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LoyaltyOne buys stake in Brazilian loyalty company

Loyalty program company LoyaltyOne has acquired a 29% interest in Companhia Brasileira De Servicos De Marketing, a Brazilian company that operates a loyalty program called Dotz in that country. No financial details are available. Dotz, which was founded in 2000, has approximately 200,000 program members and 50 participating companies. According to LoyaltyOne, the Dotz program will be restructured during 2010 to be similar to the Canadian Air Miles program. "We've identified priority areas for global growth, and Brazil without question presents a huge opportunity for us," said Bryan Pearson, president of LoyaltyOne. "Our goal is to build-out coalitions similar to our Canadian model in markets where none exist today. We will leverage the success we've had in Canada to build these coalitions in attractive and long-term, viable regions. Furthermore, securing ownership in a growing program within a country that has almost six times the population of Canada offers both a tremendous market and financial opportunity." LoyaltyOne is owned by Alliance Data Systems of Dallas.

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