Pace Communications Selects NCR Marketing

Pace Communications has selected the NCR e-mail marketing and preference center modules of the hosted NCR “APTRA eMarketing” to handle multichannel customer communications programs and enhance consumer experience. NCR will help Pace facilitate its custom publishing and e-commerce divisions for Weddings and E-Personalized Gifts brands. In doing so, NCR will help provide a centralized and secure means to run and analyze personalized direct marketing programs to customers via e-mail and other channels. The “APTRA” eMarketing Preference Center works in conjunction with Pace’s business software, CRM system and customer databases, and provides Pace’s customers with a convenient online portal to set their communication preferences. It also enables Pace to deliver real-time, personalized and synchronized messaging across all of its marketing channels, in the way consumers prefer to receive them.


Chase Kicksoff Rewards Holiday Promotion

Chase is deploying its annual “Ultimate Rewards” holiday rewards promotion, offering enhanced rewards to all Chase Freedom, Chase Sapphire, and Ink from Chase cardmembers with “Ultimate Rewards.” With this, cardmembers have access to merchandise redemption discounts, opportunities to earn bonus points, and a Best Buy gift card bonus offer through such options as the “Give a Gift, Get a Free Gift Card” promotion. With this promotion, from November 14 through December 20, cardmembers who participate in Ultimate Rewards and redeem 5,000 points or more in a single transaction will receive a free Best Buy gift card as a bonus – a $10 gift card for 5,000 points or a $25 gift card for 10,000 points. Also, the “Shop ‘N Save on Cyber Monday” promotion, Chase Ultimate Rewards cardmembers who choose to use their reward points to do their holiday shopping on Cyber Monday will save 30% on merchandise redeemed through “Ultimate Rewards” and are eligible for the ‘Give a Gift, Get a Free Gift Card’ promotion. Lastly, the “Eight is Great: Earn 8 Times the Points When You Shop at” promotion gives Chase cardmembers with Ultimate Rewards who do their online holiday shopping between November 26 and November 30 at the “Ultimate Rewards Mall” eight bonus points for every dollar they spend at select merchants.


Credit Manager Index Lunges Near 55 Mark

Breaking the up-and-downs seen in many of the months over the past year, the latest “Credit Managers’ Index” maintained a steady increase for the month of October to 54.9, skyrocketing from 53.8 in September. This is thanks in part to banks being more aggressive thanks to the increase in extended credit with a small jump in the number of credit applications to levels not seen since June- with fewer rejected ones-and promising numbers in both the manufacturing and service sectors. According to the National Association of Credit Management, The amount of credit extended is back to levels previously seen in May, which had already started to improve in September to 60, is now up to 61.9. The overall “Index” has still showed a dramatic decline from the levels in April, since which point it had slipped from 56.5 to the July figure of 53.0 and is still slowly gaining. At any rate, Indicators did gain remarkably since the August figure of 48.1. The number of additional disputes and delinquencies also suggests that some sectors of the economy are still struggling. NACM noted these numbers don’t translate to prosperity, but the trend renews hope for a reasonably strong finish to 2010.

OCT 09: 51.0
NOV 09: 52.3
DEC 09: 52.9
JAN 10: 55.1
FEB 10: 55.2
MAR 10: 55.7
APR 10: 56.5
MAY 10: 55.9
JUN 10: 54.1
JUL 10: 53.0
AUG10: 53.3
SEP 10: 53.8
OCT 10: 54.9


Union Bank Launches mBanking App

Union Bank has launched its “Mobile Business Center” secure m-banking app. Letting customers access accounts and perform treasury management activities on their smartphones, the mobile banking application is available to the bank’s commercial customers at no cost. With this, chief financial executives, treasury management and small business owners can view account balances; approve wire transfers; and scheduling internal transfers. There is no limit to the number of accounts or users who can access the application and fund balances are displayed in all major foreign currencies. It also provides alert notifications on web-enabled mobile devices and access to the Mobile Business Center to take action.


Hypercom Posts Astounding Revenue Up 23.7% Y/Y

Hypercom posted a record 3Q/10 net revenue of $125.1 million, up a staggering 23.7% ($23.9 million) over the year ago figure of $101.2 million. This performance was also up on the 2Q/10 figure of $103.9 million and was thanks mostly to strong growth in Europe by 21.3%; Asia-Pacific by 81.2%; and in the Americas by 7.8%. Meanwhile, gross profit was $40.1 million, compared with the $32.1 million in 2Q/10 and the year ago figure of $33.2 million; operating expenses were $33.1 million, compared to $29.2 million last quarter and $30.5 million in the year ago period; operating income was $7.1 million, compared with $2.9 million in the prior quarter and $2.7 million in 3Q09; and net income was $4.5 million, compared with the last quarter net loss of $1.3 million and net income of $1.2 million in the year ago figure. The quarterly performance is also a reflection of stock gains on the unsolicited Verifone acquisition proposals dated September 24th, 29th and 27th for $5.25 per share in cash for a total of $290 million. Unanimously rejected by the Hypercom Board of Directors, the proposal exploded Hypercom share prices 44%, immediately overvaluing the proposal (CardFlash Library 2010/10/07, 2010/10/08).

3Q/08: $121.1 million
4Q/08: $120.5 million
1Q/09: $ 82.8 million
2Q/09: $106.8 million
3Q/09: $101.2 million
4Q/09: $117.4 million
1Q/10: $ 98.8 million
2Q/10: $103.9 million
3Q/10: $125.1 million
Source: CardData (


CMEx Joins Hurricane Recovery

The Caribbean Media Exchange (CMEx) is assisting Caribbean nations and citizens recover from Hurricane Tomas. CMEx has started an online hurricane emergency relief campaign targeting regional and international travel and tourism industry partners as well as the Caribbean’s populations abroad. Tax-deductible for US taxpayers who itemize their deductions, donations will benefit recovery efforts in nations who request urgent humanitarian assistance, 100% of which-less credit card transaction fees-will be directed to recovery efforts on the ground.


