What's Hot, How-to

News Analysis: InComm Acquisition Signals Shift Toward Solutions

RRN at RewardsRecognitionNetwork.com believes that this 1nearly 20-year-old plus industry is going through two fundamental changes: a new emphasis on engagement, program design, and ROI, and the focus on using non-cash rewards as a media and an intrinsic motivator leveraging the power of the new Brand Media. This acquisition says a lot about where the IRR business is headed. 
 
By Bruce Bolger 
 
The pace of M&A activity continues to support RRN’s predictions of heightened M&A activity several years ago, but the acquisition of a leading loyalty firm such Meridian by InComm deserves special attention. While it is not unknown for a reward supplier to purchase a full-service incentive company—gift card giant Blackhawk Group purchased Achievers Inc. with a similar “vertical integration strategy” of purchasing a customer--it is not an obvious strategy in this industry because of the risks of channel conflict. Meridian is only one of many loyalty, incentive, and recognition companies that purchase through InComm, which might, under traditional thinking, ask questions of channel conflict in the minds of its other distribution partners.
 
Following several years after Blackhawk’s acquisition, this move suggests either that these traditional notions of channel conflict are dissipating in the new networked economy and or that the importance of providing clients a full-service, solution with a clear return-on-investment is the only way to provide value to clients across the enterprise. After all, the incentive industry is long known for the concept of “co-ompetition,” i.e., cooperating with competitors to provide the required solution. 
 
The wording of InComm’s press release is so significant in terms of addressing the issues RRN consistently has raised about focusing on program design, results and the overall enterprise that we make the unique exception and are publishing it verbatim. 
 
Word-for-Word InComm Acquisition Announcement
 
With this acquisition, InComm will strengthen its incentives business by creating lasting loyalty for corporations through flexible reward offerings and member-centric design and management tools for B2C, B2B and employee programs. The move expands InComm's capabilities from the specialized delivery of stored-value rewards to a comprehensive suite of end-to-end services for brand-focused incentive, loyalty and engagement programs, including travel and merchandise redemptions.
 
"Incentives and rewards have become essential tools for brands to engage their audiences, so we are working towards helping our customers maximize the performance of their programs," said Brooks Smith, CEO of InComm. "The Meridian Loyalty team brings decades of experience and technological expertise in creating effective incentive, loyalty and engagement programs, and we could not be more excited to welcome them to the InComm family."
"Meridian disrupted the incentives industry in the 80s and 90s with the introduction of the MeridiCard, the industry's first reloadable debit card, so our point of view has been rewards-agnostic from day one," said Sam Toumayan, President and Owner of Meridian Loyalty. "We're incredibly excited to be joining the InComm team and finding innovative ways to drive positive client outcomes." (Editors note: the company held a patent on that product that it was able to enforce.)
 
The Incentive Research Foundation reported in its 2019 Trends Study that fewer than 30% of corporate buyers track return on investment (ROI) for incentive travel programs, while 53% of corporate buyers for merchandise and gift card programs do not use reporting or analysis to evaluate the performance of their programs. InComm will ensure brands can overcome these challenges through consultation services grounded in data-driven, predictive analysis and tools. This approach will provide actionable insights that will maximize participation rates and ROI for customer incentive, loyalty and engagement programs.

[return to top]

Master the Principles of Enterprise Engagement to Achieve Organizational Goals and Enhance Your Career

  • Profit from a new strategic and systematic approach to engagement to enhance your organization’s brand equity; increase sales, productivity, quality, innovation, and safety, and reduce risks.
  • Get trained to become a Chief Engagement Officer for your organization.
  • Achieve ISO 10018 Quality People Management Certification to demonstrate your organization’s strategic commitment to people to your customers, employees, distribution partners, vendors, communities, investors, and regulators.
  • Learn how to create Sustainability or Integrated Reports for Your Organization or Clients.
  • Get up-to-speed on ISO human resources standards and guidelines to enhance HR performance.

