Yoyo Wallet raises £12m as it looks to expand overseas
Yoyo Wallet has raised £12m from its Series B funding round led by Horeca, the venture arm of Metro Group, the €60bn German retail conglomerate.
The round was supported by additional investment from Woodford Investment Management and Touchstone Innovations and the deal is subject to FCA approval.
Yoyo Wallet, launched in 2013, helps retailers drive business growth via mobile-first customer engagement.
Through the Yoyo app or via retailer-specific branded apps built and powered by Yoyo, the company helps retailers to know, influence and simplify their customer’s purchasing behaviours whilst providing an engaging customer experience.
Yoyo’s platform provides a combination of fast and simple-to-use mobile ordering, payments, and personalised loyalty programs, all backed by an analytics and campaign platform for retailers.
Following the success of Caffè Nero’s launch of a Yoyo-powered mobile app across 640 stores in the UK and Ireland, this latest round will help the London-based company expand partnerships with UK high-street retailers, further expand the consumer and retail capabilities of its platform, and power its international expansion, with Europe as an initial target.
“Yoyo is now delivering proven benefits to a rapidly growing number of merchants and their customers in Universities, Corporate Campuses and the High Street,” said Alain Falys, co-founder and CEO of Yoyo Wallet.
“This new funding will allow us to provide the benefits of customer identification and mobile engagement to a wider array of retailers, large and small, in the UK and across Europe. We could not have found a better combination of Investors to support us through this next stage of growth.”
Yoyo had previously raised Seed and Series A rounds totalling £8.7m powering their growth in the UK Education, Corporate and High Street sectors; generating more than 400,000 registered users; and an acceptance network in excess of 1,700 outlets including Caffè Nero and Planet Organic. The recently launched Caffè Nero app went straight to number 1 in the UK iOS and Android Food and Drink app charts in April this year.
Falys added: “Consumers are spending more than three hours a day on their smartphones and 40% buy more when subject to a personalised shopping experience. Yoyo simply provides all retailers with an accessible way of tapping into these behaviours.”
Hansjörg Sage, general manager at the digital unit of METRO GROUP Wholesale & Food Specialist Company, said of the deal: “Yoyo has convinced a growing number of customers to deploy its data-driven payment and loyalty marketing solutions, including most recently, Caffè Nero, the third largest coffee retail chain in the UK.
“With its strong track record of deploying digital technology at the customer interface, Yoyo’s solution can have a meaningful positive impact on a wide spectrum of retail businesses, in particular in the food and beverage segment. As digitization becomes mainstream in hospitality, Yoyo’s technology is a strong candidate for currently untapped market segments. As part of our engagement, METRO intends to contribute to this deployment.”
James Hook, partner at METRO GROUP’s digital unit and to-be-elected board member of Yoyo Wallet, said: “We are delighted to be supporting Yoyo in its ambition to become the leading digital mobile payment and customer engagement platform. We are looking forward to working together with Alain and the rest of the Yoyo team to help support the development of Yoyo’s business.”
Published: 26 June 2017