LoyaltyLab Receives $7M in Expansion Financing

SAN FRANCISCO – Loyalty Lab, Inc., the leading on-demand loyalty and customer relationship solution, today announced it has secured $7 million in venture capital funding from OpenView Venture Partners, a private equity firm that specializes in expansion-stage financings. OpenView founding partner Scott Maxwell has taken a seat on the board of directors.

The capital infusion will enable Loyalty Lab to ramp up sales and marketing as well as software development. With 50 new clients in three years, Loyalty Lab is the fastest growing loyalty and customer relationship management solution for consumer brands. Loyalty Lab maintains a brisk release schedule, issuing new releases of its on-demand Customer Relationship Management solution about eight times a year.

“Loyalty Lab has captured the marketplace with its best-of-breed, best customer management solution that leverages Internet technologies to put a range of sophisticated tools right in the hands of consumer marketers,” said Scott Maxwell, founding partner at OpenView Venture Partners. “It’s precisely the kind of category leader that we seek out for our winning portfolio of high-growth companies.”

Loyalty Lab’s on-demand platform manages all the functions of best customer and customer relationship management, including shopper enrollments, transaction processing, and rewards and accruals. Loyalty Lab also enables integrated marketing and retail loyalty and campaign management, serving as the central core of email, web-based and POS communications drawing from a single database.

“Our customer base has embraced our Software-as-a-Service approach to providing consumer brand marketers with first class integrated marketing and customer management capabilities,” said Mark H. Goldstein, CEO of Loyalty Lab. “We have an aggressive agenda before us and OpenView’s breadth of experience and depth of knowledge makes the firm the perfect partner to help us get to where we want to be.”

About Loyalty Lab, Inc.

Loyalty Lab, based in San Francisco, is the leader in on-demand relationship and retention marketing solutions for consumer brands. Loyalty Lab’s flagship Customer Relationship Manager Suite provides retailers and service companies with integrated and on-demand loyalty program management, email, campaign management, and incentives from a single desktop. Clients include New York and Company, Brookstone, 1-800-Flowers.com, Bally Total Fitness and a number of other prominent retail and service companies. For more information visit www.loyaltylab.com.

About OpenView Venture Partners

OpenView Venture Partners is an expansion stage venture capital fund with a focus on high-growth software, Internet and technology-enabled companies. Through its staff of seasoned operating executives, who collectively bring several decades of technology and management experience to the firm, OpenView is able to help portfolio companies with quickly ramping up sales, marketing and product development functions to best practice levels. The firm was founded in 2006 by Scott Maxwell with an inaugural fund encompassing $100 million in committed capital. OpenView Venture Partners is based in Boston and invests on a worldwide basis. For more information, please visit openviewpartners.com.