Spotluck, the restaurant discount app with a “unique spin”, has closed a $4.8 million Series A funding round led by New York-based venture capital fund JOBI Capital. New Dominion Angels and existing lead investor RANK Capital Group also participated in the round.
The startup, which was founded in 2014, will use the fresh funds to bolster its presence in current markets as well as strategically expand to new cities. The company will also evolve its product and technology stack to “provide an unparalleled experience for both its partner restaurants and users”.
The free iOS and Android app was developed and launched to solve the perpetual “don’t know where to eat” dilemma by using a game of chance and preferred pricing incentives. It offers ‘smart discounts’ that fluctuate based on the day, time and weather – operating under the premise that dining out should cost less on a rainy Monday than on a busy Friday night.
In addition, users also get one spin per day for a bonus discount at a randomly-selected restaurant.
The funding follows two major milestones for Spotluck, having earlier this month expanded to New York City with over 250 local restaurant partners at launch, while also releasing a major update to its app. The new update provides users with new features such as cuisine spins, Instagram integration, Uber integration and new mechanisms to earn rewards.
Cherian Thomas, CEO, said:
“Our alliance with JOBI provides far more than a financial infusion. JOBI’s team knows firsthand the challenges and rewards of creating a sustainable, balanced restaurant platform. In particular, they helped to scale Delivery Hero, Europe’s largest restaurant delivery platform.”
The Spotluck app currently works with more than 1,200 local restaurants across Washington, D.C., Maryland, Virginia, Philadelphia, Baltimore, New Jersey and New York.