LevelUp

LevelUp was an American restaurant-technology and mobile-payments brand created by SCVNGR, a Boston-based startup. It began in March 2011 as a daily-deals service, but the company changed direction after roughly three months and concentrated on mobile payments and digital tools for restaurants and other local merchants. Its central proposition was to connect consumers and businesses through a branded mobile application, merchant terminals, customer incentives, and data-driven marketing. The LevelUp application supported iPhone, Android, and Windows Phone devices. Customers linked a debit or credit card to an account and used a unique QR code in the application to pay at participating businesses. Merchants could offer first-visit promotions, store credits, and other incentives designed to encourage repeat visits. In addition to payment processing, LevelUp developed customer relationship management and marketing capabilities, giving restaurants tools to communicate with customers and measure engagement. The service expanded through a network of restaurants, retailers, and local businesses in major United States metropolitan areas. By July 2013, approximately 200,000 users and 3,000 businesses were reported to be using the platform. By October 2014, the network had grown to about 14,000 stores. In May 2017, LevelUp announced that it had raised $50 million and claimed coverage of more than 50,000 locations and over 200 brands. LevelUp broadened its restaurant technology offering in early 2018 with Broadcast. The product enabled restaurant brands to expose menus, ordering, and payment functions through high-traffic third-party services and applications, including Facebook, Messenger, Yelp, Foursquare, Amazon Alexa, and Chase Pay. This reflected a strategy of making restaurant ordering available across multiple consumer touchpoints rather than requiring customers to use a single standalone application. Grubhub announced in July 2018 that it would acquire LevelUp for $390 million. The transaction closed on September 13, 2018. After the acquisition, LevelUp's technology was incorporated into Grubhub's restaurant-facing products. Its capabilities later contributed to Grubhub Direct, a self-service ordering and digital-commerce product launched in 2021. The standalone LevelUp consumer application was discontinued on September 30, 2021, ending the brand's operation as an independent consumer payment service. The LevelUp name therefore became primarily associated with technology integrated into Grubhub's broader restaurant software and ordering ecosystem rather than with a continuing standalone app.

LevelUp was launched in March 2011 by SCVNGR, a Boston-based startup. Its original model was a daily-deals platform, but this approach lasted only about three months. In July 2011, the company repositioned LevelUp around mobile payments for restaurants and local businesses. The platform combined a consumer application with merchant hardware and software. Users registered an account, linked a debit or credit card, and presented a QR code generated by the application at participating merchant terminals. The system enabled card-based payments without requiring consumers to manually enter payment details at each transaction. Participating businesses could also use the platform to issue first-time-visit promotions, reward customers with store credit after qualifying purchases, and develop repeat-visit programs. LevelUp's early growth was concentrated in American metropolitan markets. By July 2013, the service was reported to have roughly 200,000 users and 3,000 participating companies. The merchant base reached approximately 14,000 stores by October 2014. By June 2016, the service was available in or around Boston, Chicago, Washington, D.C., Northern Virginia, Philadelphia, St. Louis, New York City, Atlanta, San Francisco, Dallas, San Diego, Minneapolis, Montgomery, Kansas City, Seattle, and Wilmington, North Carolina. The company increasingly presented LevelUp as more than a payment mechanism. Its merchant tools incorporated loyalty, customer relationship management, marketing, and ordering functions. In May 2017, LevelUp announced $50 million in funding and reported that its technology served more than 50,000 locations and over 200 brands. In early 2018, LevelUp introduced Broadcast, a distribution product for restaurant brands. Broadcast allowed menus, advance ordering, and payments to appear through external consumer platforms and voice or messaging services, including Facebook, Messenger, Yelp, Foursquare, Amazon Alexa, and Chase Pay. The product reflected the company's effort to make restaurant commerce available within existing digital channels. Grubhub announced the acquisition of LevelUp in July 2018 for $390 million. The deal closed on September 13, 2018. Grubhub subsequently integrated LevelUp's technology into its restaurant-facing offerings. This integration included capabilities used in Grubhub Direct, a self-service restaurant ordering product launched in 2021. The standalone LevelUp consumer application was discontinued on September 30, 2021. After that date, LevelUp no longer operated as an independent consumer mobile-payment brand, although elements of its technology continued within Grubhub's product portfolio.

• 2021

  Standalone application discontinued

  [1]LevelUpen.wikipedia.org

  The LevelUp consumer app is discontinued on September 30 after the technology has been integrated into Grubhub products.

• 2018

  Broadcast introduced

  [1]LevelUpen.wikipedia.org

  The company launches Broadcast to connect restaurant menus, ordering, and payment with third-party digital platforms.

• 2018

  Acquired by Grubhub

  [1]LevelUpen.wikipedia.org

  Grubhub agrees to acquire LevelUp for $390 million in July; the transaction closes on September 13.

