Benjamin Capital Companions has acquired augmented actuality agency New Factor Co. to spice up “cash moments.”
Benjamin Capital Companions, primarily based in New York and Oulu, Finland, hopes the deal will gasoline the subsequent stage of development in its mission to disrupt the fast-growing client money rewards market. The worth was not disclosed, however Benjamin referred to the as a “expertise acquisition.”
Austin, Texas-based New Factor Co. creates buyer experiences on behalf of brand name entrepreneurs, that includes its proprietary augmented actuality rewards software and know-how. In the meantime, the Benjamin app has amassed multiple million customers month-to-month energetic customers, up from 150,000 in March, stated Erno Tauriainen, chief product officer, in an interview with GamesBeat.
“They created AR know-how, which is type of like Pokémon Go, however with actual cash. So that you open the digicam on the location, and then you definitely see the truth, what we name our cash moments. Then you may seize the rewards,” Tauriainen stated. “They’re consumer expertise consultants. We’re implementing their AR know-how on our platform. We are able to notify customers at a location, like a Starbucks, that we’ve got a suggestion for them.”
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This software might be built-in into the fast-growing Benjamin app that permits customers to generate money rewards — known as Benjamin Cash Moments — on a broad vary of on a regular basis actions together with purchases, cell gaming, and viewing advertisements.
“Our imaginative and prescient is for Benjamin to be the facilitator of a complete money rewards way of life throughout the total vary of economic manufacturers and entities with which customers work together every day from groceries to
fuel to going out to eat.” stated Tauriainen. “The Benjamin pockets would be the catalyst for a collection of ‘Benjamin Cash Moments’ for customers as they go all through the course of their days.”
As a part of the deal, New Factor cofounders Aubrey Johnson, CEO, and Jason Bender, CTO, will assume management roles in product improvement and engineering as EVP Product Technique and EVP Expertise, respectively. Each might be reporting into Tauriainen, a 15-year veteran of the money rewards area.
“I’m happy and excited to announce our acquisition of New Factor Co.,” stated Tauriainen, in a press release. “By bringing Jason and Aubrey on board, we’re not solely including top-tier expertise with unparalleled expertise in cash-back and consumer engagement, however we’re additionally gaining cutting-edge AR know-how that may revolutionize how customers work together with manufacturers, retailers, and video games.”
Johnson and Bender are recognized for having constructed Dosh, a number one cash-back platform that was acquired
by Cardlytics for $275 million.
“What Aubrey and Jason had been constructing and had constructed with Dosh was a world class consumer expertise,” Tauriainen stated.
“We’re honored and thrilled to hitch the Benjamin crew as they proceed to have unimaginable success within the
client rewards area,” stated Johnson, in a press release. “At Dosh, we constructed a premier money rewards engine whose success was a perform of making a world-class consumer expertise, supported by subtle know-how. We’re keen to use this experience to this firm’s mission to place a number of Benjamins in each consumer’s pockets each single month.”
This acquisition coincides with a $13 million capital increase, together with each debt and fairness, from present
buyers Play Ventures and Huge Bets VC. This fundraising was orchestrated by revered trade veteran Jordan Rohan, who joined Benjamin over the summer time as its chief monetary officer.
“We’re delighted to have the continued assist of our visionary buyers. The financing has enabled
Benjamin to scale its consumer base previous one million month-to-month energetic customers,” stated Rohan, in a press release. “This capital may also drive our enlargement into thrilling new verticals together with commerce, funds, promoting and extra.”
Origins
Tauriainen migrated to the U.S. in 2010, having grown up in Finland in a household retail enterprise. Within the U.S., he wished to start out one thing associated to banking knowledge as a part of his American dream. He constructed a few startups that grounded him in money rewards. The second enterprise, Spent, (began in 2014) let individuals report and monitor their bills. He created an app that he hoped can be higher than Expensify. However the factor that took off with customers had been the particular presents for affiliate hyperlinks subsequent to the expense numbers.
Since popping out of beta in October 2023, the Benjamin app already has over a million downloads.
Income development has additionally been very strong and is approaching $4 million MRR in September, up from $1 million in Might.
“We’ on a mission. We’re obsessive about this notion of placing a number of Benjamins in each consumer’s pocket each single month. That’s why we exist,” Tauriainen stated.
The Benjamin app permits customers to generate money rewards – known as Benjamin Cash Moments – on a broad vary of on a regular basis actions together with purchases, cell gaming, and viewing advertisements. You possibly can earn money rewards by finishing day by day duties in cell video games.
This versatility permits Benjamin to up the ante to compete towards different established gamers within the cashback area.
Concentrate on video games
Throughout latest months, the corporate has began to spice up its gaming mission, working with third celebration distributors who present the corporate with video games. Tauriainen stated the corporate has been working with extra third-party aggregators in addition to first-party recreation studios.
“They like us as a result of we drive quite a lot of very top quality players who use the cash moments,” he stated. “That’s an incredible improvement. The customers love the app and return every day.”
The players can do actions in video games reminiscent of downloading or enjoying to reap rewards from the Benjamin app. Typically talking, these are hypercasual video games. However all manufacturers have a number of the similar issues now.
“On this age of elevated privateness, with your entire regulatory equipment beginning to push again on micro concentrating on, third celebration cookies have been marginalized. Now, each marketer is in search of a solution to get customers to have a look at a model and interact with a model,” Tauriainen stated.
For recreation firms, entrepreneurs might be pretty exact with their targets. They may supply a reward after somebody downloads a recreation, completes the primary chapter, completes the third chapter, completed the sport, or shares their outcomes on social media. They’ll get the gamers to go “deeper and deeper” into the video games, Tauriainen stated. On high of that, they will layer in loyalty applications as properly.
“We present them the cash second alternatives the place they will earn extra,” Tauriainen stated. “It’s very closely gamified like this.”
One of many advantages of working straight with the sport firms and types is that Benjamin can then arrange and oversee the consumer expertise. And that has quite a bit to do with the acquisition of New Factor Co., which has experience in consumer expertise.
“What we see with the Benjamin pockets is a large alternative going ahead the place the Benjamin pockets truly can develop into solution to pay,” stated Tauriainen. “We inspire individuals to earn objects for the pockets.”
Benjamin has about 60 or 70 individuals throughout totally different places. The purpose is to assist firms with attain to not simply eyeballs however to engagement and the power to monetize it.
“That’s what Madison Avenue is in search of,” Tauriainen stated.