The Retail Service business of
Alliance Data Systems Corporation
) inked a long-term renewal agreement with Orchard Brands to
continue providing private label credit card services to the
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Concurrently, the deal encompasses the extension of services to
other 9 brands - Appleseed's, The Tog Shop, Draper's &
Damon's, Sahalie, Gold Violin, WinterSilks, Norm Thompson
Outfitters, LinenSource and Solutions. Presently, Alliance Data
provides services to four brands - Blair, Haband, Old Pueblo
Traders, and Bedford Fair.
Headquartered in Beverly, Mass., Orchard Brands is a leading
multi-channel retailer of apparel and home products catering to
customers above the age of 50 years.
As per the agreement, Alliance Data will design marketing driven
credit card program service that will award customers based on
their transaction amount. Moreover, the 'VIP across all brands'
customers can use their reward credit cards for all brands of
Orchard Brands. The program will go live by September this year.
While these programs add value for customers, the company
benefits to gain from customer loyalty.
This is the fourth long-term agreement in the second quarter of
2013 under Alliance's Private Label Services and Credit segment.
Recently, in the beginning of June, Alliance Data inked a
long-term deal to provide private label credit card services for
El Dorado Furniture. We believe that winning new deals along with
the renewal of the existing ones will continue to help The
Private Label Services and Credit segment continue deliver robust
Alliance Data currently carries a Zacks Rank #3 (Hold). Among
other financial transaction service providers,
) carrying a Zacks Rank #1 (Strong Buy) and
Fidelity National Information Services, Inc
) and Official
Payments Holdings, Inc
) carrying a Zacks Rank #2 (Buy) are worth considering.