Normally, duplicating a key would require an costly journey to the locksmith, however New York-based KeyMe — which was based in 2012 by Greg Marsh, former director of finance at auto tech firm Aperia Technologies — hopes to change the paradigm with a community of key-scanning kiosks. To this finish, the corporate as we speak introduced that it’s raised $35 million in funding from Brentwood Associates, bringing its complete raised to round $200 million following a $50 million debt financing spherical led by BlackRock final 12 months.
Marsh mentioned the contemporary funds will additional KeyMe’s aim to broaden to 10,000 areas within the coming months as its buyer base grows to greater than 10 million folks. “We’re building a new type of robotics and AI company to challenge the customer experience standards in the $12 billion a year locksmith industry,” he mentioned in a press release. “We are excited to work with the Brentwood team to expand our services to build the most trusted brand in the locksmith industry.”
KeyMe provides key duplication and locksmith companies at over 3,000 areas in retailers throughout 49 states (up from 2,300 areas and 46 states as of April 2019), together with Albertsons, Autozone, Bed Bath & Beyond, Giant Eagle, Ikea, Kmart, Kroger, Menard’s Rite Aid, Sears and Kmart, and 7-Eleven. It claims its know-how is exclusive in its skill to copy the “majority” of workplace, residential, and car transponder and RFID keys in the marketplace in underneath 30 seconds (it helps over 85% of all automotive keys), and in its mobile-first and cloud-based method to digital key scanning and storage. With the KeyMe app for iOS and Android, customers can save, copy, and share keys by way of e mail or textual content, and select from over 100 designs.
Here’s how the kiosks work: Customers insert a key, swipe their fingerprint, and let proprietary laptop imaginative and prescient and machine studying algorithms get to work. The ensuing 3D picture of the important thing’s enamel is used to create a brand new key, which is both routinely minimize on-site or shipped by way of customary mail inside three to 5 days. The entire shebang prices only a fraction of what a supplier or skilled locksmith would possibly cost — about 70% much less on common, or between $20 to $60. And KeyMe claims it has a “single digit percent” error price in contrast with the business’s 15% to 20%.
Above: KeyMe kiosk considered from the entrance.
Some experts say tech like that of KeyMe and rivals MinuteKey and My Key Machine make it too simple to copy digital entry playing cards, enabling criminals to clandestinely acquire entrance to high-security properties. But Marsh and Brentwood Associates associate Eric Reiter assert that KeyMe has mechanisms in place that may suss out key house owners, together with time stamps, safety footage from kiosks, and fee logs.
However, the 2 say that KeyMe solely retains a minimal quantity of identifiable information on prospects — sometimes e mail addresses, key information, and mathematical representations of fingerprints — and that authorized names and mailing addresses are frequently purged after key orders ship. They additionally declare that any information retained is divvied up and saved throughout three bodily locations, which means a malicious actor would have to break into all three methods so as to get hold of it.
“Leveraging incredibly sophisticated technology and delivering a highly differentiated, convenient and satisfying consumer experience, KeyMe is nonpareil in the locksmith industry,” Reiter mentioned. “With a rapidly scaling footprint across the U.S., potential for international growth, and significant additional consumer and home services to come, we are excited to be partnering with such an outstanding team.”
KeyMe’s present traders embody Battery Ventures, Comcast Ventures, Questmark Partners, River Park Ventures, and White Star Capital.