MXCP.L Regulatory News (MXCP)

27 February 2012

2ergo Group plc

Launch of podifi retail solution during MWC

2ergo Group plc (AIM: RGO, "2ergo" or "the Group"), the mobile solutions company, has today launched "podifi", its new contactless mobile technology.

Based around small, low-cost pods, podifi offers retailers the ability to build intimate customer relationships by enabling fast, contactless transactions via any smartphone, simply by tapping the phone on the pod. This means that mobile coupons and vouchers can be redeemed, mobile loyalty cards can be swiped and mobile payments transacted, without the intervention of sales staff in store.

Significantly, podifi makes use of standard technology already used in smartphones, and requires no additional handset chip or hardware (such as barcode readers or PIN machines) or staff training. Pods placed discreetly at the point of sale can transact contactless mobile payments and act as redemption points to redeem mobile coupons or loyalty cards in real time without any upgrade required to the retailer EPOS system.

Through 2ergo's unique contactless technology podifi can be easily incorporated into any mobile "app" or mobile website within hours. The technology is compatible with all currently available smartphones and has been designed to interact seamlessly with near field communications (NFC) handsets if or when they are made available.

podifi also incorporates proximity technology, delivering personalised in-store communications and issuance of location-relevant offers and promotions. For example, pods placed at the entrance to the store can be used for consumer check in services, whilst pods positioned on shelves in specific aisles, can deliver offers specific to the products in that part of the store. The same location sensitive technology also allows customers to be tracked around the store to create in-store heat-maps providing an invaluable insight into customer behaviour.

podifi is the culmination of 12 years experience in delivering customer acquisition technology for clients including Orange Wednesdays, reputed to be the world's most successful mobile loyalty programme.

Neale Graham, CEO of 2ergo, said:

"Retailers are increasingly looking to engage customers on a multi-channel basis, with mobile coupons and vouchers being increasingly used to generate footfall and build customer loyalty.

"However, one of the key challenges that has prevented the mass adoption of retail mobile solutions has been closing the loop at the point of sale by enabling mobile coupons to be easily redeemed, mobile loyalty cards to be swiped and mobile payments to be transacted. Up until now there has been no ubiquitous solution, some small vertical solutions have been trialled and launched but they tended to be cumbersome, creating a negative user experience, and expensive, requiring significant upfront investment in handset upgrades and difficult EPOS integration.

"podifi has been created specifically to solve this problem. We believe it is a real game changer. It overcomes all of these problems in one easy to deploy solution, enabling retailers of all sizes to conduct mobile couponing campaigns with ease. It delivers today what NFC has been promising for years and will continue to deliver the same user experience when and if NFC compliant handsets are rolled out on a large scale.

"We have completed extensive customer trials and the response has surpassed our expectations. We look forward to driving the business forward with this solution, both in the UK and internationally through our growing partner network and are delighted to announce a major strategic alliance for the product in the US with SoundBite."

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