U.S. Bank Offers NACHA’s Alternative Payment

U.S. Bank is set to implement “Secure Vault Payments” (SVP) online payment ACH payment. Giving businesses an online payment option for real-time authorization of funds and guaranteed payments for ACH transactions at costs typically lower than traditional and other alternative payment methods, “SVP” lets users initiate payments on a merchant or biller’s web site. It automatically redirected to their own financial institution’s online banking platform to select which account they wish to use for payment and returns to the merchant or biller’s site, where they receive a payment confirmation. The financial institutions authenticate consumers and provide businesses with real-time authorization and confirmation of payment. Consumers benefit by not having to share any financial account information with the merchant or biller, and billers benefit from not having to securely store payer account information.


Alert Logic Achieves PCI DSS Compliance

Alert Logic log management, intrusion detection and cloud security solutions has completed its Self-Assessment Questionnaire D for Service Providers in compliance with the PCI DSS and is PCI Service Provider Level 2 certified. Alert Logic helps organizations eliminate the burden of PCI compliance management as the security industry’s only cloud-powered vulnerability assessment, intrusion detection and log management solution. Together with a 24×7 Security Operations Center that provides monitoring by certified security analysts as well as redundant data centers, Alert Logic provides organizations with the most affordable and easy means to secure their networks and comply with PCI DSS in ways traditional security solutions cannot.


Discover Offers Cardmembers Orange Bowl Exclusives

Discover Financial Services has introduced its cardmember exclusives at the 2011 Discover Orange Bowl. With this, fans can purchase premium tickets to the game by redeeming Cashback Bonus rewards and the company is offering exclusive experiences for cardmembers who use their Cashback Bonus to purchase tickets. These include a sneak peek at the Orange Bowl half-time entertainment the night before the game; access to the Game Day Fan Zone; admission to the pre-game Discover Tailgate Party featuring food, beverages, entertainment; and special appearances by sports broadcasters and personalities including legendary football coach Bobby Bowden, who incidentally appears in the ad campaign for the promotion. Bowden and ESPN analyst appear in a new series of “Peggy” service rep commercials, which highlight Discover’s award-winning customer service.


TNS Payments Revenue Drops 2.4% Y/Y

TNS data communications services posted total revenue for the 3Q/10 having dropped 6.3% to $131.2 million from the 3Q/09 revenue of $140.1 million. On a constant dollar basis, revenues increased 5.2% to $132.8 million while GAAP net income was $4.0 million compared to the year ago figure of $3.2 million. For the Payments Division alone, revenue dropped 2.4% to $50.0 million from the year ago figure of $51.3 million. Revenue from the European payments business increased 9.5% by $2.4 million thanks to a $2.2 million gains in market share and a $0.3 million increase in card present gateway revenue, partially offset by a reduction of $0.1 million due to the loss of an ATM processing customer. Revenue from the payments business in Asia Pacific increased 9.3% due to an increase of 33% of card not present gateway revenue. Revenue from the payments business in North America decreased 13.6% thanks to a decrease of $2.0 million relating to pricing compression and transaction volume declines related to certain dial customers; $0.8 million from TNS’ ATM software product referred to as SONIC; and a $0.5 million reduction in TNS’ Canadian ATM processing business. Revenues generated outside North America, formerly reported as the International Services Division (ISD), are now incorporated into Payments and Financial Services, respectively.

2Q/09: $122 million
3Q/09: $140 million
4Q/09: $138 million
1Q/10: $130 million
2Q/10: $131 million
3Q/10: $133 million


Open Solutions Platform to Serve Hawaii State FCU

Hawaii State Federal Credit Union has selected Open Solutions’ “DNA” processing platform. Using .NET technology on its open platform, “DNA” implements a universal data model and design with a client-centric processes. It also focuses on enhancing workflow, flexibility and productivity with the centralized “Oracle” relational database for running a service-oriented financial institution to help credit unions streamline both front- and back-office processes. With this, “DNA” creates a centralized view of customers, employees and business partners, which Hawaii State Federal Credit Union will implement in an outsourced environment through Open Solutions’ data center and has developed an institution-wide promotion to create a logo and internal branding campaign. Open Solutions provides integrated enabling technologies for financial service providers throughout the United States, Canada and other international markets.


International Growth Boosts MasterCard Revenue

MasterCard announced financial results for 3Q/10 with a net income of $518 million, compared with the last quarter figure of $458 million, a net revenue of $1.4 billion, flat compared to last quarter. This was thanks in great part to an increase in cross-border volumes of 15.4%, compared with the 15.2% increase seen in the last quarter, and an 8.5% increase in GDV on a local currency basis to $685 billion, compared with 8.5% to $656 billion in 2Q/10. Meanwhile, year-over-year, worldwide purchase volume during the quarter was up 7.9% to $514 billion; the number of processed transactions was up 0.6%; total operating expenses decreased 4.1% to $662 million thanks to a 6.7% reduction in general and administrative expenses; and the operating margin was up 4.2% to 53.6%.

2Q/10 NET REVENUES ($ billions)
2Q/08: $1.24
3Q/08: $1.34
4Q/08: $1.23
1Q/09: $1.16
2Q/09: $1.28
3Q/09: $1.36
4Q/09: $1.30
1Q/10: $1.30
2Q/10: $1.40
3Q/10: $1.40
Source: CardData (