ShopBack Company Profile

Background

Overview

Founded in 2014 by Henry Chan and Joel Leong, ShopBack is a leading shopping, rewards, and payments platform headquartered in Singapore. The company operates across the Asia-Pacific (APAC) region and Europe, serving over 40 million shoppers in 12 markets.

Mission and Vision

ShopBack's mission is to make shopping more rewarding, delightful, and accessible. The company aims to be the world's most rewarding way to shop, focusing on saving members money and time while delivering delightful experiences with every purchase.

Industry Significance

As a pioneer in the cashback rewards sector within the APAC region, ShopBack has significantly influenced consumer shopping behaviors by integrating rewards and payment solutions into both online and offline shopping experiences.

Key Strategic Focus

Core Objectives

Enhancing User Experience: Continuously improving the platform to provide a seamless and rewarding shopping journey.

Market Expansion: Extending services into new geographical regions, including recent entries into Germany and New Zealand.

Diversifying Offerings: Introducing financial services like ShopBack Pay and PayLater to provide convenient payment options.

Areas of Specialization

Cashback Rewards: Offering users a percentage of their purchases back as cash rewards.

Payment Solutions: Providing payment options such as ShopBack Pay and PayLater.

Merchant Partnerships: Collaborating with over 20,000 online and in-store partners to offer a wide range of products and services.

Key Technologies Utilized

Data Analytics: Leveraging consumer data to personalize shopping experiences and optimize merchant offerings.

Machine Learning Algorithms: Implementing AI-driven solutions to enhance user engagement and operational efficiency.

Primary Markets Targeted

ShopBack operates in 12 markets, including Singapore, Malaysia, Indonesia, the Philippines, Thailand, Taiwan, Australia, South Korea, Vietnam, Hong Kong, Germany, and New Zealand.

Financials and Funding

Funding History

Seed Funding (2014): Raised over US$500,000.

Series A (2015): Secured an additional US$600,000.

Series B (2017): Raised US$25 million led by Credit Saison, bringing total funding to US$40 million.

Series C (2019): Closed a US$45 million round led by Rakuten Capital and EV Growth, totaling US$85 million.

Series F (2022): Raised US$160 million, bringing total funding to US$355 million.

Notable Investors

Credit Saison

Rakuten Capital

EV Growth

SoftBank Ventures Korea

Singtel Innov8

Utilization of Capital

Funds have been allocated towards market expansion, technological advancements, product diversification, and strategic acquisitions, including the purchase of BNPL provider Hoolah in 2021.

Pipeline Development

Key Developments

ShopBack Pay and PayLater (2022): Launched to extend the platform's offerings into financial services, providing shoppers with responsible and convenient payment options at checkout.

Geographical Expansion (2023): Entered the European market with the launch in Germany.

Target Conditions

Aiming to enhance the shopping experience by integrating rewards and payment solutions, thereby increasing customer retention and merchant engagement.

Timelines for Milestones

2021: Acquired Hoolah to enter the BNPL market.

2022: Launched ShopBack Pay and PayLater.

2023: Expanded into Germany.

Technological Platform and Innovation

Proprietary Technologies

ShopBack Pay: A payment solution offering convenient and rewarding payment options at checkout.

ShopBack PayLater: A BNPL service allowing users to split payments into installments.

Significant Scientific Methods

Data Analytics: Utilizing consumer data to personalize shopping experiences.

Machine Learning Algorithms: Enhancing user engagement and operational efficiency.

Leadership Team

Henry Chan: Co-founder and CEO.

Joel Leong: Co-founder.

Josephine Chow: Co-founder.

Lai Shanru: Co-founder.

Professional Backgrounds

The founding team comprises former executives from Zalora, bringing extensive experience in e-commerce and technology.

Key Contributions

Under their leadership, ShopBack has expanded into multiple markets, introduced innovative products, and secured significant funding to drive growth.

Leadership Changes

In 2019, Amit Patel, CEO of Ebates Inc., a Rakuten company, joined ShopBack's board following Rakuten Capital's investment.

Competitor Profile

Market Insights and Dynamics

The cashback and rewards industry is experiencing significant growth, with increasing consumer demand for savings and incentives in online shopping.

Competitor Analysis

Rakuten: A major player in the cashback industry, offering similar services across multiple markets.

Honey: Provides coupon codes and cashback rewards, acquired by PayPal in 2020.

Ibotta: Focuses on cashback for grocery and retail purchases, with a strong presence in the U.S.

Competitive Landscape

ShopBack differentiates itself through its extensive market presence in APAC, diverse merchant partnerships, and integration of payment solutions.

Strategic Collaborations and Partnerships

Significant Collaborations

Merchant Partnerships: Over 20,000 online and in-store partners, including major brands like Amazon, Booking.com, and Lazada.

Financial Institutions: Collaborations with banks and payment providers to offer integrated payment solutions.

Impact on Market Position

These partnerships have strengthened ShopBack's market position by expanding its service offerings and enhancing customer engagement.

Operational Insights

Strategic Considerations

Market Position: Leading cashback platform in APAC with a growing presence in Europe.

Competitive Advantages: Comprehensive service offerings, strong merchant relationships, and innovative payment solutions.

Distinct Competitive Advantages

Integrated Payment Solutions: Offering both rewards and payment options within a single platform.

Extensive Merchant Network: Providing users with a wide range of shopping options.

Strategic Opportunities and Future Directions

Strategic Roadmap

Geographical Expansion: Further penetration into European markets.

Product Diversification: Developing new financial products and services.

Opportunities for Expansion

New Markets: Exploring entry into additional countries.

Technological Innovation: Investing in AI and machine learning to enhance user experience.

Positioning for Future Objectives

Leveraging current strengths in rewards and payments to become a comprehensive shopping and financial services platform.