Mogl Rewards program, which once boasted a large list of participating restaurants and a loyal user base, has announced that it will cease all operations this coming December. Users have until then to ensure their primary linked credit card is valid to claim any remaining rewards balances. This marks the end of a company that once aimed to revolutionize the way consumers earned rewards while dining out, and later, to track online-to-offline commerce for retailers beyond restaurants.
Founded in 2011 by Jon Carder, a well-known San Diego entrepreneur, Mogl started with a simple yet innovative idea: to offer cashback rewards to diners by linking their credit cards to the platform, automatically earning rewards when they ate at participating restaurants. The service quickly gained popularity, with over 400 restaurants in San Diego joining the program by 2015. Mogl attracted $35 million in funding from investors such as Aequitas Capital, Sigma West, and Sysco Ventures, and employed around 70 people during its peak. But as competition in the dining rewards and online offer spaces grew, Mogl began to struggle, and its once-strong restaurant base began to dwindle.
In 2015, Mogl attempted a significant pivot, expanding its platform to include gas stations, grocery stores, spas, and other retail businesses. The new business unit, Mogl Network, aimed to track whether online offers led to offline purchases - a goal described by CEO Jon Carder as "the Holy Grail of the Internet." Mogl Network leveraged real-time data access from major credit card companies such as Visa, MasterCard, and American Express, enabling the platform to track when a customer made a purchase within minutes of receiving an offer.
Despite the ambitious expansion into new sectors, Mogl's pivot failed to gain lasting traction. While the company continued to beta test the technology with about 30 firms and raised an additional $8 million in funding to support this initiative, Mogl was unable to overcome the competition from larger loyalty programs and emerging technologies like in-store Bluetooth beacons. These more robust and widespread offerings overshadowed Mogl's card-linked rewards platform, leaving it struggling to maintain relevance.
By the late 2010s, Mogl's restaurant network had significantly decreased, and its expansion plans for other industries never reached the scale it had hoped. The rise of more sophisticated digital marketing and e-commerce tracking tools further diminished Mogl's presence in the marketplace. Although the company managed to secure partnerships with key players early on, it wasn't enough to sustain long-term growth, particularly as more advanced loyalty programs emerged in a crowded field.
Now, as Mogl prepares to close its doors for good, users have been notified to ensure that their linked credit cards are up-to-date to receive any remaining rewards before the platform ceases operations on December 3, 2024. After this date, Mogl users will have up to 90 days to claim any final rewards, provided their credit cards remain valid.
Mogl's shutdown is a reflection of the challenges faced by startups in the rapidly evolving tech and loyalty rewards sectors. What began as a promising, innovative solution for restaurants and consumers alike eventually succumbed to competition and an inability to scale beyond its initial market. Despite its eventual decline, Mogl leaves behind a legacy as one of San Diego’s early tech innovators, having paved the way for modern loyalty programs while highlighting the difficulties of sustaining growth in a crowded marketplace.
Mogl is headquartered at 9645 Scranton Road, Suite 110, in San Diego's Sorrento Valley. For more information, visit mogl.com.
Despite the ambitious expansion into new sectors, Mogl's pivot failed to gain lasting traction. While the company continued to beta test the technology with about 30 firms and raised an additional $8 million in funding to support this initiative, Mogl was unable to overcome the competition from larger loyalty programs and emerging technologies like in-store Bluetooth beacons. These more robust and widespread offerings overshadowed Mogl's card-linked rewards platform, leaving it struggling to maintain relevance.
By the late 2010s, Mogl's restaurant network had significantly decreased, and its expansion plans for other industries never reached the scale it had hoped. The rise of more sophisticated digital marketing and e-commerce tracking tools further diminished Mogl's presence in the marketplace. Although the company managed to secure partnerships with key players early on, it wasn't enough to sustain long-term growth, particularly as more advanced loyalty programs emerged in a crowded field.
Now, as Mogl prepares to close its doors for good, users have been notified to ensure that their linked credit cards are up-to-date to receive any remaining rewards before the platform ceases operations on December 3, 2024. After this date, Mogl users will have up to 90 days to claim any final rewards, provided their credit cards remain valid.
Mogl's shutdown is a reflection of the challenges faced by startups in the rapidly evolving tech and loyalty rewards sectors. What began as a promising, innovative solution for restaurants and consumers alike eventually succumbed to competition and an inability to scale beyond its initial market. Despite its eventual decline, Mogl leaves behind a legacy as one of San Diego’s early tech innovators, having paved the way for modern loyalty programs while highlighting the difficulties of sustaining growth in a crowded marketplace.
Mogl is headquartered at 9645 Scranton Road, Suite 110, in San Diego's Sorrento Valley. For more information, visit mogl.com.
Originally published on September 27, 2024.