Live Education: Enterprise Engagement in ActionTake advantage of scheduled monthly live webinar preparation courses for the Certified Engagement Practitioner designation consisting of three one-hour classes and of quarterly Advanced Engagement Practitioner courses consisting of three one-hour webinar classes. The AEP course is for individuals or teams seeking preparation ISO 10018 professional certification status. ICEE periodically runs regional one-day workshops on ISO 10018 Quality People Management principles and certification.

Resources: The Brand Media Coalition, the only guide to the story-telling power of brands and where to source them for business, event, promotional gifting, and rewards and recognition. 2019 Enterprise Engagement Solution Provider Directory. The only directory of engagement solution providers covering all types of agencies and tactics as well as insights on how to select them.
 
Communities: The  Enterprise Engagement Alliance and Advocate and the  Brand Media Coalition free resource centers offering access to the latest research, news, and case studies; discounts, promotions, referrals, and commissions, when appropriate to third-party solution providers from participating coalition solution provider members.
 
A CEO's Guide to Engagement Across the Enterprise cover
In Print: 
Enterprise Engagement for CEOs: The Little Blue Book for People-Centric Capitalists
Written specifically to provide CEOs and their leadership teams a concise overview of the framework, economics, and implementation process of a CEO-led strategic and systematic approach to achieving success through people.  (123 pages, $15.99)

Enterprise Engagement: The Roadmap 5th Edition
The first and most comprehensive book on Enterprise Engagement and the new ISO 9001 and ISO 10018 quality people management standards. Includes 36 chapters detailing how to better integrate and align engagement efforts across the enterprise. (312 pages, $36.) 

Online:  
•  10-minute short course: click here for a 10-minute introduction to Enterprise
•  Engagement and ISO standards on Coggno.com.
•  5-minute Audiopedia summary of the Enterprise Engagement field.

Services: 
•  The International Center for Enterprise Engagement at TheICEE.org, offering: ISO 10018 certification for employers, solution providers, and Enterprise Engagement technology platforms; Human Resources and Human Capital audits for organizations seeking to benchmark their practices and related Advisory services for the hospitality field.ISO 10018 Cerfified. Quality People Management
•  The Engagement Agency at EngagementAgency.net, offering: complete support services for employers, solution providers, and technology firms seeking to profit from formal engagement practices for themselves or their clients, including Brand and Capability audits for solution providers to make sure their products and services are up to date.
•  C-Suite Advisory Service—Education of boards, investors, and C-suite executives on the economics, framework, and implementation processes of Enterprise Engagement. 
•  Speakers Bureau—Select the right speaker on any aspect of engagement for your next event.
•  Mergers and Acquisitions. The Engagement Agency’s Mergers and Acquisition group is aware of multiple companies seeking to purchase firms in the engagement field. Contact Michael Mazer in confidence if your company is potentially for sale at 303-320-3777.

Enterprise Engagement Benchmark Tools: The Enterprise Engagement Alliance offers three tools to help organizations profit from Engagement. Click here to access the tools.
•  ROI of Engagement Calculator. Use this tool to determine the potential return-on-investment of an engagement strategy. 
•  EE Benchmark Indicator. Confidentially benchmark your organization’s Enterprise Engagement practices against organizations and best practices. 
•  Compare Your Company’s Level of Engagement. Quickly compare your organization’s level of engagement to those of others based on the same criteria as the EEA’s Engaged Company Stock Index.
•  Gauge Your Personal Level of Engagement. This survey, donated by Horsepower, enables individuals to gauge their own personal levels of engagement.

For more information, contact Bruce Bolger at Bolger@TheEEA.org, 914-591-7600, ext. 230.

[return to top]

Earn Big $ In EEA Referral Program
Brand Media Resources
EME Gold
Brand Resources
  • Omaha Steaks
  • Amazon
  • 1-800-flowers
  • Luxury Brands
  • Tourneau
  • Callaway
  • Harco Incentives
  • TaylorMade
  • GoPro
  • Yeti