The Pay-Per-Transaction platform will drive increased consumer bank card usage and customer satsifaction while helping banks to propel growth of new merchant accounts.
Card-issuing banks and local publishers together tap into large databases of cardholders, subscribers and businesses. Each gives the other broad exposure thru opt-out registration, trusted brand and local merchant relationships. This intersection quickly establishes a critical mass of consumers and advertisers within a set geography, ensuring a successful local shopping and rewards program.
Caliber's value to the local banks, credit unions and ad partners is not only in the PPT product itself, but in linking channels together that today have only limited relationships with each other. This enables each to leverage the other to extend audience reach, piggyback with another trusted brand, and overcome consumer signup resistance.
PPT Scenario for Card Issuing Institutions: Merchant Funded Loyalty
The PPT platform enables card issuers to deliver ads that seamlessly link cash back rewards offered by local businesses to their card holders accounts (debit, credit and pre-paid). Ads appear in a local Deal Directory thats displayed within their online banking portal. As a result, card holders can easily redeem cash back offers that they qualify for when they click on the PPT ad. The banks ads can also be accessed on a smart-phone application that supports targeted ad delivery, and on major search sites and participating ad-networks.
Safe and Secure:
Banking partners can deploy Caliber's ad platform within their firewall so there is no risk that sensitive data leaves the institution. Consumers (members) do not have to enter their card or account information online and they may opt-out if they do not wish to participate. There is NO use of a members transaction data to target ads and they may enter preferences of which merchants and/or products they wish to follow (receive cash back offers from).
Revenue Generation: The initial model uses a simple formula with total Ad Fee calculated as a percentage of each qualified sale, net of the cash back reward which may be adjusted from time to time by the advertiser to meet current business needs (i.e. drive business on a slow day by increasing reward).
FDIC Insured Banks = 8,305
Federal Credit Unions = 4,847
State Credit Unions = 2,959
Banks have experienced rapid growth in online traffic. Between 2000 and 2010, the number of households that use online banking increased more than six-fold.
In 2010, 72.5 million households used online banking.
"Underpin the dynamic of online advertising distribution with a performance-based ad model, whereby advertisers pay for the leads they receive, and everyones goals are aligned: publishers get more revenue when advertisers get more leads, and advertisers get more leads when consumers have more information available to make local business choices."
-- LocalMatters Blog, Q1 2010
