Yahoo Finance Netmums founder secures £3m for video channel for millennial mothers
The founder of Netmums has attracted a £3m investment in her online video channel aimed at millennial mothers.
Channel Mum, which was founded in 2015 by Siobhan Freegard with £500,000 of her own money, has secured £3m from venture capital investors Downing and NVM. It follows a £2m investment from NVM in 2016 as well as an undisclosed amount from ITV.
Mrs Freegard, who sold her first company Netmums to Axel Springer-owned Aufeminin Group in 2011, said that, while the growth of her first project was organic, she knew she needed external investment to keep up with the pace of the industry.
“Before I started Channel Mum, there wasn’t Facebook video, there wasn’t Instagram video, there wasn’t Instagram stories, and I could see how fast it was moving and [thought] if I’m going to do this I need to go and get money. So that’s why, for the first time ever, I went the VC route.”
Channel Mum has 60 regular "influential" vloggers signed up and works with a further 500 that contribute less regularly. Its main revenue stream comes from working with brands, which sponsor 30pc of content and include Iceland and Pampers. But Mrs Freegard says that it’s not just advertising.
“We never make branded content that’s just an advert. It’s always interesting, it’s always useful, it’s always giving something back in some way, whether that be information [or] money off special offers.”
The company is also increasingly working as a talent management agency for its “mum influencers”, helping them to negotiate the best deals for themselves with brands.
With 22 members of staff currently, Channel Mum will be using some of its latest funds to ramp up hiring, as well as invest in content and technology.
