Scoutmob Introduces Instant Mobile Deals to Ten New US Cities

ATLANTA--(BUSINESS WIRE)--Scoutmob announced that its instant, location-based mobile deals arrived in ten new U.S. cities today, driving new customers to local businesses in a brand new way in:

“The initial local daily deal concept was brilliant, but new business models like Scoutmob will lead the next wave of local flash commerce”

1. Austin
2. Boston
3. Chicago
4. Dallas
5. Denver
6. Los Angeles
7. Nashville
8. Portland
9. Seattle, and
10. Washington, D.C.

Scoutmob originally made its debut in New York, San Francisco and Atlanta in 2010 and to date has attracted half a million users. Also announced today, Scoutmob closed a $1.5 million round of venture capital funding from New Atlantic Ventures to fuel its coast-to-coast expansion, augment its technology and triple headcount this year.

"We have worked with every major deals company and Scoutmob is the best," said Mark Kelly, owner, Tree Bistro, a restaurant in New York City's East Village. "We like Scoutmob's personal, engaging style and unique model. We attract more customers using Scoutmob and they tend to spend more, spread word to their friends and come back again."

Scoutmob creates exclusive local deals and serves up fresh local content to motivate you to get out and explore your town. Discounts are delivered directly to your mobile device by iPhone and Android app or text message, and are instantly redeemable using location-based technology. With traditional daily deals, merchants have struggled to reap economic benefits from deeply discounted deals to consumers. At the same time, consumers have complained of buyer’s remorse, paying upfront for digital coupons they never use. With Scoutmob, deals are free to consumers, easily accessible on their phone, and merchants only pay upon redemption in their business.

"Scoutmob is the most effective marketing tool we have ever used and is having a deep impact on sales and repeat business," said Dana Spinola, founder and president, fab’rik, a clothing boutique with 12 stores across five U.S. states. "Within hours after a deal goes out, customers take over our store. To them, it is a ‘no-brainer’ - they don't buy the deal upfront, it is just waiting for them on their mobile phone.”

“This is the future of digital deals,” said Thanasis Delistathis, co-founder and managing partner, New Atlantic Ventures. “We invested in Scoutmob because of its novel approach to consumers and merchants alike. Consumers don't have to commit upfront and can tap into a community that helps them discover their city. Merchants spend less on promotions, get a branding opportunity and draw a more loyal demographic than traditional coupon clippers.” With the initial round of funding, Mr. Delistathis joined the board of directors.

Scoutmob’s mobile deals, featuring visually rich, amusing reviews, and their daily coverage of local happenings are written by local authors. Scoutmob was named a top five mobile app by Mashable in 2010.

"The initial local daily deal concept was brilliant, but new business models like Scoutmob will lead the next wave of local flash commerce,” said David Payne, co-founder and CEO, Scoutmob. “Consumers want good deals, but don’t want to pay ahead of time for them. Local businesses want measurable results, but don’t want to give up tons of revenue.”

About Scoutmob

About New Atlantic Ventures

New Atlantic Ventures is an early stage, technology-focused venture capital firm investing actively in digital media and electronic commerce companies. Collectively its partners have helped entrepreneurs start more than 100 companies including DivX, EnerNOC, Massive and Mobile365. Returns on its most recent funds rank in the top ten percent of all venture funds nationally. New Atlantic Ventures manages $225 million from offices in Cambridge, MA and Reston, VA. For more information, go to www.navfund.com.