Magic, a company building AI for real-world experiences, is announcing $10 million in seed funding led by venture capital firm Lerer Hippeau, with participation from Bling Capital, Floodgate, and industry strategics Major Food Group and VCR Group, Gary Vaynerchuk and David Rodolitz’s hospitality group.
Magic is emerging from stealth after building Loyalist, an agentic CRM platform used by hundreds of restaurants including Major Food Group, Momofuku, Le Bernardin, COTE, and Daniel Boulud’s The Dinex Group.
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While AI has supercharged productivity for people who work behind screens like engineers, lawyers, and analysts, it has largely left behind the largest employer sector in the world – the service industry.
Magic is changing that.
“Every aspect of our digital lives has been personalized by AI from how we shop to consume content, but when you walk into a restaurant, hotel, a retail store, the experiences still feel generic,” said Maggie Tang, Founder and CEO of Magic. “The next chapter of AI will happen beyond the chat window – in the real world.”
Magic’s first product, Loyalist, streamlines a restaurant’s existing tech stack: reservations, point-of-sale systems, private event platforms, and social media into a single real-time CRM for marketing, review management, reporting, and more. The platform also surfaces actionable insights that help operators deliver personalized moments at scale like knowing a guest’s favorite booth, remembering they love chocolate cake, or sending them a targeted invite to a wine dinner that matches their preferences.
“One of the things that makes our restaurants special is our deeply personal relationships with our top regulars and friends. Loyalist allows us to scale that personal relationship with every guest who dines with us,” says Mario Carbone, chef and co-founder of Major Food Group, the luxury hospitality brand behind CARBONE, Torrisi Bar & Restaurant, Sadelle’s, ZZ’s Club and more.
“Loyalist is building technology that actually understands the human side of our industry, helping operators connect, anticipate, and engage in ways that feel personal at scale,” says David Rodolitz, co-owner and CEO of VCR Group.
Loyalist already powers tens of millions of guest interactions annually across hundreds of restaurants, representing over $2 billion in guest spend, with revenue growing more than 10x in the past year. The company plans to use the new funding to expand its team and build additional AI-powered products across hospitality verticals, including hotels, retail, real estate, wellness, and more.
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