AllianceData
Encyclopedia
Alliance Data is a publicly traded, leading provider of loyalty and marketing solution
s (such as private label
credit cards, coalition loyalty programs, and direct marketing
services) derived from the capture and analysis of transaction-rich data that provides insight into how and why consumers make certain purchases.
's credit card processing unit and The Limited's credit card bank operation, named World Financial Network National Bank.
In August 1998 Alliance Data acquired LoyaltyOne
, then-branded The Loyalty Group Canada, for $250 million. The deal gave Alliance Data two valuable business enhancements, Canada's Air Miles Rewards Program and the company behind the popular Air Miles program, LoyaltyOne.
On May 17, 2007, Alliance Data and The Blackstone Group (a private equity firm) announced plans for Alliance Data to be acquired by The Blackstone Group. In April 2008, Alliance Data terminated the merger agreement with Blackstone Affiliates.
Ed Heffernan was promoted to president and CEO of Alliance Data in February 2009, after being with the company since 1998.
Five businesses make up LoyaltyOne
: AIR MILES
Reward Program, in which approximately 2/3 of Canadian households participate in the national program; Colloquy; LoyaltyOne Consulting; Precima; and Direct Antidote.
Hewitt Associates
named LoyaltyOne in their "2010 List of the 50 Best Employers in Canada."
Ad Age ranked Epsilon among their top marketing services firms and direct marketing agencies list for several years: in 2006, 2007, 2008, 2009 and 2010. It sends billions of email ads every year.
On March 30, 2011, Epsilon detected unauthorized access to its email database, resulting in the theft of consumers' names and email addresses. No credit card information was obtained. These customers were on banks' and retailers' mailing lists.
Due to the volume of intrusions and information theft incidents in the spring of 2011, which involved Epsilon, Sony, EMC Corp., Citigroup, and others,the House Subcommittee on Commerce, Manufacturing, and Trade, chaired by Rep. Mary Bono Mack (CA-45), approved legislation on July 20, 2011, designed to protect American consumers from cyber attacks and identity theft. The Secure and Fortify Electronic Data Act (SAFE Data Act), authored by Chairman Bono Mack, was authored with the goal of enhancing protection of personal information by establishing uniform national standards for data security and data breach notification. The bill now moves to the full Energy and Commerce Committee for consideration.
Solution
In chemistry, a solution is a homogeneous mixture composed of only one phase. In such a mixture, a solute is dissolved in another substance, known as a solvent. The solvent does the dissolving.- Types of solutions :...
s (such as private label
Private label
Private label products or services are typically those manufactured or provided by one company for offer under another company's brand. Private label goods and services are available in a wide range of industries from food to cosmetics to web hosting...
credit cards, coalition loyalty programs, and direct marketing
Direct marketing
Direct marketing is a channel-agnostic form of advertising that allows businesses and nonprofits to communicate straight to the customer, with advertising techniques such as mobile messaging, email, interactive consumer websites, online display ads, fliers, catalog distribution, promotional...
services) derived from the capture and analysis of transaction-rich data that provides insight into how and why consumers make certain purchases.
History
Alliance Data was formed from the December 2, 1996 merger of two entities: J.C. PenneyJ.C. Penney
J. C. Penney Company, Inc. is a chain of American mid-range department stores based in Plano, Texas, a suburb north of Dallas. The company operates 1,107 department stores in all 50 U.S. states and Puerto Rico. JCPenney also operates catalog sales merchant offices nationwide in many...
's credit card processing unit and The Limited's credit card bank operation, named World Financial Network National Bank.
In August 1998 Alliance Data acquired LoyaltyOne
LoyaltyOne
LoyaltyOne, Inc. is a North American company that works with brands in retail, financial services, grocery, petroleum retail, travel, and hospitality industries to change consumer behavior and create customer loyalty programs....
, then-branded The Loyalty Group Canada, for $250 million. The deal gave Alliance Data two valuable business enhancements, Canada's Air Miles Rewards Program and the company behind the popular Air Miles program, LoyaltyOne.
On May 17, 2007, Alliance Data and The Blackstone Group (a private equity firm) announced plans for Alliance Data to be acquired by The Blackstone Group. In April 2008, Alliance Data terminated the merger agreement with Blackstone Affiliates.
Ed Heffernan was promoted to president and CEO of Alliance Data in February 2009, after being with the company since 1998.
