Winning Hand

Christmas 2021 was a gift for Prezzee. The Smart eGift card enjoyed record sales across December, with two million cards sold globally. Within the gift card industry, its success is the sound of the other shoe dropping. To Prezzee Executive Chair Shaun Bonétt, it’s a vindication of his faith in the project that landed on his desk back in 2014.

“Christmas is a special period and we’re just so proud to have positively impacted millions of customers by helping them experience joy in the season of giving,” he says.

“We have effectively demonstrated that a Prezzee Smart eGift Card is the perfect digital gift. It’s not only perfect for lockdowns and gifting from a distance, but it’s also the simplest and most engaging way to recognise moments that matter.”

And shoppers agree. Even in the wake of Prezzee’s vigorous December, Bonétt says volumes are maintaining the same growth rate. “We expected strong growth in all our markets and that’s what we continue to see following the peak Christmas period.”

WILD CARD

On the back of its bestselling Smart eGift Card, Prezzee has revolutionised gifting. The digital-only card can be personalised with photo, video, audio or text messages, and is accepted by more than 800 brands globally.

Being digital not only means a better environmental outcome – no physical card means no plastic piling up in landfill – it also makes flexibility the card’s top attribute. Cards can quickly be sent from anywhere in the world to the recipient’s digital wallets, and a single card can easily be swapped for multiple denominations.

A Prezzee eGift Card can be used to reward teams, thank clients and incentivise customers fast with customised, co-branded gift cards sent in a few clicks; features that have made Prezzee a winner with consumers looking to up their gift-giving game.

Thanks to a strong marketing push, Prezzee and Christmas are quickly becoming fast friends. Prezzee’s Christmas brand campaign put an emphasis on the power of self-determination at a time when many felt powerless. The ‘Take the “what if” out of gifting’ initiative spanned TV, radio, outdoor adverts, key social media and digital channels – and appears to have found a receptive audience.

“Consumers have now started to become aware of our brand,” Bonétt shares. “The campaign drove record awareness and traffic to our Prezzee website.”

Even more promising are the emerging tales from customers who’ve put Prezzee cards to use exactly as intended. “One very heartwarming story was from a customer who’d been trying for months to connect with an old friend, who had limited their social interactions for almost two years due to the pandemic,” he recalls.

“Having failed multiple times to locate his new number or address, she finally found his email address and sent him a Prezzee eGift Card for Christmas. He was blown away and very moved by the unexpected gesture and personal message she had written.”

It’s exactly the kind of situation that lies beyond the scope of the traditional gift card; the kind of situation that led to Prezzee’s creation.

OPENING PREZZEE

When Prezzee came into being in 2014, it was to fill a void that had befallen an unsuspecting gift card industry. At that time, gift cards were seen as simple and engaging stand-ins for presents. More personal than cash, to give a gift card meant giving the gift of choice.

Years of poor present selections and the hassle of returning and exchanging unwanted gifts had made the concept viable; their ease of use made them a success. After all, what could be easier than purchasing a card that allowed someone to pick something they actually wanted?

As Matt Hoggett stood in line at Myer in 2014, he was struck by the realisation that he’d left his gift card at home. The last piece of the convenience puzzle clicked into place, and he and his wife Claire Morris soon began conceptualising the next generation of gift card.

The source of Hoggett’s frustration was that he couldn’t access the gift card through his smartphone in any way, and this became the linchpin of their concept. After 18 months, the couple presented their business plan and prototype for Prezzee to Bonétt, the Founder and CEO of retail property giant Precision Group.

“They presented a compelling business plan and prototype,” he told The CEO Magazine in 2021. “I believed in Prezzee and committed to backing their concept all the way.”

With Precision’s retail expertise and financial muscle on board, the Prezzee train left the station. It didn’t take long until it was full steam ahead. In just five years, Prezzee had racked up A$620 million in sales. The company was ranked 15th in the 2020 Deloitte Tech Fast 50 Australia and 108th in the 2020 Deloitte Technology Fast 500 Asia Pacific, the 23rd highest ranking of the 102 Australian technology companies awarded.

That year, Prezzee expanded into the US, the UK and New Zealand, a move that took the company to new heights. Prezzee’s retail partner portfolio of 100 businesses in 2019 has grown to 800-plus, while the eGift Card now has a global reach of more than 20 million customers – and counting.

“We’re seeing a very good response from consumers engaging with us directly, as well as great feedback from retailers and channel partners,” Bonétt says. “COVID-19 has really accelerated digital adoption in the US market, and so companies have a strong appetite to seek out digital solutions they can offer customers.”

Early signs are that these three overseas markets will perform just as strong, if not stronger, than Prezzee’s home country. “The US market is a key priority,” he reveals. “And we’re still establishing our presence and building out our US team to continue the early momentum we’ve created.”

ON THE TABLE

In response to the growth, Prezzee has plans to double its workforce to more than 400 employees worldwide this year. The company has also given its senior executive level a shake-up through several significant and strategic hires.

Former Qubik COO Alison Chalmer, who joined Prezzee in September 2021, is the Chief People, Performance and Happiness Officer, a role that supports the design and implementation of the company’s operating model and organisational structure to facilitate its rapid global growth, as well as developing and implementing the company’s new people and culture strategy.

