E-gifting service provider Loop Commerce adds $16 million in funding
April 28, 2015 12:11 PM
Loop Commerce, an e-gifting service provider that allows customers to buy gifts online for friends without needing their shipping address or additional product details, today announced it has raised $16 million in funding from strategic investors in the e-commerce industry, bringing the total raised to $30 million since it launched the platform publicly in 2014.
The second round of funding comes mainly from previous investors and is led by Oren Zeev, lead investor in companies like Chegg, which is No. 117 in the Internet Retailer 2015 Top 500 Guide, Houzz and Audible.
The e-gifting platform allows shoppers to buy gifts online for a friend by providing only their email address as opposed to a traditional mailing address. After the gift giver completes the purchase, the recipient can open the email, change details like size or color, or exchange the gift for another product on the retailer’s site, and enter remaining necessary data like a shipping address.
“Introducing the personal back into the otherwise impersonal online experience is only the beginning of what we believe to be the transformation of commerce,” said Loop Commerce CEO and co-founder Roy Erez in a press release. “Challenging some of the core fundamentals of commerce turned out to be a significant task. We couldn’t have dreamed so big without the A-list people who have invested in us from the beginning and have supported us along the way.”
Loop Commerce’s online gifting platform is already used by several large e-retailers including Macy’s (No. 7 in the Internet Retailer Top 500 Guide), Diane von Furstenberg (No. 486), Lancôme, Urban Decay, Johnny Was, Relax the Back and Thomas Dean. Loop says it will use the latest funding to hire team members in several departments as it grows, including engineering, data, sales and marketing, product and design.
Other investors in the newest round include PayPal; Wicklow Capital; Andrew Fine and Silas Chou (through Novel TMT), who has previously invested in Michael Kors, Tommy Hilfiger and Ralph Lauren Europe; Don Katz, EVP at Amazon; Mark Carges, former CTO at eBay; Magento founder Roy Rubin; Chuck Geiger, CTO of Chegg and former CTO of PayPal; Michael Scharff, former SVP at Toys R Us and Best Buy; Ken Seiff, former EVP e-commerce at Brooks Brothers; and Dan Rose, Facebook vice president of partnerships and strategy.