SavingStar is a service where you can receive grocery discounts by entering your loyalty cards into the system. I just registered an account with them and I noticed that they are able to get me an additional $2.00 off from 2 boxes of Pepsi, $1.00 off a bag of Tostitos, 50 cents off Pepperidge Farm Goldfish, etc. from Kroger. Other stores that work with the service include Rite Aid, CVS, Piggly Wiggly, Albertsons, County Market, Food City, Lowes Foods, Jack’s SuperValu, Ralphs, and the list goes on. SavingStar launched in beta this past August and raised $2.3 million in funding from Flybridge Capital Partners, First Round Capital, Founder Collective, and several angel investors.
SavingStar renamed the company from SaveWave and raised $7 million in Series B financing this past April. Buddy Media Founder and CEO Michael Lazerow joined the company board of directors.
The company has hit a major milestone this past week. In exactly 230 days, the company has surpassed 1 million active users. This growth is faster than Groupon, Twitter, and Foursquare. SavingStar considers themselves as being a “Groupon for groceries.”
Every year, consumers spend about $550 billion per year on groceries. The benefits for grocery companies is that they can add their products to SavingStar for free and they will not be charged until a product is actually purchased.
[SavingStar Press Release]