Loop Returns picks up $10 million in Series A led by FirstMark Capital
Loop Returns, the startup that helps brands handle returns from online purchases, has today announced the close of a $10 million Series A funding round led by FirstMark Capital. Lerer Hippeau and Ridge Ventures also participated in the round.
Loop started when Jonathan Poma, a cofounder and COO and President, was working at an agency and consulting with a big Shopify brand on how to improve their system for returns and exchanges. After partnering with long-time friend Corbett Morgan Loop Returns was born.
Loop sits on top of Shopify to handle all of a brand’s returns. It first asks the customer if they’d like a different size in the item they bought, quickly managing an exchange. It then asks if the customer would prefer to exchange for a new item altogether, depositing the credit in that person’s account in real time so they can shop for something new immediately.
If an exchange isn’t in the cards, Loop will ask the customer if they’d prefer credit with this brand over a straight-up refund.
The goal, according to Poma and Morgan, is to turn the point of return into a moment where brands can create a life-loyal customer when handled quickly and