Lantern, founded by Andrew Lissimore, originated from his efforts to enhance customer loyalty for his audio apparel site, Headphones.com. Frustrated with traditional customer acquisition methods, Lissimore sought a more effective way to retain existing customers. He developed a loyalty program that integrates seamlessly with Shopify, allowing vendors to reward customers for diverse activities, such as participating in forums. After implementing Lantern, Headphones.com saw a notable increase in repeat purchase rates, from 30% to 50%, and a reduction in the time between purchases from 198 days to 98 days. The startup has since attracted clients like skincare brand Counter and footwear company Vessi, raising $3.1 million in seed funding to further enhance its offerings. Lantern aims to leverage AI for insights and recommendations on customer retention, setting itself apart from competitors like LoyaltyLion and Yotpo.