Stage: Napkin (idea)
Number of employees: 6-15
Short URL: vator.co/viralogy-com
RewardMe is a mobile technology that utilizes gaming mechanics to get customers addicted to local stores. With a unique combination of low-cost equipment and mobile software technology, we take the success factors of Farmville and apply it offline to increase repeat customers and referrals for Restaurants.
RewardMe integrates a gaming-mechanics focused loyalty and engagement program that allows local stores to interact with their customers more while incentivizing actions like more visits, referrals, and feedback by giving them points. Users can get points for each purchase and referrals, and can redeem these points for real rewards such as a free drink, free appetizer, or a VIP membership. Stores can grant different points based on when the user checks-in (such as giving double the points during slower hours) and the frequency of check-ins (such as giving them 20% off for the next month if they checked-in 4 times within 30 days). Stores can also grant reoccuring points for successful referrals between two users. This will enable local stores to know exactly how many times their customers buy, refer, and communicate, and create a stronger relationship between businesses and consumers.
The current version of RewardMe utilizes a combination of QR Code Scanning technologies, GPS security verifications, and physical billfolds and card stands that act as our check-in equipment. Users can only check-in as they are paying within the store, which creates actual purchase behaviors. RewardMe has a powerful admin built in for store owners to setup robust check-in, referral, points and reward systems within minutes on their phones and web app. Besides allowing users to get points and rewards, we allow users to check-in and publish their activities on other networks like Facebook, FourSquare, and Yelp.
Since we have a clear value proposition on getting more repeat customer and referrals to businesses, that's where our revenue model will come from. As a proof of concept, we made 8 locations agree that they will pay us $100/mo based on features used after getting 50 users (we even collected credit card numbers to automatically start charging). However, since you as investors don't make money when we are profitable but when we exit, our ultimate goal is to get more merchants to sign up in the most frictionless model possible. We plan to apply a freemium model where it is free to use our basic core features, and have businesses pay for advanced features such as push notification with pre-buy functions, surveys, and social media integration.
RewardMe's competition involves deal-type apps like Groupon, and social check-in companies like FourSquare. Instead of focusing on one-time bargain hunters, RewardMe focuses on loyalty customers. Instead of focused on sharing where you are unverified to the public, RewardMe focuses on verified check-ins. Also, we have high defensibility due to the physical space of the RewardMe equipment as well as the nature of a loyalty program.