CardStar Gains Small Investment from Verizon

Verizon has made a small investment ($400,000) in mobile loyalty app CardStar, according to the Wall Street Journal:

A $400,000 investment by Verizon Communications Inc. in start-up CardStar Inc. may not sound like much, but it’s a hint that wireless carriers are realizing that commerce is going increasingly mobile . . .

CardStar has 2,000 merchants – from major airlines and chain stores to mom-and-pop operations – signed on to use the system. Some of these merchants have point-of-sale scanners that can read bar codes, and others don’t. The merchant portal offers various other options for merchants with low-tech point-of-sale systems.

From SMS-based marketing on Placecast, to Foursquare, ShopKick and potentially Facebook Places, mobile loyalty is a rapidly emerging and very important marketing arena. 

Verizon has launched a mobile payments initiative with AT&T, which ultimately could become directly integrated into mobile loyalty programs and related marketing.

See our previous posts about CardStar: