NRF: Swipe fee reform saving up to $18 million per day
WASHINGTON — The National Retail Federation estimated that U.S. retailers and their customers are benefiting from savings of up to $18 million every day since the implementation of debit card swipe fee reform.
Reform measures that took effect on Oct. 1, 2011, reduced banks’ debit card swipe revenue by $6.6 billion, according to a report issued by Javelin Strategy and Research. While some card processors have yet to pass the full reduction along to retailers, the figure comes to as much as $18 million a day nationwide. Prior to reform, debit card swipe fee cost retailers and consumers $22 billion a year in 2010, according to the Nilson Report, a newsletter that tracks the card industry.
"Merchants haven’t necessarily labeled the savings from reform as a ‘debit discount’ but they have nonetheless found a variety of ways to pass the value along to their customers," NRF president and CEO Matthew Shay said. "Depending on the store, shoppers are paying lower prices, getting better service or avoiding prices hikes that otherwise would have come with inflation. Retailers are simply too competitive not to share savings with consumers because customer value is one of the key ways they take market share away from their competitors. Retailers know that if they don’t pass along the savings the store across the street will."
American Greetings receives offer to go private
CLEVELAND — A greeting cards company announced that its board of directors has received a nonbinding proposal to go private.
American Greetings confirmed that the board received a letter from CEO Zev Weiss, president and COO Jeffrey Weiss, along with certain other members of the Weiss family and related parties, to acquire all of the outstanding class A and class B common shares of American Greetings not currently owned by the them for $17.18 per share.
The company expects that its board will form a special committee of independent directors to consider the proposal. American Greetings noted that it "does not anticipate making any further public statements about this matter or the activities of the special committee unless and until either it enters into a definitive agreement for a transaction or the special committee determines that no such transaction will be effected."
American Greetings is scheduled to disclose its second quarter 2013 earnings on Friday.
Spectrum Brand Holdings’ Remington division enters women’s hair accessories category
MADISON, Wis. — Consumer products company Spectrum Brands Holdings announced on Wednesday that its Remington personal care division has entered the U.S. women’s hair accessories market with a full line of basic-to-trend hair accessories, accessory storage items and brushes for both adults and teenage girls.
The new line includes such items as hair elastics that also can be worn as jewelry (pictured) and hair clips.
Remington already has secured sizeable placements at several major retailers in the U.S. women’s hair accessory category, a consumables market estimated at more than $1 billion annually, the company stated. Remington also is leveraging its global footprint in hair care, shaving and grooming to enter women’s hair accessories markets in Europe and Latin America.
“Our hair accessory product development has a strong emphasis on executing fashion and trend and always with a focus on winning the value position. With our brand positioning of ‘How the World Gets Ready,’ we have a unique opportunity for cross promoting our hair accessories with complementary segments of our business, such as hair care appliances, and even with other adjacent beauty categories by co-merchandising in stores and offering in-pack trial samples or coupons for discounts with purchase,” Remington global VP Drew Fiorenza said.