• 2017

  Funding and network expansion announced

  [1]LevelUpen.wikipedia.org

  LevelUp announces $50 million in funding and reports more than 50,000 locations and over 200 brands.

• 2014

  Merchant network reaches approximately 14,000 stores

  [1]LevelUpen.wikipedia.org

  The platform reports use across about 14,000 stores.

• 2013

  Early user and merchant growth

  [1]LevelUpen.wikipedia.org

  LevelUp reports approximately 200,000 users and 3,000 participating companies.

• 2011

  LevelUp launches

  [1]LevelUpen.wikipedia.org

  SCVNGR launches LevelUp in March as a daily-deals service.

• 2011

  Business model shifts to mobile payments

  [1]LevelUpen.wikipedia.org

  In July, LevelUp moves away from daily deals and focuses on mobile payments.

A restaurant-focused digital commerce platform combining mobile payments, ordering, loyalty incentives, and customer relationship management.

• Mobile payment application · 2011

  LevelUp mobile application

  The consumer-facing application for iPhone, Android, and Windows Phone stored a linked debit or credit card and generated a unique QR code for payment at participating merchant terminals. It also supported merchant promotions, first-visit offers, and store-credit rewards. The standalone application was discontinued on September 30, 2021.

• Restaurant payment and CRM software · 2011

  LevelUp merchant platform

  The merchant platform combined QR-code payment acceptance with loyalty, customer relationship management, promotional offers, and engagement tools. It was designed for restaurants and local businesses seeking to manage digital transactions and encourage repeat purchasing.

• Restaurant ordering distribution · 2018

  Broadcast

  Broadcast enabled restaurant brands to publish live menus and offer advance ordering and payment through high-traffic external applications and services. Its supported distribution channels included Facebook, Messenger, Yelp, Foursquare, Amazon Alexa, and Chase Pay.

• 2021

  Retirement of standalone consumer appStrategy

  Background

  Following its acquisition, LevelUp's technology was being incorporated into Grubhub's broader restaurant software products.

  Action taken

  The standalone LevelUp application was discontinued on September 30, 2021.

  Aftermath

  The LevelUp brand ceased operating as an independent consumer mobile-payment service, while elements of its technology continued within Grubhub offerings.

  Source

• 2018

  Grubhub acquisitionM&A

  Background

  LevelUp had developed a restaurant-focused payment, ordering, and customer-engagement platform.

  Action taken

  Grubhub announced a $390 million acquisition in July 2018, and the transaction closed on September 13.

  Aftermath

  LevelUp technology was integrated into Grubhub's restaurant-facing products rather than continuing solely as an independent platform.

  Acquisition consideration. $390 million (Announced July 2018; transaction closed September 13, 2018)

  Source

• 2011

  Shift from daily deals to mobile paymentsStrategy

  Background

  LevelUp initially operated as a daily-deals platform after its March launch.

  Action taken

  In July, the company abandoned the daily-deals focus and concentrated on facilitating mobile payments for local businesses.

  Aftermath

  The repositioning established the payment, loyalty, and restaurant-technology model that defined LevelUp's subsequent development.

  Source

• 2021

  LevelUp technology contributes to Grubhub Direct[1]LevelUpen.wikipedia.org

  Product launch · M&A

  Following the acquisition, LevelUp technology was incorporated into Grubhub's restaurant-facing products, including Grubhub Direct.

• 2021

  Standalone LevelUp consumer app discontinued[1]LevelUpen.wikipedia.org

  Other

  The LevelUp application ceased to be available on September 30, 2021, ending the standalone consumer service.

• 2018

  LevelUp launches Broadcast for restaurant ordering and marketing[1]LevelUpen.wikipedia.org

  Product launch

  Broadcast allowed restaurant brands to distribute live menus, ordering, and payment experiences through services such as Facebook, Yelp, Foursquare, Amazon Alexa, and Chase Pay.

• 2018

  Grubhub announces acquisition of LevelUp[1]LevelUpen.wikipedia.org

  M&A

  Grubhub announced an agreement to acquire LevelUp for $390 million in July 2018; the transaction closed on September 13.

• 2017

  LevelUp announces $50 million funding and expanded merchant reach[1]LevelUpen.wikipedia.org

  Other

  LevelUp announced a $50 million funding round and reported more than 50,000 locations and over 200 restaurant brands on its platform.

• 2014

  LevelUp reports approximately 14,000 participating stores[1]LevelUpen.wikipedia.org

  Other

  The merchant network had expanded to about 14,000 stores by October 2014.

• 2013

  LevelUp reports expansion to approximately 200,000 users and 3,000 businesses[1]LevelUpen.wikipedia.org

  Other

  The platform reported substantial early adoption among consumers and participating companies.

• 2011

  LevelUp changes focus from daily deals to mobile payments[1]LevelUpen.wikipedia.org

  Other

  After launching as a daily-deals service in March, LevelUp shifted its business toward mobile payments in July.

1. 1LevelUpen.wikipedia.org