PayPoint announces £6.6m investment in Snappy Group
PayPoint has today announced a £6.6m investment in the Snappy Group home delivery business. The deal will see PayPoint acquire a stake in the firm with PayPoint Group’s CEO, Nick Wiles, taking a seat on the Snappy Group board.
The investment follows the announcement last month of a partnership between the two brands, in which PayPoint One EPOS customers will be given access to the Snappy Shopper platform, and with it the ability to offer home delivery and click-and-collect options to local shoppers.
Consumer demand for local home delivery has exploded over the past 18 months with the Covid-19 pandemic accelerating growth and businesses across the UK needing tech-driven, cost-effective digital solutions to service their local communities.
The appetite for shopping local is showing no signs of slowing, with PayPoint research conducted earlier in the year confirming that two in three people said their local convenience store has become more important to them over the past 12 months and over a quarter will continue to do more local shopping as restrictions ease.
This commercial agreement, signed this week, is a firm commitment from PayPoint to offer more added value services and growth opportunities to its convenience retail partners and to help them expand the reach of their stores to more customers in their local communities.
Nick Wiles, Chief Executive of PayPoint, said: “We’re delighted to be investing into the Snappy Group business, building on the partnership that we announced recently to integrate their home delivery and click and collect technology with our own. This investment will enable PayPoint and our network of convenience retailer partners to remain at the forefront of retail and consumer trends.”
Mike Callachan, Co-founder of the Snappy Group, added: “Demand for the fundraise exceeded our expectations and we are pleased to have attracted such high-profile investors. Post lockdown the demand for home delivery and the desire to shop locally is greater than ever, but the increasing number of anonymous dark stores is a threat to local businesses and communities, which must not be underestimated. We are well placed to empower local business to offer another great service to their customers, and better compete in this fast-changing retail market.”