Tail, a start-up that provides cashback solutions to start-ups such as Monzo, Starling and Volopa, has been acquired by London-based fintech incubator Quantum Group.
On Friday (7 August), London-based fintech incubator Quantum Group announced that it has acquired mobile cashback app Tail.
Founded in 2016 by Charlie Brodie, Harley Morlet, Jonathan Baker and Philipp Keller, Tail provides cashback solutions through platforms such as Monzo, Starling and Volopa. The company was set up to eliminate the need for loyalty cards or vouchers, by transferring cashback directly to customers’ bank accounts after purchase.
Tail’s app integrates directly with a user’s bank account to provide tailored offers and cashback rewards, enabling hyperlocal, local and national merchants to engage directly with customers through the data-driven rewards solution.
The start-up first launched its API integration with Starling in July 2017, before integrating with other UK challenger banks.
In 2019, Quantum Group acquired 30pc of the start-up and now the incubator has completed the acquisition of the company for an undisclosed sum. Through the purchase of Tail, Quantum Group plans to continue to increase the number of banking partners integrated with its platform and to onboard a diverse set of retailers from the UK.
Dave Pearson, who has come on board as Tail’s new managing director, said: “We are looking forward to continuing the great work that Tail has achieved, and ensuring that the expansion of both banking partners and retailer cashback offers even greater value to our customers.
“The Tail platform is designed to ensure the customer and retailer alike enjoy a seamless experience that changes the way they interact with their cards.”
Among the start-ups in Quantum Group’s portfolio are prepaid multi-currency card company Volopa and security specialists Valkyrie. The English incubator said that, through both its media arm and investments in software, it has built a streamlined group with a balanced portfolio of capabilities.
Quantum Group chair Floyd Woodrow said: “We are delighted to welcome Tail fully on board within the Quantum Group. Tail’s world-class service offers true value to cardholders around the UK, as well as our banking partners and retailers, and we are excited for the platform’s future expansion.”