Constant Contact – Email Marketing Was Only The Beginning. Purchases Customer Loyalty Company CardStar

I can remember interviewing Gail Goodman, so many years ago, when Constant Contact was named Roving and I’m sure many people thought email marketing was silly (if not plain dumb).

Of course over the years Constant Contact has proved us all wrong and is on track to have 500,000 customers soon.

I’m not focused on the financial performance of the companies I cover (as I can hear some of you talking about profitability and other things).

However, what I am focused on is a company quickly morphing from an email only company, to one covering social media. But in their latest purchased, announced today, Constant Contact is so much more – it’s about helping businesses get new customers and keep the ones they have. Period.

With their purchase of CardStar, announced today, Constant Contact has purchased not only a loyalty card company and their customers but also has purchased a set of smart people who are gurus in mobile technology. With their purchase of NutShell Mail they got a deep hold of the social media marketplace. With their purchase of CardStar they’ve now got mobile expertise – instantly.

Here’s what Constant Contact announced today.

They have acquired privately owned CardStar Inc., the leading loyalty platform that helps shoppers stay connected to their favorite merchants. With over two million users, Boston-based CardStar is a leading developer of mobile applications that extend the use of loyalty cards and mobile coupons among consumers. The acquisition marks the latest milestone in Constant Contact’s evolution from an email marketing company to the leading provider of online marketing tools that help small businesses create and grow customer relationships. Financial details of the transaction were not disclosed.

The CardStar application consolidates membership and rewards cards on smartphones, letting consumers use a single application rather than a series of physical cards and enabling merchants to tailor mobile deals and information to their customers. Merchants can track purchase behavior to reward loyalty, simply and easily.

“For small businesses, it’s all about finding and connecting with their next customer, whether that customer is returning or brand new,” said Goodman. “Today’s consumers don’t just want – but expect – to access information and make decisions on the go, and they want to be rewarded for their support and loyalty. The CardStar mobile loyalty application lives at the intersection of these needs, letting consumers engage with businesses on the go and providing businesses with expanded opportunities for the kind of customer engagement that drives business results.”


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