A FIRST DATA CUSTOMER SUCCESS STORY:
BANKING ON DEBIT CARD LOYALTY
PROVES THE PERFECT PROGRAM
FOR AMERICAN STATE BANK
Client
American State Bank
Challenge
Improve reward quality,
acceptance and value of
debit card loyalty program
Solution
Convert to a First Data debit
card loyalty program offering
state-of-the-art controls
and flexibilities
Results
Increased card activity,
reduced processing costs,
improved fraud prevention,
lower account turnover
First Data exceeds robust expectations in rewarding
customer loyalty.
From its humble beginnings in 1948, American State Bank
is now a leader in personal and business banking, with
$2.5 billion in assets and 37 locations in 21 West Texas
communities. However, when an existing debit card loyalty
program proved less than robust, the bank sought to
reward customers by converting to a superior program.
In selecting First Data, American State Bank benefited
from a program that exceeded expectations, resulting
in increased card activity, reduced processing costs,
improved fraud prevention and lower account turnover.
For a bank that’s all about building customer loyalty,
partnering with First Data has its rewards.
A First Data customer success story: American State Bank
The Challenge
From a small, one-room building, American State Bank opened in 1948 with a vision
of establishing a “friendly little family bank.” Holding true to that vision, the bank
has since grown to $2.5 billion in assets, serving 21 West Texas communities from
37 locations.
When you look at
the quality and
cost of First Data’s
program, there’s
none better.
“As a locally owned and operated bank, we’re invested in helping our communities
grow, one individual, one business at a time,” says Michael Epps, President of
American State Bank. “So customer loyalty and rewarding that loyalty is a big part
of our overall efforts.”
With account retention a key priority, American State Bank sought to replace an
existing debit card loyalty program that was neither popular nor cost-effective.
“The program was not very robust,” recalls Epps. “That convinced us to look into
the First Data program.”
Michael Epps,
President, American State Bank
The Solution
“When we looked at quality and cost, First Data clearly had the superior program,” says
Epps. “Comparing programs, the rewards were just so much better. We were excited
about First Data’s program and we knew our customers would absolutely love it.”
As for cost, the program also met with Epps’ approval. “Previously, the bank had to
pay whether the customer redeemed or not. Now we pay only when the customer
redeems. On the whole, First Data has exceeded our expectations and done so at a
fair price.”
According to Epps, working with First Data is an equally satisfying experience.
“First Data has been a very good company for us, providing the services we need
and keeping things running smoothly. Our account rep does a great job and is always
there for us.”
The Results
State-of-the-art controls and flexibilities associated with First Data’s debit card loyalty
programs have benefited American State Bank, resulting in increased card activity,
reduced processing costs, improved fraud prevention and lower account turnover.
“Since converting to First Data,” explains Epps, “interchange fees have increased, while
actual fraud losses have decreased. And the loyalty program has allowed us to grow
accounts and reduce turnover, which is at the lowest level it’s been in the last 10 years.”
What does the future hold? “We’re really excited about adding credit cards to our First
Data loyalty program,” says Epps. “Getting debit and credit together offers so much more
flexibility and opportunity, and that’s going to be very important to us down the road.”
firstdata.com
© 2011 First Data Corporation. All rights reserved.
Page 2