Rewards program and customer relationship management company, Loylty Rewardz has raised $4.4 million (approx Rs 21.56 crore) in a Series-B funding round from Canaan Partners. According to a press statement from the company, it intends to utilize the funding to increase investment in the technology platform to support millions of transactions on a monthly basis, expand sales and marketing to expand base of issuers, broaden the merchant network across Tier 2 and Tier 3 towns and launch new loyalty product for consumers with built-in mobile engagement.
The company manages loyalty and rewards programs for credit and debit card users, of banks such as HDFC Bank, Central Bank of India and Bank of India, among others, and claims to reach out to 56% of all credit and debit card users in India. It also offers these programs to other online and offline partner companies. It also provides services in activities related to the development and management of data intelligence and direct marketing communication for companies.
In November 2009, Loylty Rewardz had raised (source: VC Circle) Rs 6 crore in a funding round, with participation from eYantra, Ventureast Proactive and Argonaut Private Equity, with eYantra making an investment of Rs 2 crore in the company. Recently, eYantra Founder Phani N informed MediaNama that the company had exited Loylty Rewardz “at more than 2.5X in less than 2 years of investment”.
Other companies that ooffer rewards and loyalty programs include Jasper, which runs a customized rewards and discounts programs for third party clients including co-branded credit cards, and had also launched its own rewards card, by the name of Money Saver Prime.