The Munich-based startup Idee, which specializes in digital identity exchange, announces the completion of its Series A financing round of approximately €5.4 million. A German family office, an American VC, and angel investors participated.
Why do users abandon online registrations? The reasons range from forgotten passwords and the inconvenience of data entry to data protection regulations imposed by PSD2 and GDPR. Startup idea Munich-based company aims to simplify this process by enabling the secure exchange of identities based on cryptography and blockchain technologies. Investors are also backing this approach and are providing the Munich-based startup with a total of €5.4 million in its Series A financing round. The fresh capital will be used to drive expansion into new markets and the implementation of further projects in the retail, finance, and mobility sectors.
Biggest pain point: registration and payment process
One of Idee’s first customers was Hospitality Digital, a subsidiary of Metro AG. Volker Glaeser, new Managing Director of Hospitality Digital, on the reasons for using the idea solution for your company:
"As a wholesaler, we are interested in making our customers' shopping experience as smooth and efficient as possible. Therefore, we are very pleased to be working with Idee.Thanks to identity exchange, we can offer our B2B customers a variety of new online services – without time-consuming re-registration and tedious data entry."
And Al Lakhani, founder and CEO of Idee, explains:
"More and more interactions and transactions are now taking place online. Whether we're shopping online or using a car-sharing service, the biggest pain point is always the registration and payment process. For good reason, more and more measures are being taken to prevent fraud and clearly verify identity. However, this leads to the process becoming increasingly complex for the end user, thus degrading the customer experience. With our technology, we want to make online transactions easier and more trustworthy."
Idea wants to use fresh capital for global expansion
“The first very promising pilot projects are currently underway with four banks, three retail groups and a German car manufacturer,”
supplemented Daniel Schellenberg, COO at Idee.
"Our team is doing an excellent job, and we're growing at an above-average rate. We're very pleased with the trust our investors have placed in us and will use the capital to continue expanding—not only in German-speaking countries, but also globally. For this reason, we're currently looking for experienced people in marketing and sales to support us in realizing our vision."
