Yotpo, a social reviews solution for e-commerce websites, has raised 10.7 million USD in round A funding led by Blumberg Capital. Prior investors who participated in this round as well include Rhodium, Gandyr Group, Oliver Jung and 2B Angels.
The Tel Aviv-based startup which launched in March 2011 offers a tool that produces verified reviews for online retailers, with the option of sharing them on social networks.
Yotpo – which stands for ‘Your Opinion The Public Opinion’ – is a freemium service that aims to help online retailers to increase conversion rates through reviews from verified (therefore presumebly trustworthy) people who agree to connect their social media profiles to the network.
Tomer Tagrin, co-founder and CEO, said “by maintaining a real-time social graph behind the scenes, Yotpo enables each potential buyer to connect their social profile and see his/her social distance to the reviewer. This increases trust for the buyer and conversion rates for the ecommerce.”
Tagrin adds that the service signed up around 31,000 companies so far, with 10,000+ from the US, and gets around 120,000 reviews a month with an average of 20 percent increase. The service has amassed more than 600,000 reviewers to date.
With the new financing, the company plans to expand its US and Europe operations with new hirings. US is the leading market for Yotpo, with 55 percent of its present customer base, whereas Europe comes second with 30 percent.
The funding brings Warren Adelman, former CEO of GoDaddy, to Yotpo’s advisory board whereas Alon Lifshitz from Blumberg joins the main board.
You can find more about Yotpo in the video below: