Partnerships / Acquisitions

Alliance Data To Create Loyalty, Checkout Events Via Modo’s Payment Service

Modo and Alliance Data’s Columbus, Ohio-based credit card services business announced news on Monday (Oct. 23) that they have inked a new partnership. Alliance Data can now create loyalty programs and checkout events using Modo’s cloud-based payment event service.

In a press release, Modo stated that via its payment events service, it securely and fairly conducts the exchange of payment event data across platforms on behalf of banks, payment networks and providers. The company said its service normalizes payment event data across different payment systems, which improves interactions and enhances speed to market.

“As retail and commerce companies enter this period of change, they must adapt to serve the customer in the channel she prefers, in the device she holds and at the moment she is ready,” Sheryl Mckenzie, VP Marketing — Products and Capabilities for Alliance Data’s credit card services business, said in the press release. “As the customer initiates payment events, together with Modo we will continue to ensure that brands can surround that event with marketing offers and rewards benefits that deepen the customer’s connection with the brand and simplify the experience of card-based loyalty programs.”

The executive noted that offering a simple experience for the customer and ease of implementation for the retailer are the company’s top priorities — and that the partnership with Modo can help achieve that even faster.

“We can leverage Modo’s service to seamlessly exchange payment event data across disparate retail systems in-store, online and through the mobile channel,” McKenzie concluded.

Modo’s Chief Executive Bruce Parker also commented on the deal in the press release, saying that it is an “extraordinary privilege” to expand its relationship with Alliance Data.  “We couldn’t be more excited about the upcoming Alliance Data offerings for both loyalty and checkout events. We’re at the physical/cardiac limit of excitement,” he said.



The pressure on banks to modernize their payments capabilities to support initiatives such as ISO 20022 and instant/real time payments has been exacerbated by the emergence of COVID-19 and the compelling need to quickly scale operations due to the rapid growth of contactless payments, and subsequent increase in digitization. Given this new normal, the need for agility and optimization across the payments processing value chain is imperative.