Plastic Jungle, the Webâs
leading gift card exchange, today announced that it raised a total of
$7.4 million in its Series B financing. New investor Redpoint Ventures
led the round and previous investors Shasta Ventures, First Round
Capital and Bay Partners, as well as other existing investors also
participated. Plastic Jungle will use the funding to bring liquidity to
the estimated $30 billion economy in unredeemed gift card cards for the
benefit of consumers, retailers and other e-commerce companies.
Plastic Jungleâs exchange makes it easy for consumers to get the most
value out of gift cards, allowing users to get cash for unwanted gift
cards for up to 92% of the unused balance and buy gift cards at up to a
30% discount. The process also directly benefits retailers, creating
liquidity in idle gift card balances. When Plastic Jungle buys gift
cards from consumers who are not using them, it places them in the hands
of highly motivated, brand driven purchasers, driving immediate revenue
and profit. In the 2009-2010 holiday season, Plastic Jungle saw 450%
year over year revenue growth.
Following their Series A funding in Q1 2009, Plastic Jungle assembled a
management team with deep experience in online marketplaces (eBay),
online payments (PayPal), and gift cards (Blackhawk Network, the largest
third-party distributor of gift cards in the world). The companyâs goal
is to bring new innovations to the gift card economy.
âUnspent gift cards are essentially trapped money on a mag stripe,â said
Gary Briggs, CEO of Plastic Jungle. âLiquidating the estimated $30
billion in unused gift cards has benefits for consumers and the
retailers they shop with. Our growth this past year proves that we are
filling a significant gap in the retail economy allowing retailers to
drive enormous incremental value from their already successful gift card
programs. With this new investment weâll be able to execute our vision
more quickly.â
As part of the financing, Plastic Jungle will add Allen Beasley, Partner
at Redpoint Ventures, to its board of directors.
âWe believe Plastic Jungleâs vision will revolutionize the gift card
industry,â said Allen Beasley. âTheyâve built an unparalleled team,
bringing together experts with the exact experience needed to grow the
company to its full potential in e-commerce and payments. The gift card
economy is massive. Harnessing even a fraction of it is a huge market
opportunity. Iâm excited to be part of the change theyâre creating.â
Plastic Jungle previously secured $6 million in Series A funding,
bringing its total equity funding to $13.4 million. The Series B
financing was completed at an increased valuation over the prior round,
which occurred in March 2009.
About Plastic Jungle
Plastic Jungle (www.plasticjungle.com) is the Webâs leading gift card
exchange, offering the best way to sell, buy or donate gift cards in a
trusted environment. Consumers can save money at their favorite stores
with discounted gift cards up to 30% off, and Plastic Jungle buys
unwanted gift cards for up to 92% of the unused balance. The companyâs
mission is to bring liquidity to the estimated $30 billion unredeemed
gift card economy for the benefit of consumers, retailers, and other
ecommerce companies. Based in Mountain View, California, Plastic Jungle
is privately held, with venture backing from Shasta Ventures, Redpoint
Ventures, First Round Capital, Bay Partners, Harrison Metal, and Western
Technology Investment.
