Social media has made a lot of things convenient – birthday greetings, photo sharing, invitations, etc. Wrapp, a Swedish company that offers a “social gifting” app, believes the same should be done for gift cards. Founded in 2011, the company claims 1.3 million registered users and retailers like Nike, Victoria’s Secret and H&M. AdExchanger caught up with Wrapp EVP and Co-founder Carl Fritjofsson to find out what social gift cards can do for marketers.
AdExchanger: Where did the idea for Wrapp come from?
CARL FRITJOFSSON: Gift cards in the US is a $110 billion dollar market annually. It’s a large market and it’s something that retailers are familiar with and have the infrastructure to support. I was part of launching Groupon in Sweden and co-founded the Swedish ad network AdProfit, and [with co-founder Aage Reerslev] we stumbled on the fact that gift cards are a massive market that hasn’t been digitalized to a great extent.
We realized that digitalizing gift cards is one of the natural evolutions of the gift card product, but what’s even cooler is when you digitalize a gift card, you’re able to track that and understand how this gift card is being distributed and to whom.
How does it work?
Wrapp is what we call a friend-to-friend marketing platform that’s available through a mobile and web application, where retailers can issue targeted gift cards to consumers from their desired demographic group. Our users access our platform and log into Facebook, where we automatically extract their social graph. So say I go into the Wrapp application and from my list of friends, I click on my friend Greg’s profile.