Social gifting service Wrapp has raised $5.5 million in Series A funding led by venture capital firm Atomico. The funding, along with the heavy weights backing it, is the latest sign that social gifting – a tweak on the e-gift card model — is an emerging trend that retailers and marketers would do well to follow.
Wrapp allows friends to give, receive and redeem digital gift cards using mobile devices. Friends contribute to gifts. (via Tech Crunch). You use Facebook to sign in, then select the retailer, gift card offer, delivery date and payment details.
Another sign of this channel’s growth: CashStar recently secured $12 million in funding. It will be used to help drive continued adoption of digital gifting and grow CashStar's retail brand network. The company recently added Mandarin Oriental Hotel Group to the list of brands that partner with CashStar.