Magic Raises $10M to Expand AI Platform for Hospitality

Magic has raised $10 million in seed funding led by Lerer Hippeau, with participation from Bling Capital, Floodgate, and hospitality groups Major Food Group and VCR Group, announced in a press release. The company is emerging from stealth after developing Loyalist, an AI-powered CRM platform used by hundreds of restaurants including Major Food Group, Momofuku, Le Bernardin, COTE, and The Dinex Group.

Loyalist integrates systems such as reservations, point-of-sale, and event management into a unified CRM that provides real-time marketing, review management, and reporting tools. The platform also offers personalized insights, like guests’ seating preferences or menu favorites, to help restaurants deliver tailored experiences at scale.

The system currently supports tens of millions of guest interactions annually, representing over $2 billion in guest spending. Revenue has grown more than tenfold in the past year, according to the company. The new funding will be used to expand the team and develop additional AI products for other sectors such as hotels, retail, real estate, and wellness.

Based in New York, Magic builds AI tools that bring personalization to real-world experiences, starting with the hospitality industry.