LOS ANGELES--(BUSINESS WIRE)--Lootsie (www.lootsie.com), a loyalty and rewards platform for mobile apps, announced $3.5 million in seed funding today. This round was comprised of investors that include: Tim Kendall, Head of Product Management at Pinterest and former Director of Monetization for Facebook; Michael Liou, Founding Partner, Anvil Capital; Anthony Saleh, angel investor; and Brad Schwartz, Founding Partner at SLP Ventures.
Lootsie offers a new type of engagement platform for brands and developers that focuses exclusively on building quality connections between brands and their audience through loyalty, while improving user engagement and retention within apps. Since launching in 2012, the company has partnered with major retailers, brands and developers including SOL REPUBLIC, Manduka, Sevenlogics and All Shook Apps.
“The caliber of our investment team speaks volumes about the level of confidence in Lootsie and our ability to deliver a higher-performing alternative to banner ads,” said Marc Mitchell, Lootsie co-founder and CEO. “Our core mission over the past two years has been to evolve the same loyalty programs that Fortune 500 companies have been using for decades into the mobile space -- turning loyalty programs mainstream for brands and developers of any size. In the process, we’ve built a strong product and foundation, and we’ve been fortunate to form some amazing brand and developer partnerships that have produced stellar results. Now, we’re full steam ahead as we enter the next phase of growth.”
Lootsie works similarly to the popular loyalty programs that airlines, credit cards and hotels offer, but built to plug into any mobile app. Consumers earn points for hitting achievements within their apps and then can redeem those points for real-world rewards from any of Lootsie’s brand partners.
"We've worked really hard over the past few years to establish SOL REPUBLIC as a music lifestyle brand," said Mark Reynolds, Global Digital Director at SOL REPUBLIC. "Lootsie understands that there's more to creating authentic brand advocates than simply throwing ads at them and seeing what sticks. We are psyched to be working with a team that understands how to create next-level experiences that speak to our mobile-savvy fans."
Lootsie is applying the funding to scale the platform and continue to help bridge the gap between brands and mobile users, while providing a solution for developers that addresses the challenges of user retention and monetization head-on. A first of its kind, Lootsie’s loyalty plug-in provides: developers with an end-to-end loyalty program to power their points and rewards; brands with the ultimate engagement tool to build loyal fans; and the end user with exciting new ways to be rewarded by brands they love just for using their apps.
"Lootsie's wide ranging and flexible platform is appealing to brands who in the age of apps and internet of things have many verticals to monetize," said Michael C. Liou, Founding Partner, Anvil Capital Advisors LLC. "The Lootsie team's energy and broad vision is extremely impressive and will no doubt redefine the loyalty and reward space."
Lootsie brings loyalty and rewards into the mobile mainstream by connecting brands and app developers together to drive deeper and more valuable engagement for their audience through the power of choice. Lootsie’s platform rewards users with loyalty points earned by reaching achievements in apps and gives them the opportunity to redeem their points for any reward they choose. Lootsie helps developers retain and monetize their users while delivering high-quality brand engagements through its plug-and-play loyalty platform. Lootsie was founded in 2012 and is headquartered in Culver City, California. For more information, visit www.Lootsie.com or to schedule a demo, e-mail contact(at)lootsie.com.