Deal Management Platform DealsGoRound Becomes MyCabbage, Raises $950K From Groupon Founders

By Michael Carney , written on August 23, 2012

From The News Desk

Say goodbye to forgotten and expired daily deals, gift cards, and coupons. Two year old daily deals wallet startup DealsGoRound is relaunching today as MyCabbage to offer what looks like the most complete social savings solution to date. The new MyCabbage is a complete online and mobile platform for storing, tracking, sharing, and even selling this “cabbage” (aka, deals) with friends.

MyCabbage is announcing this redesign shortly after closing $950,000 in new financing from Lightbank, I2A, New World Ventures, and several angel investors, as well as the acquisition of daily deal dashboard Cravist. As part of the relaunch, MyCabbage has added a new iOS mobile app (Android coming soon), which offers all of the same functionality as the desktop Web version.

Users can still upload and organize their cabbage by linking to Groupon, Living Social, Amazon Local, and other daily deals accounts -- even multiple accounts from a single provider -- typing in unique gift card codes, or uploading photos of paper coupons. MyCabbage can then send alerts to notify users of expiring deals.

One powerful but not yet available feature which will be made possible by the forthcoming iOS 6 update, is geo-fenced notifications or the ability to receive alerts based on location proximity. The company hasn’t offered any indication as to whether such a feature is in development, but it will likely be a key offering of most successful products in this category.

Once users have uploaded their portfolio of deals and offers, they can connect their profiles and share this information with friends. With a window into each others’ deal stockpiles, friends can make plans to enjoy the rewards together, send calendar invites, and set reminders. Users can take this a step further by assigning “trusted status” to significant others or spouses, allowing them to redeem deals as if they were their own.

If, in spite of all this organization and social sharing, users still have deals that they cannot use, then they can sell them through the MyCabbage marketplace free of charge -- DealsGoRound previously charged 10 percent of each transaction. A purchase guarantee is included in every transaction and sellers must have their name and PayPal account verified before posting. Users have the option (aka opt-in) of receiving notices of new savings opportunities from both MyCabbage partners and selling users based on interests extracted from previous deals and preferences.

DealsGoRound launched out of beta in March 2011 and announced an unspecified seed funding round at the time. The company has long operated out of the Lightbank offices at 600 West Chicago Ave. Lightbank is the investment fund of Groupon co-founders Eric Lefkofsky and Brad Keywell, where DealsGoRound and now MyCabbage founder and CEO was previously an entrepreneur in residence.

As long as the daily deals and coupons industries continue to exist -- and they’ve been around in one form or another for decades -- tools like MyCabbage will be useful. With the backing and guidance of Lightbank, there’s a better than good chance that MyCabbage has the staying power to be the one that solves this problem once and for all.