Mobile Gifting Platform, Bitmo, Announces $3M Seed Funding Investment

By Business Wire
Tablet and headphone best Christmas gifts

Bitmo, a mobile gifting and payment platform that is transforming the $160
billion gift card industry1, announced today that it has
raised over $3 million in new seed round capital.

Bitmo is a mobile platform that allows consumers to gift easily and
securely right from their mobile wallet. Unlike plastic gift cards,
Bitmo is highly flexible and allows users the ability to split and even
exchange card value from one store to another for free. Similar to
solutions such as Venmo for money transfers and Uber for ride sharing,
Bitmo revolutionizes the gift card experience by eliminating the need
for a physical gift card and creating a community among users who are
inspired to buy and share gifts.

Bitmo also provides retailers a unique way to directly engage with
customers on their platform of choice. For retailers eager to recoup
billions of dollars in lost gift card revenue each year, Bitmo uses
intelligent data to connect the right customer to the right store while
driving measurable revenue for 130 nationwide brands already integrated
on the platform.

“Research shows that consumers spend $160 billion on gift cards a year,
yet one-third of those who receive gift cards don’t use them,” said
Michael Smallwood, CEO and founder of Bitmo. “Bitmo solves this problem
by removing physical cards and using technology to directly connect
consumers with the retail brands they love. Our platform makes sending a
gift as easy as sending a text, while giving recipients total control
and convenience in how they spend. Nowadays, we can do everything from
our smartphones – from hailing a cab to fractional stock share investing
to buying a home. We believe sending a gift should be just as quick and
simple.”

New investors in the round include Everplus Capital, Longboard Capital
Advisors, and several Southern California-based family fund offices.
Additional investment comes from current investors including Bitmo board
members and prominent angel investors.

“Simply put, our decision to invest in Bitmo comes down to proven
execution, large market opportunity, and solid leadership,” said Jeff
Haux, Bitmo’s lead investor and board member. “Bitmo is a scalable
platform that simplifies an existing consumer behavior while showing
measurable value to retailers.”

Bitmo’s growth is aligned with the continued shift toward mobile
commerce, specifically as more consumers use their smartphones for
financial services and mobile payments. Since launching publicly just 18
months ago, Bitmo has already begun to change how consumers connect with
retailers:

  • Bitmo is on track to surpass one million users before the end of 2019,
    growing 28% month over month.
  • Over 100,000 gifts have been redeemed to date with consumers spending
    on average 3.5 times the gift amount in store or online.
  • Over 10% of gift recipients find new stores on Bitmo, with half of
    them becoming multiple visit repeat customers.

The investment will be used to accelerate growth of Bitmo’s popular
consumer platform, expand its retailer-focused enterprise products, and
build out marketing, sales, product, finance and engineering
departments, as well as expanding its office in Carlsbad, CA.

About Bitmo

Bitmo is a mobile gifting platform that makes it easy to send and
receive small, yet meaningful gifts among friends. Bitmo can be used to
purchase, send or exchange digital gift cards for full value at over 130
different retailers nationwide, including Nike, Nordstrom, Old Navy,
Regal Cinemas, Macy’s, Sephora, Petco, GameStop, Panera Bread, Yard
House, and The Coffee Bean and Tea Leaf. Bitmo was founded in 2017 in
Southern California by serial entrepreneur and CEO, J. Michael
Smallwood, with a leading team of industry executives, startup veterans
and mobile payment experts.

This article provided by NewsEdge.