Edmonton consumers are already flashing loyalty smart cards in stores, but Calgarians may soon be sporting the same high-tech tools.
“We’ve had discussions with the Calgary Chamber of Commerce and we hope to have the program in Calgary soon, although it’s not for certain yet,” EarlyRain chief executive Hal Walker told Business Edge.
EarlyRain’s smart-card-based loyalty program, known as Affia, made its debut in Edmonton on Feb. 7. The first-ever Affia program was launched through the Edmonton Chamber of Commerce in conjunction with EarlyRain partner Telus Corporation.
Calgary-based EarlyRain already has plans to expand the program to major cities throughout North America.
“It’s a very ambitious program,” said Walker, whose company is also targeting its smart cards in the health-care and golf industries.
The Edmonton program gives thousands of Edmonton merchants the opportunity to compete head-on with major national loyalty programs, such as the Air Miles program.
Through the program, customers using the free cards receive a minimum 10-per-cent discount and merchants are capable of adding other loyalty rewards.
Smart cards look like credits cards but contain computer chips for storing information and conducting transactions.
“An exciting aspect of this is that, until now, the loyalty programs have only been available through major national chains,” said Walker, alluding to companies such as Canada Safeway.
“Our program covers large, medium and small businesses. It’s because of the involvement of small business that the (Edmonton Chamber of Commerce) likes it. It’s a valuable tool for merchants.”
EarlyRain expects cash flows from the Affia operations within the first nine months and the company estimates revenue from the Edmonton project will exceed $600,000 in 2001. The roll-out in Edmonton coincided with early distribution of 320,000 new Telus phone books containing cardholder enrolment forms.
“What makes the Affia program special is the alliance of independently successful organizations,” said Walker. “EarlyRain has developed a solid program that is enhanced by our affiliate partners such as Telus and the Edmonton Chamber of Commerce . . . There are no programs like this one in North America.”
Gordon Plewes, president of the Edmonton Chamber of Commerce, said: “The Affia program greatly enhances the value of being a Chamber member.”
On the news, EarlyRain (ERN-CDNX) stock rose 33 per cent to 60 cents on light volume.
In January, EarlyRain rolled out its Medical Insurance Card in a deal with the Florida Hospital Group.
Web Watch:
www.affiacard.com
www.earlyrain.com
www.telus.com
