HK startup secures $2m to expand digital coupon platform worldwide

Photo credit: Mezzofy

Coupons have long been an effective tool for marketing. Bringing them to the digital age widened the market for them more, with the global digital coupon market expected to grow to US$29.7 billion by the end of 2031 from just US$4.67 billion in 2020.

However, security concerns and complex implementation of online coupon campaigns prove to be key factors that hinder growth in the industry.

One company looking to unlock this growth is Mezzofy. Through its platform, the company helps issue, distribute, and process digital coupons for companies.

Now, the startup has raised US$2 million in pre-series A money to bankroll its global expansion plans and prepare its services for “the Web3 future.”

Isola Capital led the round through its Isola Private Equity Venture Capital Fund VII. Ooosh Tech Lab and the Hong Kong government-backed Innovation and Technology Venture Fund also participated.

Mezzofy mainly uses QR code coupons, which the company said are more convenient and secure for users.

However, there are still some things done better through traditional physical coupons, chief among them being transferability. Dicky Ying, co-founder and CEO of Mezzofy, said the company supports transferable digital coupons to help solve this pain point.

“These are just one of the things that make Mezzofy unique in the market and stand out in the competition,” he added.

Since it was founded in 2014, Hong Kong-based Mezzofy has onboarded merchants such as Starbucks Hong Kong, Maxim’s Group, and Shell. To date, Mezzofy said it has handled 400 million digital coupons across 15 markets, including Hong Kong, Mainland China, Singapore, Japan, Thailand, Vietnam, Malaysia, India, and Korea.

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