Innovative retail shopping operator and previous Pitch ICE competitor DiscountIF has reached its Seedrs crowdfunding target of £150,000.
The company launched its Seedrs campaign in October and as of the end of December the company had raised over £161,000. The initial offer was for 10% of the company and the money raised now values the company at £1.25m.
The Malta- and UK-based allows customers to ‘bet’ on a price being discounted depending on the outcome of a given sporting event, a concept which clearly struck a chord with the Seedrs fund-raising community.
Founder and chief executive at DiscountIF Lewis Holland said: “Crowdfunding is changing the way that people invest, and we are changing the way people shop. We are a company of firsts, so this felt like an appropriate way to raise new finance”
Jeff Lynn, the chief executive of the Seedrs platform, shared his excitement in having such a revolutionary shopping platform appear on his site. “We’re excited to have the DiscountIF campaign on Seedrs – its innovative nature gives a fresh approach to ecommerce.”
The company says it provides a “different take” on online shopping with the “Power of IF” The model works both as a B2C and a B2B concept. The company runs its own website DiscountIF.com, and also promotes the concept via what it describes as “promotional widget” on a B2B basis through, at present, Amazon.co.uk. It means that customers that buy through Amazon can win up to 100% cashback if their purchase is linked to a sporting or TV event and the user correctly predicts the outcome.
It was launched in the summer of 2014 and initially took the bootstrap approach with minimal investment. The company says it having tested with the consumer it now believes it now understands how to engage with the consumer both in terms of conversion and enhancing the accuracy of its own algorithm.
It says that a number of sports ecommerce sites have committed to trials beginning in the first quarter of 2016.
In London, the company shares offices while In Malta it is part of the Takeoff incubator unit based in the University of Malta campus. A large number of its Seedrs campaign backers are based in the country. Founder Lewis Holland was previously at Betfair and among the Seedrs backers is Stephen Ives, formerly from Betfair Games, who also works as an advisor to the business.
As well taking part in Pitch ICE 2015, DiscountIF also took part in Virgin Media’s Pitch to Rich incubator campaign in the UK and came seventh out of 1,000 companies chosen by a public vote.