Today, On Me is announcing their $6M seed round. We led the round, with participation from pre-seed investors Lerer Hippeau and focal. 

On Me is modernizing the $447B gift card industry — an industry still dominated by plastic cards and outdated infrastructure — by bringing together e-commerce, fintech, and network-driven design. Here are the three reasons we invested:

1. Proven Demand → Much Bigger Potential

The gift card market is already massive, and the demand is proven. But there is far much more potential to be unlocked with mobile-first infrastructure.

Today,  gift cards are still delivered via email or plastic. Meanwhile, consumer behavior has shifted dramatically. Sixty-five percent of U.S. consumers already use digital wallets, and one in five leave their physical wallet at home.

Digital payments are sticky. And the underlying transaction volume is massive: Proximity mobile payments accounted for $670B in 2024, and are on track to reach more than $1 trillion by 2027. And we believe that this market could grow significantly if the consumer experience is improved – similar to how Uber and Lyft’ new ridesharing market dwarfed the existing taxi industry.

By creating a digital-first platform, OnMe is modernizing the gift card industry, tapping into existing demand, and making the market significantly larger than it was before. 

2. Layers of Network Effects

OnMe’s product inherently has viral effects. But there are multi-layered network effects that will drive long-term defensibility. 

First, the product activates personal networks by curating personalized experiences. The product allows gifters to demonstrate how much they care by embedding video notes, photos, or messages, and prompts users to connect repeatedly (sending thank yous, etc). The gift itself becomes a warm communication loop filled with micro-interactions that drive repeat usage. 

Products that directly connect people who know each other in real life (personal networks), are very defensible, and tend to lend themselves well to viral effects. 

Second, the product taps into vendor networks. 

On Me’s product turns every gift card into a miniature marketplace, with their platform as a routing later. 

For example, instead of giving someone a gift card to a specific coffee shop, On Me customers can give an oat latte to be redeemed at dozens of vendors.

This is a very strong position. Consumers get more choice and discover new merchants – making them more likely to return to the platform. Vendors gain visibility into cross-category behavior and traffic from highly intentful customers. Both sides of the network benefit. 

By sitting at the center of these networks, On Me has a long roadmap of new loop-creating features that expand both sides of the network.

3. The Right Team

At seed, we invest in people above everything. The On Me founders bring the right mix of technical depth, consumer product experience, and market insight.

• Darragh Meaney (CEO) brings experience from Credit Suisse, Google, and YouTube, where he focused on user adoption and behavior.
• Sitar Harel (CTO) brings deep technical experience from Google Maps and Google Photos, building consumer infrastructure at global scale.

Congratulations to the team! 

Try sending a gift through On Me here.