San Francisco, Calif. — Bloomspot, a Groupon-like daily deals start-up service, raised $35 million in a Series B funding round with an additional $5 million being raised in venture debt.
The financing was led by Interwest Partners and Colombia Capital, which was joined by True Ventures, Menlo Ventures, QED Investors, Harrison Metal and others.
Bloomspot uses algorithms to predict levels of consumer spending by analyzing the credit card data used at places where Bloomspot is running an offer. Using the information, the start-up can then configure data to present to vendors on where their deals, promotions and sales are working.
“All of this is most powerful when it’s not just about savings,” said Jasper Malcomson, CEO and co-founder of Bloomspot. “It’s a recognition system. In a way, it’s less about discounts and savings, and more about recognition and status.”
The new funding will be used to improve their infrastructure and to prove their local offers model works. They previously raised $11 million and an additional $9 million Series A round last September.
Photo by flickr user HowardLake, used under Creative Commons license