Egyptian loyalty and rewards solutions provider Dsquares has raised fresh funds to help it scale a new business line and expand geographically across Egypt and internationally.
Founded in 2012, Dsquares has developed data-driven loyalty and rewards programmes that significantly help clients retain their customers, develop their spend pattern, and increase profitability.
The startup quickly saw strong uptake in the B2B loyalty solutions market across the MENA region, supporting large corporate clients including banks, FMCGs, and telecom operators. In 2018, it secured funding from investment management firm Ezdehar Management to support its growth plans, and it raised further investment from Algebra Ventures last year.
Its latest round sees Algebra makes a follow-on investment, while Ezdehar’s stake has been bought out by Egyptian private equity firm Lorax Capital Partners. Lorax has also made an additional investment in Dsquares, meaning it holds a “significant minority stake” in the startup.
Dsquares, which claims to be the biggest full-service loyalty solutions provider in the Middle East and Africa, manages all technical, operational, and commercial aspects of its loyalty and rewards solutions for its clients, which include 900 brands with over 11,000 outlets across different sectors in Egypt, Jordan, Romania, Kenya, Tanzania, Morocco, Saudi Arabia and the United Arab Emirates (UAE).
Dsquares plans to further expand with this latest funding, but will also scale Lucky, a mobile app it launched last year to offer customers discounts from different brands. The app has so far been downloaded over five million times, and the startup is targeting further uptake and growth.
“The LCP partnership and investment will help Dsquares expedite its clients and merchants expansion plans in the Middle East, Africa and Europe and maintain its position as the loyalty and rewards solutions leader in the region,” said Marwan Kenawy, co-founder and chief executive officer (CEO) of Dsquares.
