Snappy Expands Its Empire: Acquires Covver, the Innovative Swag-Gifting Startup

In the evolving landscape of corporate gifting, brands that invest in corporate gifts for their customers and employees foster stronger relationships and enhance brand appreciation. This growing trend has led to a significant surge in the corporate gifting market, exemplified by the recent acquisition of Covver by Snappy, a New York-based gifting platform. With over $125 million raised to date, Snappy is set to expand its offerings by integrating Covver’s unique merchandise solutions.

Snappy Acquires Covver: A Strategic Move in Corporate Gifting

While the terms of the acquisition remain undisclosed, sources indicate that the deal involved a combination of cash and stock options. Covver, which has secured $7 million in funding from TLV Partners in Tel Aviv, specializes in creating customizable swag-style merchandise and innovative employee recognition solutions.

Innovative Swag Solutions by Covver

Covver’s platform stands out by automating the personalization of corporate merchandise. For instance, when sending swag items, the system can automatically incorporate the recipient’s job title, eliminating the need for graphic design. This feature enhances the gifting experience, making it seamless and efficient.

Insights from Snappy’s Leadership

In a recent interview with TechCrunch, Hani Goldstein, Co-Founder and CEO of Snappy, emphasized the strategic alignment between Snappy and Covver. She noted, “What Covver built was an amazing experience for swag that’s based on AI and does it extremely well and innovatively.”

• Personalization: The integration aims to enhance the personalized gifting experience.
• Market Potential: The corporate gifting market is valued at approximately $260 billion in the U.S.
• Gift Cards: With $50 billion worth of gift cards in circulation, Snappy aims to transform transactional gifting into meaningful experiences.

Goldstein expressed a desire to retain the “magic” of gifting while simplifying the process. “So we want to make gifting easy, but still keep the magic and personalization,” she stated.

Future Prospects for Snappy and Covver

Roee Hemed, CEO of Covver, shared his enthusiasm about the partnership: “By joining forces with Snappy, we’re unlocking new possibilities for our customers, including expanded product solutions and the ability to leverage Snappy’s trusted gifting platform.”

Snappy’s Growth and Client Base

Founded in 2016, Snappy has evolved from a consumer app into a robust gifting platform, attracting major investors such as Notable Capital and Hearst Ventures. The company boasts an impressive clientele, including over 47% of Fortune 100 companies like Microsoft, Amazon, and Comcast.

Competitive Landscape

Despite its successes, Snappy faces competition from other corporate gifting platforms. Notable competitors include:

• Sendoso: Raised $152.7 million to date.
• Postal: Secured $46 million in funding.
• &Open: A Dublin-based platform that raised $26 million in 2022.

As Snappy continues to grow and innovate, the merger with Covver positions it well to lead in the corporate gifting industry, providing enhanced solutions that cater to the evolving needs of businesses.