Remitly, a popular online global remittance service, has announced that it closed a $12.5 million funding round. One of the investors was DFJ which led the round with participation from DN Capital and existing investors QED Investors and Trilogy Equity Partners. Remitly will use the fresh funds to expand its team, scale marketing efforts, and broaden the service to include new countries.
While the global economy becomes more integrated through technology, international money transfers remain antiquated. There are more than 200 million people who live abroad and send money home. These customers use remittance services that are often riddled with high and hidden fees, a poor user experience, and limited mobile and web options. On average, companies charge customers a 7.9% fee to send money internationally. Remitly, by contrast, only charges 2% on average. Since inception, Remitly's highest priority has been creating the best possible customer experience. The company offers among the industry's most competitive foreign exchange rates, is upfront about rates and fees with customers and offers easy to use mobile applications.
Remitly is dramatically changing the way people send money internationally through its simple and affordable mobile-first platform. Since launching in 2012, the company has taken careful steps to build the fastest and most reliable product for customers, reaching widespread adoption in the targeted corridors of the Philippines and India. Remitly continues to enhance speed, reliability and usability by adding innovative features to its mobile apps and online services. As a result, the company has earned best-in-class customer satisfaction scores. Remitly was one of the first mobile payments companies to implement Apple's Touch ID for iOS users, and gives Android users the ability to review foreign exchange rates in real time by simply adding a widget to their home screen.
Remitly's efforts to build the best possible product have paid off: in 2014, the Remitly customer base grew 400% year-over-year and customers are now sending more than $100 million a year using Remitly.