Textmaster raises another €1 Million for their content marketplace

Textmaster raises another €1 Million for their content marketplace
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Paris-based startup Textmaster has raised another €1 Million from its traditional investors (Alven Capital, Fabrice Grinda, eFounders, Geoffroy Bragadir), and has added Webedia co-founder Cédric Siré to the board. Textmaster provides a variety of content services – translation, content generation, writing, etc. – and provides a “qualified crowdsourced” marketplace, as co-founder Thibault Lougnon called it in an interview with Frenchweb.

As a content creator myself, I have trouble believing in the viability of a business model based on exchange of services which start at $.02/word; however, Textmaster already works with Google (Zagat), Webedia, Quicksilver, LVMH (Benefits) & Undiz.

More interestingly, Textmaster is raising just €1 Million, after raising €1.6 Million back in November 2012 – one can imagine that the metrics that matter haven’t moved as quickly as they were hoping. I noticed the same thing earlier this year with another SMB SaaS company, Mailjet, who raised €2.2 Million in March after raising €2.5 Million in November 2012.

Of course, rounds like these could be simple bridge financing, but my gut tells me that these companies aren’t living up to the expectations (and the competition) of 2012. Textmaster’s translation marketplace has to be revenue-intensive enough for the supply to invest in using the service (a core group of hardcore translators & content creators, combined with a larger group of casual users), as well as a group of consistent clients with constant content creation/localization needs.

Today, Textmaster boasts 50 Million words translated – a hard number to put into context, I would’ve preferred to know how many content creators or how much revenue was generated for content creators (potentially $1 Million, given the minimum price per word).

3 Responses

  1. Avatar
    Thibault

    Hi Liam, thanks for the article! You’re right about the pricing, this is our entry level, an increasing share of our clients order premium level and/or expertise option. Regarding the size of the deal, TextMaster is on good track but it was part of our series A agreement to call for one more million. We decided to do this rather than spend a tremendous amount of time on road show because we don’t need more money at this time. Hopefully our next round of funding will prove me right 😉 All the best, Thibault

  2. Avatar
    Rachel Vanier

    I am also skeptical, however more on the “user”‘s point of view. I fear that the use of Textmaster is only pushing fast-produced, low-quality content creation that brands and advertisers use to produce so-called “brand content”, “native advertising” and so on. Contents are supposed to bring true added value to Internet users and consumers, otherwise we can just keep on with ugly banners. Is it really possible to write a quality content for $.02/word?

  3. Avatar
    Translation in France

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