After $30M round, Bumped launches app that gives people free stock after spending with brands – GeekWire
Buy from a brand, get some of their stock.
That’s the pitch from Bumped, a Portland, Ore.-based startup that launched its app today after a year of beta testing.
Bumped users create a brokerage account, link their debit or credit card, and pick their brands. When they spend money with certain companies, they get a percentage of their purchases back in fractional shares, or a piece of a full share.
Bumped does not charge account or trading fees; it makes money from the participating brands.
Users are automatically given an ETF, or an Exchange-Traded Fund, when they sign up with Bumped. They can customize and add stock reward choices on top of the ETF.
The startup’s beta included more than 80 brands. The average user had a 1.5X increase in monthly visits to brands that rewarded them with stock.
“Investing without requiring incremental spend is critical to helping people navigate the present and save for the future,” David Nelsen, CEO and founder of Bumped, said in a statement. “Bumped creates a simple but powerful entry point to the stock market, giving users the opportunity to not only make the most of their money now, but to prepare for the future as well.”
Nelson is a veteran fintech entrepreneur who previously sold digital payments startup Giftango to InComm.
Bumped is using a $30 million Series A round that closed last year to help support growth. Canaan Partners led the first part of the round in 2018. Valor Siren Ventures, a new joint venture backed by Starbucks, invested later on. Other backers include Peninsula Ventures, Commerce Ventures, and Oregon Venture Fund.
The company has nearly 40 employees.