Concept:
Cardlytics is a transaction-driven media channel designed to allow retailers to deliver targeted reward offers to consumers based on their banking transaction history, and does not require users’ personal information, such as bank account user name, password and/or email address. Cardlytics partners with banks and retailers to deliver online and mobile offers within a consumer’s digital bank. According to the company, its transaction marketing campaigns consistently generate activation and conversion rates that are 20 to 50 times higher than other marketing channels.
The solution is aimed at helping marketers improve the precision of audience segmentation, to target consumers based on their specific shopping behavior — not just their purchases within a single retail chain, but across all purchases recorded in bank transactions.
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Team:
Prior to founding Cardlytics, Co-Founder & CEO Scott Grimes was a Senior Vice President at Capital One where he developed and launched decoupled debit, a product designed to enable national direct marketing of debit products.
COO & Co-Founder Lynne Laube is an entrepreneurial banker. Prior to joining Cardlytics, Laube held leadership positions at Capital One for 13 years, and played a key role in the formation and growth of the small business organization, the UK operations and the core U.S. Credit Card business.
Market Relevance: Banks process millions of transactions without monetizing the potential of that transaction data. Consumers do not respond well to irrelevant advertising, but do take advantage of relevant rewards. Past purchasing behavior is the greatest predictor of consumer interests and future spending behavior and Cardlytics delivers that information to retailers. Without this insight, it’s more difficult for retailers to deliver relevant offers to consumers. With Cardlytics, retailers gain access to a highly targeted marketing medium that allows them to more efficiently manage advertising and marketing spend. Consumers benefit by earning rewards on offers based on their purchase behaviors.
Delivery:
Proof Points: Cardlytics is currently running active campaigns with 15 of the top 25 retail advertisers in the U.S. — where the offers are for in-store or online purchases that do not require the purchase of a gift card. Cardlytics has been awarded with honors including: Red Herring North American 2010; 2010 Online Banking Report Top Ten Innovation; The 2010 Technology Associated of Georgia Top Ten Innovation Award; and has been inducted into the 2010 Online Banking Report Hall of Fame as “one of the top 43 innovations of all time.”
