US payments firm buys out loyalty marketer
The real-time marketing solutions firm, Ernex Marketing Technologies, is to be sold by its parent company, RBC Financial Group, to the North American payment processing company, Moneris Solutions Corporation.
Ernex, which markets privately branded loyalty programmes, stored-value gift cards, and real-time electronic marketing solutions for merchants, will continue to offer its electronic marketing solutions to businesses in a variety of industries throughout North America. In addition, combining its expertise with the Moneris payment solution, Ernex will be able to bring new benefits to current and future Moneris merchants.
"Our decision to acquire Ernex was based on demand from merchants for this suite of products, our recognition of the value offered by the depth of Ernex's expertise, and the strength of their staff," explained Jim Baumgartner, president and CEO for Moneris.
Expanding operations With its established merchant base, Moneris will now be able to provide opportunities for Ernex to expand its loyalty marketing and stored-value gift card operations. Furthermore, Brad Lambert, senior vice president for RBC, has confirmed that RBC will continue to use Ernex for its Avion and RBC Reward loyalty programmes.
Stored-value (electronic) gift cards and loyalty programmes are increasing in popularity in the consumer's mind, opening up new marketing and revenue opportunities for merchants. Research collected by Moneris as part of its inaugural Report to Merchants (Spring 2003), found that 46% of Canadians reported having used a gift card, and 24% have not yet purchased one but would consider doing so.
"Ernex's established customer base across North America and strong history of creatively using technology to manage and respond to customer transaction information make it a formidable partner," added Baumgartner.