London-based startup WeGift has built an “incentive marketing” platform that lets businesses issue e-gift cards and digital rewards to customers seamlessly. In a recent move, this platform secured an additional funding of $12 million (nearly £8.7 million).
Universal digital payouts platform
The investment has been pumped in by new investor CommerzVentures, a fintech-focused venture capital fund backed by Commerzbank. Also, existing investors including AlbionVC, Stride.VC, SAP.iO Fund and Unilever Ventures took part in the funding round. Notably, this investment follows the $8 million (nearly £6.7 million Series A funding that the company raised back in November 2020.
Notably, the CommerzVentures portfolio includes banking infrastructure leaders such as Marqeta and Mambu. It will be instrumental in shaping the future of global financial services.
The company plans to invest the funds in go-to market hiring, product development and expansion into the US. Also, the WeGift is optimistic that this investment round will position it as a universal digital payouts platform for businesses.
This investment round took place at a time when companies across industries are seeking to create digital-first experiences to their global audiences, be it customers or employees. As it removes friction from the payouts process, WeGift serves a broad set of needs for medium and enterprise businesses such as acquisition, retention, reimbursements and recognition.
“Currently payments are a one-way street,” said WeGift Founder and CEO Aron Alexander. “Existing solutions enable businesses to take money from consumers, but they don’t let them easily send it back. They’re stuck using banking and credit card networks that are slow, expensive, and poorly-suited for payouts. We help companies instantly transfer value to the people they care about,” he added.
“The $700 billion rewards and incentives industry is ripe for disruption,” said CommerzVentures Partner Heiko Schwender who will serve as a WeGift board advisor. “With the mass adoption of all-digital, work-from-everywhere and live-from-anywhere, there’s an even greater need for a global, on-demand, instant payouts solution,” he added.
Revolutionises incentives industry
Founded by Aron Alexander in 2016, WeGift revolutionises the incentive and reward industry. Similar to Stripe, through a single API, which is simple and quick to integrate, corporates can access over 700 brands over 30 countries worldwide. Notably, WeGift has already captured significant market share in the B2B digital rewards industry with customers like Habito, Perkbox, Seated, and Vodafone.
With WeGift, corporates can get discounts, need not hold inventory for longer, automate ordering, delivery and invoicing and provide a better experience for end-users. Also, it provides insights into incentive marketing campaigns, enabling companies to better understand their customers and build stronger relationships.