Korean startup 9Flava started off the new year by successfully securing 1 billion won in investment from Daum Communications for its mobile card service Wepass. The company previously received investment from Bon Angels in May last year, and has managed to receive more funding only seven months later. Wepass offers cheap and and easy to use target marketing to businesses through its point card system and data analysis.
There are already various point card and phone services available for cafes and retail outlets but these can be difficult or cumbersome to use for business owners. Store owners and employees all need to have full knowledge about how to use in-store point systems but with part-time workers that come and go, they constantly need to be taught how to use them. Wepass has solved this problem by using “point” QR codes which are printed on receipts through a program installed on store registers. Points or mileage from transactions can be received by simply scanning the QR code and updated information can be confirmed through the Wepass app. Ultimately it means that store owners no longer have to worry about point cards. CEO of 9Flava Sungjun Park said,
“Wepass offers the easiest method of updating points at store registers. With no fees for installation or other costs, the service can be used on existing registers.”
Wepass also offers communication with customers and target marketing through data analysis. By analyzing the purchasing patterns of customers using Wepass in designated areas, the service can find the best customers for stores to market to. Updates about new menu items or coupons can also be offered to customers through the app if stores choose to carry out marketing with Wepass.
The app has already had an effect in certain areas; Tom N Toms Inha University Store now has 5800 customers using Wepass and revenue has increased by 30%. 9Flava plans to actively expand the areas where Wepass is used through this investment. Park commented on the investment, saying,
“We received high points for the success seen in stores which have adopted the easy and non-expensive service. We’ve considered various possibilities connected to individualized search and location services such as recommendations of the most frequented cafes by Wepass customers on Daum’s search and map services. This year we look forward to becoming Korea’s number one point card company and entering overseas markets in the second half of the year. We aim to help stores practically with our easy and effective service.”
Read more about what Wepass means for customers who use it here.
This article has been adapted from Jinuk Jeong’s original Korean article on ET News, a media partner of VentureSquare.