Button Partnering with Bits of Stock for Stock Back Offering
So far, despite being a less-than-stellar year overall, 2020 has been remarkably bright for FinTech. In addition to big acquisitions and major funding rounds, there have also been several exciting partnerships that have formed in recent months. Joining that list are Button and Bits of Stock, who are now teaming up to boost brand loyalty and reward customers.
Using Button’s technology, Bits of Stock allows users to earn fractional shares of stock when shopping at select retailers. The list of brands currently featured includes Best Buy, CVS, Gap, shopDisney, Hulu, and many more. As Button points out, by using their Personalization API offers within Bits of Stock will be more accurately matched to users. In turn, this enhanced user experience will benefit the app as their monetization strategy relies on affiliate channels.
Commenting on the partnership, Button co-founder and CEO Michael Jaconi said in a statement, “We’re thrilled to welcome Bits of Stock, the newest fintech company to join Button’s platform and build a commerce-first strategy on top of our Personalization API. Innovators like Bits of Stock are creating a powerful new model for users, and their approach to partnering with marketers has been focused on driving value for all parties.” He added, “Brands on our platform are excited to connect with this innovative new model designed around financial wellness.” As for how working with Button will benefit Bits of Stock, their co-founder and CEO Arash Asady explained, “Bits is on a mission to give wealth back to our communities. We believe ownership mentality is the key to financial prosperity for all. Partnering with Button to give our users Bits of Stock when they shop with the brands they know and love is continuing that mission,” adding, “Button’s enabling us to reach a next level of engagement with our users through its personalization offering, and we couldn’t be more excited for this new chapter of driving loyalty through fractional ownership.”
For the record, Bits of Stock isn’t the only platform leveraging fractional shares to promote brand loyalty. Another app called Bumped offers a similar premise where users can earn a percentage of their purchases from select brands back in the form of stock. Meanwhile, the investment platform Stash offers a debit card that rewards customers with Stock-Back for any purchase — either corresponding to the transaction’s retailer or replaced with a slice of an ETF if the company isn’t publically traded.
Not only does this collaboration between Button and Bits of Stock speak to the FinTech trend of partnerships but also highlights the growth in the consumer investment space. In addition to platforms such as Robinhood, SoFi Invest, and even Charles Schwab starting to offer fractional shares trading within the past year, we’re also now seeing a push to better connect brands with their stocks in the minds of customers. Thus, with a little help from Button, Bits of Stock seems poised to gain momentum and ride this growing wave.