The company started life as what was essentially a marketing agency, partnering with big clients like Coca-Cola and Cadbury to add AR features to their advertising. (You’d scan an ad with the Blippar app to see some extra content or a special offer.) But according to a report from Business Insider, the company didn’t get enough repeat business to sustain this model. It’s since pivoted to developing its own AR and object recognition, and selling these features to other firms.
But this approach might not be working either. In its most recent financial accounts, Blippar posted a loss of £25.8 million ($31.3 million) in the 16 months leading up to March 2016, while revenues over that same time period were £8.5 million. Reports from Bloomberg and Business Insider said the company is burning through cash fast, and needs another funding round to stay soluble. (The company’s CEO was also caught in a minor scandal when the Financial Times found he’d been embellishing his CV.)