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	<title>BIA/Kelsey - Local Media Watch &#187; Adility</title>
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		<title>Adility: The Deal-a-Day Connection with Gift Cards</title>
		<link>http://staging.blog.biakelsey.com/index.php/2010/04/28/adility-the-deal-a-day-connection-with-gift-cards/</link>
		<comments>http://staging.blog.biakelsey.com/index.php/2010/04/28/adility-the-deal-a-day-connection-with-gift-cards/#comments</comments>
		<pubDate>Wed, 28 Apr 2010 18:49:03 +0000</pubDate>
		<dc:creator><![CDATA[Peter Krasilovsky]]></dc:creator>
				<category><![CDATA[Ad Sales]]></category>
		<category><![CDATA[Coupons/Deals]]></category>
		<category><![CDATA[Adility]]></category>
		<category><![CDATA[Deal a Day]]></category>
		<category><![CDATA[Groupon]]></category>
		<category><![CDATA[Thomas Cornelius]]></category>

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		<description><![CDATA[<p>The deal-a-day phenomenon pioneered by Groupon has spawned direct attacks on the model from a wide variety of companies. Newspapers, social sites and others are all going at it. But how about gift card providers? Adility founder Thomas Cornelius, a&#8230;</p>
<p>The post <a rel="nofollow" href="http://staging.blog.biakelsey.com/index.php/2010/04/28/adility-the-deal-a-day-connection-with-gift-cards/">Adility: The Deal-a-Day Connection with Gift Cards</a> appeared first on <a rel="nofollow" href="http://staging.blog.biakelsey.com">BIA/Kelsey - Local Media Watch</a>.</p>
]]></description>
				<content:encoded><![CDATA[<p><img class="alignnone" src="http://adility.com/images/visitor/gift_card_icon.jpg?1265982109" alt="" width="299" height="180" /></p>
<p>The deal-a-day phenomenon pioneered by <a href="http://www.groupon.com">Groupon</a> has spawned direct attacks on the model from a wide variety of companies. Newspapers, social sites and others are all going at it. But how about gift card providers?</p>
<p><a href="http://www.adility.com">Adility</a> founder Thomas Cornelius, a longtime veteran of the gift card industry, thinks the synergies are huge. His 20-person operation, with offices in Atlanta and Mountain View, California, is providing a deal-a-day platform to publishers, with early adopters including <a href="http://www.centerd.com"> Center&#8217;d</a> and <a href="http://www.coupons.com">Coupons.com</a>. These publishers, in turn, are taking the gift card industry into new business models, and using online promotion to drive higher conversion rates &#8212; and more dollars.</p>
<p>Initially Cornelius distributed his &#8220;Value Cards&#8221; (discount cards from local businesses) only through a partnership with <a href="http://www.incomm.com">Incomm</a>, a third-party prepaid card distributor with 150,000 retail locations and more than $8 billion in sales for retailers ranging from Starbucks to Bed, Bath &amp; Beyond. But Cornelius branched out in 2009 to focus on local merchants.</p>
<p>The initial concept was to boost their revenues by getting their prepaid card content online and offline promoting it. Cornelius says he&#8217;d have regular conversations with SMBs who&#8217;d say: &#8220;Why can&#8217;t I get into retail stores like Vons or Target and have my prepaid cards sold right next to the Starbucks gift card?&#8221;</p>
<p>Cornelius worked to create a &#8220;local&#8221; slot on the gift card racks &#8212; Planograms &#8212; which typically have 200 different prepaid cards featured. What he did was activate 10 slots per location where local merchants would be displayed on an equivalent basis of a major national company. He then focused on putting together a network of 300 independent resellers with 7,000 feet on the street around the U.S. The resellers would sell gift cards within a 25-mile radius of a merchant.</p>
<p>The results have been promising, he says, as many local customers are more eager to support the local stores they know than buying from national merchants. &#8220;The local cards have become the best seller at locations such as H-E-B groceries in Texas.&#8221;</p>
<p>But Cornelius&#8217; initial experience integrating local merchants taught him that locally relevant content from local businesses really drives sales in gift card malls. But it was especially important &#8220;to get something new on the shelf every three months.&#8221; Hence the inspiration for Groupon-like online daily deals that would be available to publishers and developers on a white-label basis.</p>
<p>Cornelius says that building a deal-a-day platform isn&#8217;t especially difficult. But Adility&#8217;s value proposition is that it provides a turnkey solution for merchants seeking the online/offline solution, and delivers widespread distribution via publishers, such as Center&#8217;d and Coupons.com, he says.</p>
<p>&#8220;We&#8217;d provide the technology, supply the local deal content, customer service and order processing. It is a combination of a data feed and processing. Our core competency is the relationship with the SMB owners,&#8221; he says. &#8220;We have thousands of them.&#8221;</p>
<p>To develop stronger relationships with publishers and developers Adility has launched &#8220;<a href="http://www.dealwerk.com">Dealwerk.com</a>,&#8221; a new site that provides its clients with RSS deal feeds, a white-label daily deal platform, and an API for developers who want to use local prepaid deal content and develop their own mobile and social media applications.</p>
<p>The post <a rel="nofollow" href="http://staging.blog.biakelsey.com/index.php/2010/04/28/adility-the-deal-a-day-connection-with-gift-cards/">Adility: The Deal-a-Day Connection with Gift Cards</a> appeared first on <a rel="nofollow" href="http://staging.blog.biakelsey.com">BIA/Kelsey - Local Media Watch</a>.</p>
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