UK-based fintech incubator Quantum Group has acquired mobile cashback app Tail.
Quantum Group, which acquired 30% of Tail in 2019, completed its acquisition of the company this month for an undisclosed sum.
Tail provides reward services to major UK challenger banks Starling and Monzo. It takes advantage of open banking data to help banks provide cashback, rewards and loyalty programmes to customers in a seamless, automated manner, eliminating the need for loyalty cards or vouchers. Instead, Tail transfers cashback directly to customers’ bank accounts after purchase.
For participating retailers, Tail provides a fully-managed platform that enables retailers to create hyperlocal marketing campaigns, allowing them to increase general footfall and customer volume across demographics.
Tail began development in 2016, launching its first API integration on Starling in July 2017. It has subsequently integrated with other UK digital challenger banks Monzo and Volopa.
With the completed acquisition, Quantum Group plans to continue to increase the number of banking partners integrated with the Tail platform, and to onboard a diverse set of retailers from around the UK.
Dave Pearson, who has come on board as 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.”
Quantum Group is a fintech investment incubator whose portfolio of companies includes pre-paid multi-currency card company Volopa and security specialist Valkyrie.
Floyd Woodrow MBE, chairman of Quantum Group, 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.”