In-store ads streaming martech lands $40 million Series B

An expat Australian scaleup using in-store advertising to bolster retail sales has raised US$25 million ($40m) in a Series B.

The raise for 13-year-old Melbourne-founded, Dallas-based Qsic was led by UK investment firm Hedosophia.

The platform, cofounded began as a music streaming service in pubs and clubs in 2012, and is now responsible for the in-store audio in the likes of 7-Eleven, and McDonald’s, claiming to reach around 100 million shoppers at the point of purchase monthly.

If you’ve visited a Coles Express, you’ve heard the product – the company signed a five-year partnership with the fuel retailer back in mid 2023, and Qsic’s retail audio has an AI capability to deliver targeted media at the petrol stations, which process more than 3.6 million transactions weekly. You’ll also hear it in grocery, liquor, hospitality, fashion and specialty retail stores.

Last year it signed a deal for “Gulp Radio” in 12,000 7-Eleven, Speedway and Stripes stores across the US by the end of 2025, reaching up to 13 million shoppers daily.

The martech previously raised $4 million in a Series A led by Carthona Capital, in May 2021.

The freshing funding will product development, ramping up the sales team and rolling out AI-powered in-store audio platform into new retail locations, with plans for 70,000 speakers going into stores in North America over the next 12 months.

Qsic’s generative AI model, Lucy, creates of custom audio ad content, including on-demand voiceovers and localises ad content in real time based on details such as local pricing, inventory and weather conditions as well as controlling the volume based on ambient noise levels.

Matt Elsley, the martech platform’s cofounder CEO, said demand for the product is strong.

“We’re positioned to accelerate product development to enhance our tech capabilities and put new resources in place to grow our network to drive even greater, measurable outcomes for our retail partners and brands globally,” he said.