Bangalore: Mobee, a Boston-based service which reward users for reviewing businesses, is launching out its beta version this week, after getting seed funding of $1.1 million. The round saw participation from LaunchCapital, TiE Angels Boston, Hub Angels, Jit Saxena, Rob Soni, John Simon, Gaugarin Oliver, Prakash Khot and others. Saxena will be joining Mobee’s board.

The startup was founded by Prahar Shah, an MIT graduate and Thibault Le Conte who was a Citrix Engineer at Anetys, and completed his masters computer science degree at U.C. Berkeley. Mobee rewards shoppers for providing relevant feedback about the businesses they visit. Shah got this idea from his own experiences as a mystery shopper.

Mobee uses a concept of “live missions,” where users rate wait times, cleanliness, the helpfulness or friendliness of the staff, in exchange for gift cards and other prizes. The rewards include things like free Dunkin’ Donuts coffee, $5 at Starbucks, $10 on iTunes, $25 on Amazon, $50 at Sephora, as well as the chance to win bigger prizes through a lottery-like system.

“We’re collecting that data and then presenting it to them – saying, we know what stores of yours are lowest in terms of service, or lowest in terms of customer satisfaction. That’s part of the strategy. We think that trying to get customers may take longer than trying to get users” says Shah.

The Mobee app is live now in iTunes, and works in the Boston area only with 5,000 missions in progress at places like Starbucks, Dunkin’ Donuts, McDonalds, and Subway. An Android version is in the making.