Snappy is acquiring singing gift startup Covver in its quest to bring gamers together

It is now widely accepted that customers and employees who receive corporate gifts end up appreciating the brand much more, without spending as much. And so the market for this exploded. One player in the market, based in New York Stingingwhich has raised more than $125 million to date, is now gaining ground Covera corporate merchandise gifts platform. Terms were not disclosed, though TechCrunch understands the deal involved a mix of cash and stock.

Covver was previously backed by TLV Partners, based in Tel Aviv, Israel, and has raised $7 million to date. It specializes in swag-style merchandise for businesses and also provides point recognition solutions for employees. It also customizes products automatically. For example, someone could send me a swag with my job title (Editor at Large) and the system would automatically generate a swag with my job title, no graphic design required.

In an interview with TechCrunch, Snappy co-founder and CEO Hani Goldstein said that Covver’s expertise in luxury solutions and the company’s stores complements Snappy’s ability to deliver these types of gifting experiences, and that the platforms will be consolidated, with Covver effectively becoming a “swag channel” on Snappy platform.

“What Cover built was an amazing AI-driven loot experience that does it extremely well and innovatively,” she said. “They were specialists in swag. So we felt this solution could take all the magic of personalization and bring it into the shared world of how to give gifts better, becoming the leading gifting platform worldwide.”

“There are about $50 billion worth of gift cards in the United States alone,” she added. “Corporate gifting is about $260 billion. But people don’t know what to buy, so they use gift cards. That provides choice, right? But that becomes very transactional. It’s like, ‘Hey, Mike, that’s $100!'” But I wanted to Make you feel happy So what we want to do is make gift giving easy, while keeping it magical and personal.”

In a statement, Roy Hemmed, CEO of Covver, said: “By joining forces with Snappy, we are opening up new possibilities for our customers, including expanded product solutions and the ability to leverage Snappy’s trusted gifting platform.”

Snappy was first released on TechCrunch Back in 2016 As a consumer app, it bootstrapped its progress until it was eventually raised from investors including Notable Capital, Hearst Ventures, Qumra, 83 North, and other venture capital firms.

It claims to have more than 47% of Fortune 100 companies as clients such as Microsoft, Amazon, and Comcast.

However, it has competitors. Sindoso Postal has raised $152.7 million to date He grew up $46 million, Dublin-based corporate gifting platform &Open He grew up $26 million in 2022