One of the most interesting missions in fintech has been the effort to bring the benefits of 21st century communications – from instant messaging to social media – to regulated businesses. In a world in which consumers expect to be able to leverage the familiarity and convenience of WhatsApp and Facebook in their everyday activities, the challenge of incorporating these technologies into industries like finance has been daunting.
Denim Social is one of the many companies that has dedicated itself to solving this problem for consumers and regulated businesses alike. Headquartered in St. Louis, Missouri, the company offers a suite of built-in compliance and publishing tools to help financial, insurance, wealth management and other compliance-conscious enterprises run and scale conversion-optimized campaigns across all social media channels.
More than 250 institutions in banking, insurance, wealth management, and real estate have leveraged Denim Social’s technology. And today, the company announced that it has raised $5 million in Series B funding to help support product development and fuel expansion in its marketing and sales efforts. The investment, courtesy of FINTOP Capital and JAM FINTOP BankTech, gives the startup a valuation of $30 million.
“Financial institutions are rapidly accelerating their digital strategies in today’s environment and Denim Social can help them humanize their brand on social media, while staying compliant,” Denim Social CEO Douglas Wilber said. “With increasing demand for our solution, FINTOP’s and JAM FINTOP’s partnership will help us grow to meet the needs of future clients.”
Founded in 2020, Denim Social merged with Finovate alum Gremln Social later that year. Making its Finovate debut in 2013, Gremln was among those companies that, early on, recognized the value in enabling regulated companies to leverage social media to enhance customer engagement in a compliant way. “During times like today, it’s more important than ever for brands to use social media to build deeper, more meaningful relationships with consumers and their communities,” Denim Social noted in a blog post announcing the merger. “But we also recognize that compliance remains a significant barrier in many regulated industries. By merging our technology and expertise, we are providing an industry-leading, all-in-one solution.” The merger announcement was accompanied by a $4 million Series A investment led by Hermann Companies.
More recently, Denim Social launched the first-ever compliant Instagram publishing and advertising solution. In a statement, the company noted that Instagram bested other social networks in terms of both engagement and the ability to influence purchase decisions. The new platform enhancement helps marketers at regulated businesses manage and publish from multiple Instagram business accounts; schedule and publish organic content; maximize reach and lead generation with paid, targeted advertising; review and improve marketing strategies using performance analytics; and monitor all activity via a single streamlined feed. SVP of Goldwater Bank’s mortgage division, Christine Madrid Overbeck, called the new offering “a game changer.”
“A robust social media monitoring platform is a must in the mortgage and banking industry,” Overbeck said. “Denim Social has not only allowed us to remain compliant, their platform allows our sales team to successfully post, utilize a library of approved content, and monitor their engagement.”