Alliance Data Retail Services
Retail Services is a provider of integrated credit and marketing services including private label, co-brand and commercial credit card programs.LoyaltyOne
LoyaltyOne, located in Canada, provides loyalty marketing programs for North American brands in the retail, financial services, grocery, petroleum, retail, travel, and hospitality industries.Five businesses make up LoyaltyOne
LoyaltyOne
LoyaltyOne, Inc. is a North American company that works with brands in retail, financial services, grocery, petroleum retail, travel, and hospitality industries to change consumer behavior and create customer loyalty programs....
: AIR MILES
Air Miles
Air Miles is the name of separately operated loyalty programs in Canada, the United Kingdom, Spain , the Netherlands and the Middle East, through which points are earned on purchases at participating merchants.-History:...
Reward Program, in which approximately 2/3 of Canadian households participate in the national program; Colloquy; LoyaltyOne Consulting; Precima; and Direct Antidote.
Hewitt Associates
Hewitt Associates
Hewitt Associates , based in Lincolnshire, Illinois, United States was a global human resources outsourcing and consulting firm delivering a complete range of integrated services to help companies manage their total HR and employee costs, enhance HR services, and improve their workforces.Hewitt...
named LoyaltyOne in their "2010 List of the 50 Best Employers in Canada."
Epsilon
Epsilon provides a broad range of loyalty marketing services spanning database marketing, direct mail, email marketing, Web development, loyalty programs, analytics, data services, and strategic consulting, among others.Ad Age ranked Epsilon among their top marketing services firms and direct marketing agencies list for several years: in 2006, 2007, 2008, 2009 and 2010. It sends billions of email ads every year.
On March 30, 2011, Epsilon detected unauthorized access to its email database, resulting in the theft of consumers' names and email addresses. No credit card information was obtained. These customers were on banks' and retailers' mailing lists.
Due to the volume of intrusions and information theft incidents in the spring of 2011, which involved Epsilon, Sony, EMC Corp., Citigroup, and others,the House Subcommittee on Commerce, Manufacturing, and Trade, chaired by Rep. Mary Bono Mack (CA-45), approved legislation on July 20, 2011, designed to protect American consumers from cyber attacks and identity theft. The Secure and Fortify Electronic Data Act (SAFE Data Act), authored by Chairman Bono Mack, was authored with the goal of enhancing protection of personal information by establishing uniform national standards for data security and data breach notification. The bill now moves to the full Energy and Commerce Committee for consideration.
Company acquisitions and divestitures
- 1998: Air MilesAir MilesAir Miles is the name of separately operated loyalty programs in Canada, the United Kingdom, Spain , the Netherlands and the Middle East, through which points are earned on purchases at participating merchants.-History:...
was acquired by Alliance Data. - 2002: Colloquy was acquired by Alliance Data.
- 2004: Epsilon was acquired by Alliance Data.
- 2005: Bigfoot Interactive was acquired by Alliance Data.
- 2006: DoubleClick Email Solutions, Inc.DoubleClickDoubleClick is a subsidiary of Google that develops and provides Internet ad serving services. Its clients include agencies, marketers and publishers who serve customers like Microsoft, General Motors, Coca-Cola, Motorola, L'Oréal, Palm, Inc., Apple Inc., Visa USA, Nike, Carlsberg among others...
was acquired by Alliance Data. - 2007: Abacus was acquired by Alliance Data.
- 2008: Heartland Payment SystemsHeartland Payment SystemsHeartland Payment Systems, Inc. provides debit, prepaid, and credit card processing, online payments, check processing, payroll services and a growing line of industry solutions for small to mid-sized merchants. Heartland Payment Systems is currently the fifth largest credit card processor in the...
acquired Alliance Data's Network Services. - 2008: VertexVertex (company)'Vertex is a leading BPO and Customer Management Outsourcer. It operates across a wide range of sectors and geographies delivering rewarding customer experiences and valuable client outcomes....
acquired Alliance Data’s Utility Services Business. - 2009: FujitsuFujitsuis a Japanese multinational information technology equipment and services company headquartered in Tokyo, Japan. It is the world's third-largest IT services provider measured by revenues....
America acquired Alliance Data's Information Technology Services Division.
Company News
- February 22, 2011, Dallas Business Journal: Alliance Data Signs on with J.Jill
- September 13, 2010, Businessweek: Alliance Data Systems OKs $400M stock buyback
- August 26, 2010, Wall Street Journal: Alliance Data Signs Pact To Provide Card Services For David's Bridal
- August 9, 2010, Businessweek: Alliance Data completes new $221 million facility