• by Erik Sass , January 11, 2011

While pure-play online companies (especially in social media) seem to be doing most of the fund-raising lately, digital out-of-home companies are holding up their end with mid-sized investments from venture-capital firms.

Last week, Access 360 -- which acquired Arena Media Networks in April 2010 -- announced it raised $12 million in Series C funding led by Columbia Capital, which joins Mission Ventures among the company's prominent backers. Access 360 said the new funding will be used to expand the company through more acquisitions, new hires and organic growth.

Before acquiring Arena Media Networks, Access 360's network consisted mostly of digital displays in retail stores attracting young adult mallgoers (who tend to be females ages 18-34). The addition of Arena Media Networks, which operates digital displays ranging from small screens to jumbotrons in sports venues, further expanded its reach among young adults, particularly young males ages 18-34 who attend sporting events.

Columbia Capital partner Jeff Patterson stated: "As audiences get more difficult to reach in traditional media, as a result of increased DVR penetration and fragmentation across so many TV channels, we think advertisers will look for ways to interact with their customers on digital platforms outside the home."

He called shopping malls and sports stadiums "superb venues where advertisers can take advantage of targeted, rich media advertising with consumers while they are relaxed and receptive to brand messages or close to making purchase decisions."

Altogether, Access 360 claims its mall and sports venue networks consist of 20,000 screens in over 100 venues, reaching roughly 54 million shoppers and sports fans a month.