Blackbird Labs – a hospitality technology company whose platform helps restaurants directly connect and reward their guests and incentivize these customers to return – recently announced it has raised a $24 million Series A round. The funding round was led by a16z, with participation from Amex Ventures and Bolt by QED, and the company’s previous seed investors like Union Square Ventures, Shine, Variant, and leading restaurant groups: Quality Branded, Rustic Canyon Family, Souvla and Brooks Reitz. This new funding round will help Blackbird scale operations as it meets an ever growing need from leading restaurants across the country for an all new solution that will help them drive customer loyalty and create new revenue streams.
In just a few short months, Blackbird struck a chord with over 80 leading restaurants in the industry, with 22 restaurants already live. And this set includes New York restaurants like: Anton’s, Corner Bar, Crown Shy, Di An Di, Ensenada, Ernesto’s, estela, Fish Cheeks, Freeman’s, Francie, gertrude’s, Hanoi House, Joseph Leonard, Momofuku, Nami Nori, Principe, Overstory, and SAGA; Jon & Vinny’s (LA), Souvla (San Francisco), Daytrip (Oakland), Little Jack’s Tavern (Charleston), The Daily (Charleston), Melfi’s (Charleston), Razza Pizza (Jersey City). All these restaurants have chosen the platform for its ease of use and ability to help them better understand their customers.
Through Blackbird’s advanced platform, restaurants can gather insights, including their diners’ likes and dislikes, where they like to sit, and how many times they’ve visited the establishment. And as the dining landscape becomes increasingly fragmented – with little direct connectivity between guests and restaurants – Blackbird’s technology helps restaurants get to really know their patrons. Operators consistently surprise and delight their customers, while giving them the special feeling that they are very important and appreciated regulars, sparking increased and ongoing loyalty to the restaurant.
For diners, Blackbird is very easy to use. And when customers arrive at a restaurant, they simply tap their phone on a Blackbird NFC reader and enter their phone number to create their membership. From there they are able to start leveling up their regular status with each subsequent tap-in, thus unlocking benefits and insider perks like surprise off menu items and even a direct SMS concierge. They also earn $FLY, which is Blackbird’s non-transferable native token. Diners can utilize their $FLY to power up for specific items they might want or they can also use them for membership rewards with a specific restaurant. Blackbird users also do not need to have a pre-existing web3 wallet. The company works with Privy for embedded wallets, so users who simply sign in with their phone number get a self-custodial wallet for use. Users can manage their memberships, view $FLY balance, monitor recent activity and message restaurants all through the Blackbird app.
With the new funding round, Blackbird also has plans to rapidly expand its offering into new markets, as it continues to roll out new features like: $FLY Redemption, which empowers consumers to use their accumulated $FLY points to “power up” and redeem perks either in the moment or in a future planned visit at participating Blackbird restaurants. And the company will also be introducing an all-new referral program – giving diners the ability to text their friend a link to become members at a specific restaurant where they will gain access to an entirely new and exclusive slate of offerings. Diners will also be able to opt into global data sharing where restaurants will gain visibility into their full dining history and any associated insights in exchange for providing more $FLY on regular dining activity like tap-ins.
KEY QUOTES:
“We’ve just experienced two decades of declining margins and eroding direct customer relationships in the restaurant industry. I love this industry, but it is time to face industry economic challenges head-on and make bold changes. Loyalty and connectivity are the next frontier and we’re excited to be leading on this path forward. Adding incredible investors like a16z, Amex Ventures and Bolt by QED will be crucial to us achieving our goals.”
- Ben Leventhal, founder and CEO of Blackbird
“We are excited about adding Blackbird into our restaurants. This impressive technology will actively help us serve and engage our great customers on an even deeper level, and, in turn, allow them to further invest in their relationships with our restaurants. It’s a journey we’re thrilled to take together.”
- Jon Shook of Jon & Vinny’s
“Web3 enables a powerful, new way for restaurants and guests to connect, making each dining experience unique and more meaningful. Blackbird’s platform is easy, fun, and delightful to use. With just a few taps, diners can unlock new loyalty programs that only web3 technology can provide. We believe the first wave of restaurants and experiences powered by Blackbird are only the beginning of what’s possible. Given his expertise building Eater and Resy, Ben Leventhal is the perfect entrepreneur to lead Blackbird to that future, and we’re thrilled to partner with him and his team as they take the hospitality industry to new levels.”
- Arianna Simpson, General Partner at a16z crypto
“Blackbird offers a compelling new platform with the potential to evolve how restaurants deliver on loyalty and supercharge the insights they need to thrive. We are thrilled to back Blackbird as they explore how to leverage web3 technology to positively transform the dining experience for consumers and the restaurant industry.”
- Matt Sueoka, Global Head of Amex Ventures
