An Indonesia-based startup that runs a service offering consumers rewards in exchange for scans of their shopping receipts has received US$1.675 million in funding just four months after launching.
New investors in Snapcart, Wavemaker Partners and Singapore Press Holding’s SPH Media Fund, along with existing backers SMDV (Sinar Mas Digital Ventures) and Ardent Capital, launched the funding round – described as “pre-Series A” – as the company started exploring expansion options in Southeast Asia, reports Techcrunch.
Snapcart’s business is two-fold: one one side it allows customers to scan their store receipts in exchange for cashback and rewards; on the other side, information from the receipts is compiled and used to provide clients, such as consulting agencies, with reports and information about consumer spending and shopping habits – valuable, because it is not easy to track offline commerce.
Snapcart CEO and founder Reynazran Royono says the company has scaled faster than initially anticipated, with the funding round being wrapped up a few months ahead of schedule.
He says the new capital will be used to develop more products, including engagement videos and analytical dashboard tools that will enable client brands to view customer behaviour in real time. There are more than 35 Snapcart clients including L’Oreal, Nestle, Procter & Gamble and Unilever.
“The amount of data we’re receiving is humongous,” says Royono, who previously worked as a consultant for Procter & Gamble and Boston Consulting.
So far, Snapcart for Android has clocked 150,000 downloads and has 85,000 monthly active users in Indonesia. An IOS app is about to be released.
TechCrunch.com says Snapcart is expected to push beyond its initial focus on FMCG into other verticals, and the company is looking at other options that could involve small retails.
Snapcart is also investigating regional expansion, adding former Procter & Gamble market research director Mayeth Condicion as chief data officer and co-founder. Condicion is based in Manila, which will be Snapcart’s first international expansion and soon home to its data analytics team. Jakarta will remain its technology hub.
Meanwhile, the company is thinking of a second funding round about the middle of this year so it can push ahead with its expansion plans. Snapcart aims to achieve one million user downloads in less than 12 months.