Cherry Tree advises Deluxe Corporation on its acquisition of Destination Rewards
Expands Suite of Customer Lifecycle Offerings for Financial Institutions
Deluxe Corporation (NYSE:DLX) has completed the acquisition of Destination Rewards, a leading customer rewards and loyalty program provider based in Boca Raton, Florida. This acquisition will enhance Deluxe’s suite of Customer Lifecycle Management offerings for financial institutions, which today includes solutions for check program management, customer acquisition including targeting & campaign services, account activation & retention, fraud, security, and risk management services.
Destination Rewards has developed a patented, innovative rewards and loyalty solution that is based upon an expansive merchant network for discounted retail goods and services including hotel rooms, local deals, gift cards and top brand name merchandise. These goods and services are available to end users at significant, exclusive discounts from lowest available retail prices. Since the value to end users comes from these exclusive discounts, Destination Rewards is able to offer its clients a meaningful rewards and loyalty program without the accrued liability that has made such programs prohibitive for many organizations, including financial institutions.
“Financial Institutions are focused on driving revenue and enhancing the customer experience with cost management discipline,” said John Filby, senior vice president of Financial Services for Deluxe. “With Destination Rewards, Deluxe brings to market a solution that makes it easy and affordable for FIs to reward account holders for behaviors that are most valuable, including debit card usage, borrowing, adoption of self-service channels and more.”
Founded in 2001, Destination Rewards has attracted numerous clients to its program including Experian and Humana. “Given their FI channel and commitment to Customer Lifecycle Management, we could not think of a better partner to further extend Destination Rewards into the FI marketplace than Deluxe Corp.,” said Destination Rewards President John Lavin. “We will continue our commitment to being an excellent rewards and loyalty program provider with our longstanding focus on a great end user experience based on tangible value.”
Deluxe purchased Destination Rewards late in December 2013. The acquisition is not expected to have a significant impact on revenue or diluted earnings per share in 2013 or 2014. As such, the Company plans to release additional financial information related to Destination Rewards as part of its announcement of fourth quarter and full year 2013 results later in January.
About Deluxe Corporation
Deluxe is a growth engine for small businesses and financial institutions. More than four million small business customers access Deluxe’s wide range of products and services including customized checks and forms, as well as web-site development and hosting, email marketing, search engine optimization and logo design. For financial institutions, Deluxe offers an expanding suite of customer lifecycle management solutions that include industry-leading check program management, customer acquisition including targeting & campaign services, account activation & retention, fraud, security, and risk management services. Deluxe is also a leading printer of checks and accessories sold directly to consumers. For more information, visit us at www.deluxe.com. (Cherry Tree does not maintain, endorse, or make any representations as to the content accuracy or quality of this website.)
About Destination Rewards
Destination Rewards® is the industry’s most innovative provider of zero liability rewards programs, specializing in loyalty, incentive and engagement solutions. Since inception in 2001, Destination Rewards has helped some of the world’s most successful brands, such as Experian and Humana, drive customer retention and influence behaviors at a fraction of the cost of traditional loyalty and incentive programs. They offer superior technology on a patented, customizable platform that includes a robust array of travel, merchandise, gift cards, premium local coupons, daily deals, auctions, sweepstakes, games and much more. For more information, please visit www.destinationrewards.com.