderson/Isabel Petre
Touch Clarity
Paul Phillips 07884 311 848
Alex Kelleher 0976 272 232
Notes to Editors
NewMedia SPARK
NewMedia SPARK plc, listed on the London Stock Exchange's
Alternative Investment Market, is one of Europe's leading
listed technology and internet investment companies.
SPARK is building its portfolio of investments in early-
stage companies in the UK, Scandinavia and elsewhere in
Europe. Based principally in London and Stockholm, SPARK has
one of the largest and most experienced teams in Europe,
with skills ranging from investment banking to active
involvement in the formation and running of new media
companies. SPARK's current portfolio of 46 investments
spans the following sectors: Internet transaction platforms,
Interactive entertainment, Wireless infrastructure and
applications, Web infrastructure tools, Internet content and
commerce.
Touch Clarity
Touch Clarity creates software that proactively explores and
learns about customers by observing online behaviour, and
then maximizes the commercial performance of online content.
The founders are Paul Phillips, former European Managing
Director of data mining company Urban Science, and Alex
Kelleher, Former CEO of leading London internet services
company Vivid Edge (now Framfab). The unique combination of
experience and core technology available to Touch Clarity
make it one of the best positioned companies to take
advantage of the growing market of content personalization.
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