Swagbucks has secured its first external capital round with backing of $60 million from Technology Crossover Ventures. Swagbucks is a rewards discovery community and provider of free gift card awards for digital life.
Swagbucks, the web’s leading rewards community – and its parent company, Prodege LLC – announced its first external capital round with a direct investment of $60 million from Technology Crossover Ventures (TCV). Swagbucks and Prodege executive chairman Chuck Davis will add the role of chief executive officer while founding CEO Josef Gorowitz becomes president.
Swagbucks rewards its members for everyday web discovery activity – including searching, shopping, entertainment, discounted offers, surveys, and games – delivering a robust platform for brands, advertisers, and marketers to establish valuable relationships with motivated consumers. The company has distributed over $60 million in free gift cards to consumers since its 2008 founding. Swagbucks offers gifts cards from over 300 ecommerce stores including Amazon, Wal-Mart, Target, Starbucks, and Paypal.
“Swagbucks first caught my interest in 2012 when I observed their impressive, entrepreneurial growth and diversified revenue model,” said Davis, who joined Swagbucks as executive chairman in January 2013. “Swagbucks has always put the consumer first by helping households get a little extra back and I am proud to build on that wonderful mission. Furthermore, bringing in TCV as the company’s first strategic investment partner and building on their experience in scaling leading digital brands is a good fit for Swagbucks and its profitable business.”
Davis was chairman & CEO of Fandango, the leading online movie ticket and entertainment site. While there, Davis oversaw its mobile launch and expansion making Fandango one of the most popular mobile ecommerce sites online. Comcast Corporation purchased Fandango in 2007. Previously, Davis was president & CEO of Shopzilla (formerly BizRate) through its $525 million sale to the E.W. Scripps Company. Davis currently is a venture partner at Technology Crossover
Ventures and serves as executive chairman at The Teaching Company.
Additionally, Davis serves as a director at Boingo Wireless, is the immediate past international chairman of the Young President’s Organization, and is an entrepreneur in residence at Harvard Business School. Davis had prior executive stints at The Walt Disney Company (president, E-Commerce), News Corporation’s TV Guide, and Time
Warner in addition to serving on the Brown University Corporation and the ecommerce
industry’s Shop.org board of directors.
“TCV strives to back great entrepreneurs, providing tremendous value to online
customers,” said Jay Hoag, founding general partner at Technology Crossover
delighted to be investing behind him again, as he takes the helm at Swagbucks and
builds upon the great work done at the company to date.”
Swagbucks has been profitable since 2010 and had $53 million in 2013 revenues, up
51% from 2012.
“Swagbucks has built a strong and successful business in a relatively short period of
time,” said founder and president Josef Gorowitz. “We are thrilled to welcome two
proven new additions to the team with Chuck and TCV as we strategically scale
Swagbucks to new heights in the years ahead.”
Swagbucks.com is the web’s leading rewards discovery community and top provider of
free gift card awards for everyday digital life, helping consumers stretch their household
budgets. Headquartered in El Segundo, California under Prodege, LLC, Swagbucks is
the original digital rewards currency for a wide variety of online activities including
shopping, entertainment, surveys, discounts, games, search and more.
Technology Crossover Ventures (TCV), founded in 1995, is a leading provider of
capital to growth-stage private and public companies in the technology industry.
With nearly $10 billion in capital raised, TCV has invested in more than 200
technology companies over the last 18 years. Selected investments include Altiris,
C|NET, ExactTarget, Expedia, Facebook, Fandango, FX Alliance, GoDaddy, Genesys
Software, Groupon, HomeAway, Netflix, RealNetworks, Redback Networks,
RiskMetrics Group, Sitecore, Splunk, Spotify, Thinkorswim, and Zillow. TCV is
headquartered in Palo Alto, California with offices in New York and London. For
more information about TCV, including a complete list of TCV investments, visit
UNDER EMBARGO UNTIL TUESDAY, MAY 13 @ 4 AM PT / 7 AM ET