December 22, 2016

Snapstar Profile

Grocery shopping can often feel like a grueling or demanding task – what do we need from the market this week? Are we really out of bread and milk? Thanks to Snapstar, a brand loyalty app that allows customers to be rewarded for their various food purchases through a prize system, grocery shopping is about to become more engaging.

Constructed under the umbrella of OurCart, a data-driven direct-to-consumer loyalty and engagement platform for consumer packaged goods (CPG) brands with dual headquarters in Boston and Tel Aviv, Israel, Snapstar rewards shoppers for purchasing ordinary brands like Kellogg’s or Chobani to gain points toward prizes like an Amazon gift card or wireless headphones.

Guy Bauman, Snapstar
Guy Bauman, CMO & Co-Founder at Snapstar

Snapstar utilizes a phone’s camera to capture a receipt to identify various brands for points, which shoppers can use it toward free items or gift cards, as well as daily giveaways, too. Snapstar released its beta product earlier this month for Android, but will soon be available for iOS users.

“Snapstar is provides CPG manufacturers with a direct consumer channel, so they can get deeper insights about their shopping behaviors and provide more targeted offers,” said Guy Bauman, who is the company’s CMO and Co-Founder.

Snapstar recently gained the attention of PepsiCo, earning first place in the PepsiCo Insight Challenge by presenting their business-to-business (B2B), receipt based direct-to-consumer loyalty algorithm. And according to Bauman, roughly 300-350 companies pitched ideas, but it was Snapstar that secured the top spot, along with a partnership with PepsiCo. Both companies plan to work together on how to implement their direct-to-consumer marketing programs, according to Bauman.

Snapstar App
Snapstar App Screenshot

Redefining grocery shopping

While the app maybe new to the market, the feedback the company has received has been quite positive. Bauman said roughly 55 to 60 percent of their users are using the app to upload their receipts at least twice a week. And according to various studies, along with Bauman’s research, “People today are going grocery shopping on average twice a week, so those numbers fit right in with that statistic.”

Bauman and his team know the app will continue to improve over time, minus a few hiccups they have faced, including identifying cherry or strawberry yogurt. Luckily, a small glitch can be fixed and applied to an update of Snapstar.

Loving what you do

It’s the old adage, find something you love and you’ll never work a single day in your life.

For Bauman, creating and working on Snapstar has been extremely exciting, knowing he and his team are creating a new way shoppers can make their trips to grocery stores rewarding. Additionally, he also considers his product a great way to connect consumers and CPG brands together, too.

“The coolest thing is to put a product in the market, learn from the market and then to end up with something you feel like will resonate with everyone,” said Bauman. “And that is the cool thing.”

Snapstar may not be the first loyalty brand app that shoppers can utilize at their local markets, but it is beginning to separate itself as an app that can help brands understand what shoppers want, but also reward their buyers for purchasing their product.

“Sometimes you start a company based on an assumption and that’s fine, but the smart thing to do is say, ‘this is what we thought, but based on the data and based the feedback from the market, this is really what they need,’” he said. “Let’s give the market what it needs and we have made some adjustments, and that is the fun part.”    

Creating a new way to connect consumers and CPG users together is certainly fun for Bauman and his team.

Matt Noonan is a contributor to VentureFizz. Follow him on Twitter: @MattNoonan11.