EC1 Capital has led a new seed funding round for LoyaltyLion, with the start-up banking $370,000 of growth capital.
Having initially set up shop in Berlin and then moved to London in August 2013, LoyaltyLion has turned to venture capital and angels for financial support.
The business, which provides e-commerce ventures with a white label social loyalty programme, has been backed by EC1 Capital, PAYBACK co-founder Jan Boluminski and QXL founder Tim Jackson.
LoyaltyLion was first part of Startupbootcamp Berlin, where it secured a small five-figure funding amount, before launching in October 2012 and has now seen growth of 10x each month for the last three.
Charlie Casey, CEO of LoyaltyLion, comments, ‘E-commerce has transformed the way customers interact with brands: they tweet, Like, leave comments, watch videos and share pictures. All of this social activity is valuable and neglected by traditional loyalty programmes.
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Alongside his co-founder Dave Clark, Casey had originally envisaged a rewards-based events app. However, this idea was then pivoted towards one which rewarded activities as well as purchases.
Its platform is compatible with e-commerce platforms such as Shopify, Magento and SEOshop, with 57,000 users now signed up and using it.
Clark, CTO of LoyaltyLion, adds, ‘We focus on key actionable intelligence – too many solutions drown store owners with information. In the future, we will use the vast amount of data we have to automatically optimise each loyalty programme.’
New angel backer Jackson has prior investments including Ometria, another e-commerce start-up which secured $1.5 million in March.