Magazine Article | October 1, 2004

SVS, ProfitPoint Offer Gift Card Solution For Small Retailers

Source: Innovative Retail Technologies
Integrated Solutions For Retailers, October 2004

(Franklin, TN) – Stored Value Systems (SVS), Inc., a wholly owned subsidiary of Brentwood, TN-based Comdata Corporation, recently announced the acquisition of a minority interest in Franklin, TN-based ProfitPoint, Inc. Founded in 2003 by CEO Vaden Landers and his partners, ProfitPoint provides integrated gift card and loyalty programs for small and midsize retailers and restaurants.

While SVS has an established position in the tier-one gift card space, Landers recently said that SVS' financial commitment to his company reflects Comdata's interest in penetrating the high-growth small and midsize market segment. ProfitPoint's primary products are loyalty and gift card programs designed to increase customer traffic, generate incremental sales, encourage repeat business, and reduce the risk of shrinkage and exposure to fraud.

ProfitPoint also has field offices in Atlanta; Philadelphia; and Knoxville, TN. Landers explained that ProfitPoint has Baltimore, St. Louis, Cleveland, Chicago, and other major metropolitan markets in its expansion plans.

Landers said two advantages small retailers (fewer than 20 stores) gain by choosing ProfitPoint to choreograph their gift card and loyalty program are speed to market and return on investment. "We can conceivably get a retailer up and running on our solution in as little as two weeks, and we can conservatively predict that for every dollar they spend on our service (which starts at $79 per month, with no transaction fees) the retailer will earn five back," he says.

Studies from many sources indicate that gift cards already sit atop the wish list of consumers in most demographics. Offerings like that offered by ProfitPoint eliminate at least a few barriers to entry for small retailers, and with a short implementation cycle, a phone call today could have you selling gift cards by the holidays.