Tango Card operates a "rewards as a service" platform that aggregates about 500 retailers' gift cards and exposes them via an API to enterprise customers. Enterprises such as Microsoft, Chevron and Marketo use Tango to distribute gift cards to employees, customers and partners, with recipients often able to choose which card to redeem. The platform processes issued cards and handles backend integrations to make distribution and campaign automation faster and easier, a model the company likens to Stripe for payments. Tango reports roughly 2,000 enterprises using the platform daily and "tens of thousands" of end recipients drawing down gift cards. The company has averaged 1,200% revenue growth over the past five years and says it is nearing profitability. Tango plans to use the new funding to expand its business. Tango Card operates a rewards-as-a-service platform that enables companies to distribute digital gift cards, nonprofit donations and other incentives via an API and rewards delivery tools. It partners with more than 2,000 companies, including Microsoft and Remitly. The company recently launched 2.0 versions of its rewards delivery platform and API and plans to release self-service web products later this year. Tango Card has roughly 78 employees (70 in West Seattle and eight in Boise), and headcount has tripled over the last three years; it plans to hire another 10 people this year. CEO David Leeds said the company is on a clear path to profitability. Since its 2010 founding the company has raised approximately $19.5 million to date. Tango Card builds a digital rewards platform and trademarks its approach as Rewards-as-a-Service (RaaS). The company offers software and APIs to integrate rewards into HR, health and wellness, surveys, and loyalty programs, and partners with enterprise tools such as Concur, Salesforce.com and ShapeUp. It powers rewards within Bing's UI to keep users inside the platform and drive higher engagement. Tango Card shifted away from its original gift card offering about two years ago to focus on the enterprise side, citing better economics and defensibility. The Seattle-based company is led by CEO David Leeds, a former FiberTower executive, and has a team of 26 employees. Management says the new capital will be used to expand the rewards platform and grow the team; total financing to date is $9.7 million. Tango Card operates an API-driven platform that aggregates digital gift cards from retailers and charities and supplies them as rewards to enterprises and small/medium businesses. Its core product is a rewards-as-a-service backend that integrates with corporate platforms and accounting systems, typically sold on a SaaS per-user, per-month model. The company serves two segments: enterprise customers that embed gift-card rewards into employee and customer incentive programs, and partners that incorporate Tango Card into loyalty and rewards offerings for SMBs. Tango Card reports over 80 live enterprise customers covering 600,000 users and says revenue grew 500% from 2011 to 2012. The company plans to use the new funding to begin international expansion and to expand sales and marketing around its enterprise service. Management positions the enterprise market as a large opportunity driven by employee recognition, customer acquisition, and loyalty spend. Tango Card emphasizes lower costs and more attractive digital rewards compared with traditional gift catalogs and larger reward providers. Tango Card builds a low-cost, all-digital platform that lets users redeem small-denomination digital gift cards and rewards instantly via mobile and enterprise channels. The company powers loyalty programs for brands such as Microsoft (Bing Rewards), FedEx and ShutterFly, and has an integration with Salesforce for in-app gift-card purchases and expense capture. Tango emphasizes mobile technology and digital goods in retail, and recently launched a personalized mobile feature called “What I Got.” The startup is hiring senior engineering leadership (new CTO Randy Fennel) to support product growth. It reports roughly 10% margins on its services and says it is highly capital efficient. Tango was launched in August 2009 and is on track to reach about 600,000 users by year-end.

Total raised

$55M

Funding rounds

7

Latest round

Equity

Latest activity

May 2018