These days, start-ups in the online shopping space seem to be enjoying massive growth right out the gate; which is weird given the state of the economy. Just last week we were reporting that Fab.com, the daily deals website targeting gay men was enjoying massive success. Now it seems another start-up is set to smash records. I am talking about SavingStar.com, the digital coupon website that since launch has amassed over 1 million users—in less than 12 months!
This growth however, has been on the back of strong financing. SavingStar started off with $2.3 million in funding from Flybridge Capital Partners, First Round Capital, and others—that was in August 2010. In April 2011, it got another round of funding totaling $7 million and quickly began to promote the USP of the business. SavingStar is billing itself as the ‘Groupon for groceries’, and aims to be the number one provider of digital coupons online.The long term ambition of SavingStar may not be farfetched either. The company at present allows shoppers to save on exclusive deals offered by brand-name grocery items. These items are linked directly to shoppers’ loyalty cards at more than 100 grocery and drug store chains. This expansive distribution of SavingStar coupons allow shoppers to save without having to clip or print paper coupons. This perhaps is the reason the site is registering members so quickly.
Are you a SavingStar.com member? Share your experience with us in the comments below.