UrBox, a digital gifting and loyalty network located in Vietnam, has raised an undisclosed sum in a Series A round-headed by Touchstone Ventures and Temasek’s wholly-owned subsidiary Pavilion Capital.
VinaCapital Ventures, which had previously invested alongside VIISA in UrBox’s seed round, has returned to co-invest.
The funds will be utilised to fuel UrBox’s expansion over the following 18 to 24 months. In addition, the firm intends to expand its market share in the Vietnamese market for digital incentives solutions.
UrBox, which was founded in 2017, connects companies with a network of national and international gift suppliers and merchants to integrate their reward or loyalty programmes. It also makes use of digital channels to link businesses with customers, who may get gift certificates instantly, save them on their phone or app, and redeem them at both physical and online merchants.
It aids brand partners in capturing the next generation of spenders, Gen Z, through unique and successful incentive engagement efforts.
The company wants to expand its reach into other areas.
UrBox stated in a news release that it had increased by more than 300 percent year over year. Starbucks, Samsung Vietnam, and Vietnam Airlines are among the company’s 15,000 outlets, merchant networks, and more than 1,000 leading retail brands.
In Vietnam, the firm facilitates more than 80% of airline reward redemptions. API incentive systems are used by more than 70% of banks and insurance businesses, bolstering financial services.
In Southeast Asia, loyalty programmes are gaining appeal. According to a Nielsen survey, loyalty programmes are important when customers are looking for new pastures.
A staggering 86 percent to 94 percent of respondents claimed they are more motivated to purchase where a reward programme is included.
Several loyalty businesses, including Indonesia’s TADA Network and Member.id, Singapore’s Stamped, and Thailand’s ChomCHOB, have announced M&As or funding transactions this year.
Society Pass, a data-driven loyalty network, completed a US$26 million initial public offering (IPO) on the Nasdaq stock exchange last month, making it the first Vietnamese business to successfully conduct a traditional IPO on a foreign exchange.