JPMorgan Chase & Co. Buys Bloomspot for $35 Million to Offer Discounts to Credit Card Holders
Yes, there’s still money in the deals industry: JPMorgan Chase & Co. has agreed to acquire Bloomspot, a site connecting consumers to offers from local and national merchants, for a cool $35 million. The deal will give JPMorgan the ability to offer its credit card holders more discounts to local businesses. Most of Bloomspot’s 100-person team will join JPMorgan’s credit card unit, as it seeks to bulk up its customer loyalty offerings. Before this acquisition, Bloomspot raised more than $40 million from investors. The company aims group deals at a merchant’s best customers. Its credit card-linked rewards program was successful, as the company noted during the summer that 72 percent of its customers who purchase offers from its partners become repeat customers and spend an average of nearly $140 above the price of the offer they purchase. Bloomspot has around 2 million members and partners with approximately 500,000 merchants. (Bloomberg, TechCrunch)
