FiveStars

About FiveStars

FiveStars, which now operates as SpotOn, emerged from the vision of co-founders Victor Ho and Matt Doka. Ho, a former McKinsey consultant, and Doka, a fellow University of California, Berkeley alumnus, launched the company in 2011. Their collaboration began with a shared interest in empowering small businesses, an idea that took root after Ho's experience observing local businesses during his time at McKinsey. The company's initial focus was on providing a loyalty and marketing automation platform specifically designed for local small and medium-sized businesses. This platform aimed to help brick-and-mortar stores build customer relationships and drive repeat business through a system that replaced traditional paper punch cards with a more integrated digital solution.

The core offering revolved around a customer relationship management (CRM) system tailored for the small business market. It provided merchants with tools to create customized rewards programs, track customer visits and spending, and send targeted promotions via text and email. This allowed businesses to gather valuable customer data and use it to foster loyalty and increase sales. The business model was subscription-based, with businesses paying a monthly fee to access the platform's marketing and automation tools. By 2017, the company had established a significant footprint, serving approximately 12,000 businesses across the United States and Canada and having registered over 10 million consumers in its network.

A pivotal moment in the company's trajectory was its acquisition by SumUp in 2021 for a reported $317 million in a mix of cash and stock. SumUp, a global payments service provider, integrated FiveStars' technology to bolster its own product suite for merchants. Following this integration and a subsequent merger, the platform and its services were consolidated under the SpotOn brand, which continues to offer a comprehensive suite of software and payment solutions for the restaurant and retail sectors.