Edgar, Dunn Hires Gallagher

Edgar, Dunn & Company has hired Hugh Gallagher, formerly VP/GM at eFunds, as engagement manager to the company’s Atlanta office. Mr. Gallagher’s new responsibilities will focus on providing strategic planning and financial advisory services to the firm’s financial services clients, with a particular focus on payment products. Before joining EDC, Mr. Gallagher served as vice president and general manager at eFunds Corporation, where he managed the profitability and revenue growth of the payments business for this multimillion-dollar transaction processing and risk management services firm.

Details

Holiday Spending to Average $1500 With 75% on Payment Cards

Canadians are expected to spend an average of $1,500 this year buying gifts, decorations, food and other holiday-related goods. A survey for Moneris Solutions by Ipsos-Reid shows that Canadians will spend an average of $761 on gifts and an average of $724 on other holiday-related spending such as clothing, travel and decorations. Almost three quarters of the survey’s respondents
selected debit or credit card as the payment form they will use most often when shopping this season. Three in ten Canadians prefer using credit card and 26% prefer cash. Almost half of all women say debit cards are their first choice for holiday shopping payment options, compared to 38% of men, while almost one-third of men prefer credit cards, compared to only 28% of women. Other survey findings: 58% say “they don’t set a budget and spend as they go”; and 38% of Canadians say they are last-minute shoppers.

Details

Trans Union Expands Direct Marketing Capabilities

TransUnion has acquired Chicago-based direct marketing solutions provider Douglas-Danielle, in a move to aggressively enter direct marketing. TransUnion says it will immediately integrate Douglas-Danielle’s suite of self-service response solutions into its existing set of direct marketing solutions. Called “SMARTSites,” these Web-based, campaign-specific, response tools address the areas of account acquisition, card/account reactivation, usage, balance transfer, collection disputes and fraud prevention. TransUnion will also incorporate Douglas-Danielle’s agency services, which include marketing functions such as program planning, creative, data and media along with program management, into its operations. Douglas-Danielle was founded in 1998 and has 48 employees.

Details

ICBA Bancard Names David Hayes as Chairman

ICBA Bancard has elected David Hayes, president and CEO of Security Bank in Dyersburg, TN as chairman, and has elected new directors, including Stephen Stenehjem and Kerby Crowell. Additionally, Ken F. Parsons Sr., chairman of Venture Bank in Lacey, Wash., was re-elected as director of the Western region; Charles L. Saeman, president and COO of State Bank of Cross Plains in Cross Plains, Wis., as director of the Midwest region; Ronald F. Miller, chairman, president and CEO of Shenandoah Valley National Bank in Winchester, Va., as director of the Northeast region; and C.R. “Rusty” Cloutier, president and CEO of MidSouth Bank, N.A. in Lafayette, La., as director of the Southeast region.

Details

VeriFone Snags Former Hypercom Sales SVP

VeriFone has hired Tom Veasey, an eleven-year veteran of Hypercom and its SVP of Sales, to join its North America sales team. At Hypercom, Veasey was primarily responsible for US processor sales, counting American Express, Concord EFS, First Data, Nova, and Vital among his customers. Verifone is recognized worldwide as the trusted leader in secure electronic payment technologies, provides expertise, solutions and services for today with a smart migration strategy for tomorrow.

Details

Digital Insight Completes Magnet Deal

Digital Insight has completed the acquisition of Magnet Communications for 1.45 million shares of its stock and $33.5 million in cash. Digital Insight announced its agreement to acquire Magnet on October 23, 2003. As previously announced, the acquisition is expected to be neutral to slightly accretive to non-GAAP pro forma earnings per share in 2004, excluding non-cash charges to amortize certain acquired intangible assets. The Magnet acquisition is not expected to have a material impact on Digital Insight’s previous guidance for non-GAAP pro forma earnings per share for the fourth quarter ending December 31, 2003.

Details

National Bread Maker Joins the Gift Card Craze

Comdata’s Stored Value Systems and SLC-based Gift Card Solutions have jointly signed Panera Bread to a contract to issue a private-label cash card. The St. Louis-based bakery-cafe operator will offer the new card in its 558 stores in 35 states. There are 149 company-owned and 409 franchised bakery cafes in its nationwide business. Panera has had a long-standing business relationship with GCS, as one of its first gift check clients before migrating to electronic cash cards through the SVS / GCS partnership. Comdata is a wholly owned subsidiary of Ceridian Corporation. Gift Card Solutions is a minority-owned marketing partner of Stored Value Systems.

Details

VISA Retail Volume Up 9% in the First Holiday Shopping Week

VISA USA reported this morning that retail spending on VISA cards last week was up 9% over the same period in 2002. VISA data show that spending in discount stores was up nearly 12%, while department store spending was up about 5% during the pre-Thanksgiving week. Total VISA volume for the week was up 14% to more than $19.4 billion. Debit card retail spending was $2.5 billion for the week, an 18% jump over the same year-ago period. Credit card retail spending was up 5% to $4.8 billion. VISA noted that the peak shopping day was Friday, November 21st with VISA volume topping $3.1 billion. The first week of the 2003 holiday shopping season also marked a surge in online shopping compared with the same week last year. VISA says spending in the E-commerce channel was up 49% to more than $1.5 billion. The average ticket price of each online purchase was $75.09 versus $66.59 last year.

Details

Planet Payment and Fifth Third Team for Currency Conversion

NY-based Planet Payment and Fifth Third Bank Processing Solutions have partnered to offer dynamic, currency conversion services to Fifth Third’s merchant customers, particularly those in the retail, hospitality and e-commerce sectors, by the start of the second quarter of next year. It is anticipated that the currency conversion service will be available towards the end of the first quarter 2004. Fifth Third Bank Processing Solutions’ new currency conversion service identifies a transaction from a merchant’s foreign customer and displays the transaction in the customer’s local currency before the customer has completed the transaction. Planet Payment has become a market leader in the burgeoning new field of POS, or “dynamic”, currency conversion, a service in which a credit card transaction is converted from the currency in which the merchant offers its goods into the currency in which the customers’ credit card is billed at the time of sale. Fifth Third Bank Processing Solutions is one of the nation’s largest providers of credit, debit, EBT, ACH and check acceptance services.

Details

JCB Adopts 3-D Secure, Rolls-Out J/Secure

As “Verified by VISA” and “MasterCard SecureCode” slowly gain acceptance by cardholders, JCB has launched its own Internet authentication program. JCB’s new ” J/Secure,” is compliant with the “3-D Secure” protocol and, like other authentication schemes, adds a password identification step to the traditional online shopping process. JCB says several vendors are already prepared to provide “J/Secure” software and many others are developing “J/Secure” solutions that will be subject to testing by JCB. Currently, JCB’s merchant network includes nearly 11 million merchants with cards issued in 18 countries. There are 48.4 million JCB cardholders worldwide. VISA said Monday that its “Verified by VISA” Internet authentication service, which is also based on “3-D Secure,” has been adopted by more than 8,000 VISA payment card issuers from around the world. More than 100 vendors currently support “Verified by VISA” today and 40 have passed VISA’s 3-D compliance test program and can offer 3-D compliant solutions to merchants and issuers around the world. MasterCard’s “SecureCode” program has signed up 2,511 card issuers and 123 acquirers worldwide to-date. More than 9,000 merchants worldwide are now participating in the program. Additionally, MasterCard has signed “SecureCode” agreements with 115 technology vendors to license the specification for integration with pre-existing security solutions or for standalone applications.

Details