Executive Summary In his thought provoking book, The Loyalty Effect, author Frederick F. Reichheld writes "Loyalty is one of the great engines of business success" It is true, on one level, that loyalty has become a distinct business strategy, a cost-efficient way for retail and service merchants, large and small, to collect on-going and increased revenues from a core of their regular customers. However, on another level loyalty is much more than a business strategy, it is a continual, two-way relationship based on trust, respect and commitment. Loyalty Marketing is defined by the ability to know your customers in order to market to each segment differently according to their relative profitability. Effective Loyalty Programs generate incremental spending - more dollars spent, more frequently, from customers whose needs are understood and met. Loyalty is about influencing a consumer's purchasing behavior, and that behavior is managed and measured by attributes like frequency, recency, and value. Because the Global Loyalty X-Change loyalty model is about managing a wide range of consumer transactions that both support and create transaction-based behavior, the technology platform has been designed to service more than just points only” products. For example, beyond merely recording points and posting them to an account it is possible to provide the consumer with an instant reward by way of immediately computed, program-specific discounts or redemption of existing points to be applied toward a purchase. The system will support traditional and enhanced forms of stored-value and gift card transactions. Targeted marketing is possible through facilities such as instant messaging, immediate-use coupons, special promotions, and instant-win prizes. All of these can be designed around specific frequency, recency, and value profiles of customer attributes, organized and responded to in real-time at the GLX Host. To aid consumer convenience it is possible to allow "consolidation" of multiple cards into a single multi-use card, or even in applicable programs to allow the consumer to "combine" the credit card transaction with the loyalty transaction in a single card-swipe. Also, transactions in support of the very large population of non-banked” people with money transfers, debit purchases, and payment services can be coupled with loyalty programs and targeted to any number of specialty” markets that exist globally. And there is significant ability for many of these different products to crossover and be combined with others, forming a truly unique set of program offerings when set against the background of today's competitive offerings. Global Loyalty X-Change is a leading provider of turnkey, real-time smartcard and mag-stripe enabled Loyalty and Giftcard value added solutions. The GLX suite of applications has proven to attract new customers while increasing the lifetime value of existing ones. GLX brings the most advanced state of the art host and terminal based applications together for the first time from a single source (terminal), to enable merchants the flexibility to adapt their programs as market conditions dictate. The GLX management philosophy reflects a vision, a passion, and a commitment to innovation and excellence in the design and implementation of its Relationship Marketing Programs. GLX provides powerful, best of class resources, best of breed applications and technologies combined with highly specialized expertise and knowledge to the relationship between our clients, strategic partners, merchants and cardholders. Global Loyalty X-Change provides a valuable service and unique tools to merchants, media companies, and their consumers by providing an open platform that brings merchants and consumers together on an opt-in basis where the rules are defined by the participants, not dictated by the program operator. Merchants choose their own way of setting the benefits of the program, while consumers receive points or instant discounts for items they wish. Merchants get additional customers and media companies can offer value to their advertisers and audiences. The Global Electronic Marketplace- "Permission Based" Marketing The evolution of technology on a global basis is astounding, and the future is sure to bring even more technological innovations. Communication is almost instantaneous through a host of telecommunication protocols (VOIP, RFID), satellites, fiber optics and the worldwide web. In a few short years, computers have migrated from mainframes to laptops and hand-helds. Now, we look forward to a future that will bring a wealth of technological innovations designed to make our lives easier. The opportunities afforded by the global electronic marketplace have triggered a technological evolution with powerful implications. The electronic marketplace is supported by any electronic platform on which businesses, governments and customers can interact. Global malls and business sites will be available to anyone with access to the technology. In fact, online marketing is the most rapidly growing delivery channel today, and users cross an increasing number of industry lines. In this electronic era, businesses can target their communications to make an emotional connection with their customers, one person at a time. Consumers will retain control of how they interact with the system. In the future, businesses will buy less time trying to reach customers, because customers will spend time to get the information or make the purchases they want. The electronic marketplace is transforming the way the world retrieves information, sells, works and plays. This new electronic world transcends both time and space. Physical location will become less and less important, and point-of-sale will increasingly become point-of-interaction. Technology will allow businesses to develop virtual personal relationships with consumers, meeting their needs based on their unique preferences. A new generation of marketing has arrived. Businesses need to begin incorporating electronic channels into their marketing. This is not a passing trend; it is a permanent shift in the way business and marketing will be conducted. In this new electronic world, the choices for businesses and consumers are virtually unlimited, and we will all benefit from exciting new ways to conduct business and run our lives. Global Loyalty X-Change is at the forefront of this shift, designing its technology and program offerings to best position itself in a market, that up until now has been vastly under-serviced. See Aso: Company Bios | Letters of Reference |
