Online shopping and loyalty companies Posse and Beat the Q have merged in the hope working together will give the companies a better chance of creating the elusive startup unicorn.
The merged business will have half a million users, 56,000 shop relationships and handle over 400,000 transactions per month.
Beat the Q is a mobile ordering platform, used by more than 450 cafes and 65,000 consumers. Posse helps consumers locate and recommend shops around them.
Posse kept getting approached by loyalty apps who were trying to build networks, when that kept happening founder Rebekah Campbell approached Beat the Q.
“It’s a straight merger, we valued each of the companies and they came up pretty much equal,” she told Business Insider. “It’s a merger of equals.”
Combined the two startups have raised about $5 million since launching, including the $1.5 million Posse launched earlier this year.
As one company the founders think there are a lot of synergies they can benefit from.
“Our vision is to facilitate relationships between shop owners and customers while at the same time removing all of the friction from the transaction, from ordering to payment,” Beat the Q founder Adam Theobald said.
Beat the Q acquired loyalty app e-Coffee Card in March this year and as a team the newly formed company is considering more acquisitions in the near future.
“There’s a lot of excitement around the coming together of the businesses and we’re in discussions with some strategic partners to fund an acceleration of growth,” Campbell said.
Next March the new company will launch one app but in the mean time it’s going to build on top on the existing Beat the Q product which it says will be released next month and include features from both company’s assets.
“We believe consumers and merchants want one app that can do it all and that’s part of the vision behind this merger,” Theobald said.