- Consumer loyalty app loyalBe is transferring its user base to consumer rewards and payments app Cheddar.
- The move comes as the Ireland-based company pivots from B2C to B2B.
- Headquartered in Belfast and founded in 2018, loyalBe launched in Dublin in 2021.
“We literally give you free money for buying stuff you were going to buy anyway,” declares the Twitter page of Irish consumer loyalty app, loyalBe. The message is likely to remain the same. But today we learned that the focus has changed. LoyalBe has forged a strategic partnership with consumer rewards and payments app Cheddar. As part of the partnership, loyalBe will transfer its user base to the London-based company as part of its pivot from B2C to B2B.
LoyalBe CEO Cormac Quinn said that the decision to become a B2B business reflected “a thorough evaluation of our market positioning and long-term growth potential.” Quinn added that the pivot will enable the company to pursue more effectively the “democratization of frictionless reward programs in the marketplace.”
LoyalBe customers will receive instructions on how to transfer their rewards to Cheddar via email and in-app notification. The size of loyalBe’s customer base was not available.
LoyalBe was founded in 2018. The company raised $130,000 (£100,000) in seed funding from Techstart Ventures a year later. By 2020, loyalBe had secured a partnership with Visa as part of a strategy to expand beyond its local market in Northern Ireland. More investment followed in 2021. The company locked in more than $948,000 (£725,000) in funding from both Techstart Ventures and new investor Co-Fund NI. Later that year, loyalBe launched in Dublin, the capital of the Republic of Ireland.
“We are delighted to introduce loyalBe in Dublin,” Quinn said when the launch was announced. “This gives local businesses the chance to compete with the larger brands and attract footfall with powerful, data-driven insights and tailored promotions for their top customers.”
Serving small businesses was always a major part of what loyalBe is all about. LoyalBe provides a digital loyalty solution that gives businesses and consumers an alternative to traditional paper loyalty cards. Via a smartphone app and a direct link to the consumer’s bank card, loyalBe’s technology makes the rewards process seamless. LoyalBe also enables merchants to leverage payment data to boost customer engagement and provide more personalized rewards and offers.
What does this mean for the company as a fully B2B enterprise? “We have always been driven by our mission to provide every merchant with a powerful tool to help them attract and retain the best customers,” Quinn said. If nothing else, that effort will benefit from a new focus courtesy of the company’s latest move.
Cheddar CEO Tariq Zaid co-founded the U.K.-based company in 2020. The bank account-powered rewards app enables users to earn up to 35% cashback at major brands.