Content marketing vendor Yotpo acquires a loyalty vendor
Content marketing vendor Yotpo announced last week it had acquired Swell Rewards, a loyalty program platform.
While Yotpo declined to share the terms of the deal, Tomer Tagrin, the vendor’s co-founder and CEO, says the deal was “eight figures.” As part of the deal, Josh Enzer, Swell Rewards’ co-founder and CEO, and James Peerless, its co-founder and chief technology officer, will lead Yotpo’s incentive marketing solutions division.
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Tomer Tagrin |
The deal aims to build out Yotpo’s offerings by allowing it to offer retailers and brands a tool they can use to incentivize consumers for taking certain actions, such as sharing an image on Instagram or Facebook. That adds to the services it already provides, which aim to help brands manage reviews and showcase images that consumers have shared on social media, as well as understand the sentiment of comments consumers post about the brand and its products.
In adding a loyalty program to its services, Yotpo aims to bolster brands’ ability to drive shoppers to share content.
“Using our machine-learning tools we can help brands drive their desired results,” Tagrin says. “For example, a retailer could offer a repeat shopper extra points or they can treat a one-time shopper a certain way. And, using our insights, we can be smart about who we encourage to share content. If a shopper’s review is positive about the price or the quality of the fabric, we can ask them to share the brand’s message with a friend. If it’s negative sentiment, we can skip that messaging.”
The move is the first in a series of steps Yotpo aims to take over the next year to build out its services. Those steps will likely involve more acquisitions, Tagrin says.
Yotpo, which has more than 300 employees, and Swell Rewards, which has 15 people on staff, share a number of retailer customers, including Untuckit, No. 405 in the 2018 Internet Retailer Top 1000, and ThirdLove, No. 507. Yotpo has 24 retailer clients in the Top 1000.