From a check printer to an essential
strategic partner to financial services
- Founded in 1915 in St. Paul, Minnesota in a one room print shop, Deluxe
today is a $1.3 billion Fortune 1000 firm servicing 8,000+ financial
- The clock was ticking for its core business. With the use of ATM debit
cards and other electronic payment methods on the rise, check usage is
in decline, shrinking at a rate of 3-4% per year.
- By all outward appearances, the industry had commoditized
- Little existing knowledge about consumer check buyers among FIs.
- Some consumers want more than the standard gray check—they see
checks as a way to express their personalities.
- FIs uncertain how to create better customer experieneces for their
customers at every touchpoint—including check buying.
- Check printers including Deluxe were perceived as a supplier, a vendor,
not a business partner.
- Three large scale studies were undertaken among national samples of
more than 1000 consumer check buyers and 600 decision-makers at FIs.
- The needs, problems and motivations of each group were measured,
along with profitability.
- The most profitable segments and a positioning that would resonate with
FIs were identified coupled with modeling to evaluate alternative
- In addition, FIs were exposed to alternative new service concepts
designed to improve the check buying experience for customers.
- Sell the check printing business assets to competitors and exit the
business all together.
- Continue to cut costs and compete as a low price vendor.
- Position the company as a strategic partner and knowledge leader in
the industry, dedicated to helping FIs create better customer
experiences with check buying and beyond.
- Chuck Feltz, President of Deluxe Financial Services selected the third
option and instituted a strategy to become an indispensable business
partner to FIs, helping them to deliver better customer experiences.
- The company launched the DeluxeSelectSM service, leveraging its vast
knowledge of consumer check buyers to streamline FIs check programs.
- It also sponsored a series of quarterly conferences with world famous
management speakers and a 2-day educational workshops at leading
universities including the Harvard Business School, to help FIs learn how
to improve customer experiences and their bottom lines.
- Deluxe is moving rapidly to achieve its objectives.
- DeluxeSelectSM has generated an additional $100 million for the
company, in a shrinking industry.
- 87% of customers and prospects indicate they view Deluxe as a strategic
partner, not a commodity supplier.
- 9 out of 10 customers and prospects also report they are likely to do even
more business with Deluxe.
- They have become an industry superstar as new products and services
are being rolled out to help FIs improve business performance.