“Alison is a dynamic leader who thrives when working within complex customer-focused industries, readily translating high-level strategy into tangible, sustainable business value,” Bonétt says.

“Alison brings a wealth of experience in design and delivery, brand and product development, communications, employee experience and human resources, and operational leadership, including profit and loss management, and organisation and cultural transformation, across several large, high-profile businesses.”

Another newbie is former National Australia Bank and Australia Post executive Deanne Bannatyne, who stepped into the newly created role of Chief Customer Officer in November 2021. The role provides group leadership for strategy, brand, marketing, customer experience, product and technology across the Australian and New Zealand markets, and is instrumental in achieving Prezzee’s strategic ambition of disrupting the gift card and payments market globally.

“Deanne has proven success in business transformation by creating a case for change,” Bonétt explains. “She believes in building and leading highly effective and engaged teams, and creating diverse and inclusive workplaces is critical for ensuring business success.”

Bannatyne is also passionate about gender diversity, actively establishing and leading programs designed to support women to achieve their career goals.

Also in November, former iSelect and Renaissance Capital legal eagle David Christie entered the Prezzee fold as Group General Counsel. He brings 25 years’ corporate legal experience and an entrepreneurial mindset to the position.

“David’s proven leadership, deep understanding of markets, investment processes and strategies, and track record in leading, adding value and building sustainable growth frameworks and processes at both board and management levels, makes him perfectly placed to lead the Prezzee legal team at this important time,” Bonétt confirms.

“His impressive range of skills and experiences, and broad transaction experience across a range of relevant sectors will be a significant asset to Prezzee in the years ahead.”

LOST AND FOUND

But perhaps the biggest change in the Prezzee line-up was the departure of CEO and Managing Director Antony Karp after three-and-a-half years with the company. “Tony started with Prezzee as the 10th official employee,” Bonétt says. “In February this year, we reached a huge milestone with our 200th staff hire. Together, we have achieved incredible growth across the business and our future is bright.”

A former David Jones executive, Karp successfully steered the company through its launch and subsequent overseas expansion. His efforts in creating the values that continue to define Prezzee were honoured at The CEO Magazine’s 2021 Executive of the Year Awards, where he was named Runner-Up in the CEO of the Year – A$100m+ turnover category.

“I could not be prouder of the success Prezzee achieved as a team over Tony’s tenure, growing from 20 people in a small converted warehouse in Surry Hills, Sydney when Tony started, to a billion-dollar company comprising over 200 people that successfully expanded into the US, the UK and New Zealand during the pandemic,” Bonétt adds. “We greatly appreciate Tony’s service and leadership, and we congratulate him for his achievements.”

Tony’s successor as CEO is Jamie Samaha, former Mastercard Executive Vice President, Loyalty and Engagement. Samaha’s appointment comes as part of Prezzee’s transition from startup mode to scale-up mode, a transition that has already seen unprecedented demand in the marketplace.

Bonétt believes it’s the kind of time that requires new leadership. “Jamie brings a distinct specialisation to the business to lead us through this exciting period. Born and bred in Australia, he has run businesses in Australia, Asia, Europe and globally, and he understands what’s required to manage a global business that must deal with different cultures, needs and market conditions. This kind of significant international experience is crucial for this next stage of evolution.”

In Samaha’s case, that’s a 20-plus year career in executive roles, including consumer loyalty, data, digital, technology and payments. At his most recent role at Mastercard, he managed a global business in the consumer engagement space, where he was at the forefront of understanding the evolving needs of consumers and the macro trends in the industry.

“We felt this lens was perfect to help us expand the Prezzee value proposition to become the leading digital gifting and connections platform in the world,” Bonétt says. “Jamie’s strong experience in private and public companies, and board positions, gives him a unique skill set to lead a business of our size, but also to establish the right settings and infrastructure to drive aggressive growth, doing it in a scalable and sustainable way.”

FOLLOWING SUIT

For Samaha, the very nature of Prezzee fits his personality. “For anyone who knows me, I love giving presents and the joy it brings people,” he shares. “The Prezzee mission resonated straight up – ‘revolutionising the gifting economy with an emotionally intelligent platform that connects people in moments that matter’.”

And so did its culture. “They say it comes from the top,” he adds. “In discussions with Shaun, I not only bought into his vision, but I found someone I could work with who possessed a growth mindset underpinned by authenticity and a strong moral compass. And everyone I’ve met since has only reinforced my view that the people involved with Prezzee are pretty special.”

After years abroad with Mastercard, the Prezzee opportunity was too perfect for Samaha to pass up. “I felt I could really help Prezzee own its future,” he says. “Being a proud Aussie, there’s that special connection in not only helping an Australian company realise its global ambitions but also the ambitions of its talent, who also may want to be connected to something larger beyond Australian shores.”

Culture has become a cornerstone of Prezzee’s success. In 2021, the company was officially recognised in Australia and New Zealand as a Great Place to Work. “We’re proud of that,” Bonétt smiles. “Our people and culture truly set us apart.”

With around 27 different nationalities working at Prezzee, he says the company has created an environment that allows each employee to be equally heard, equally appreciated and equally respected.

“We are competing for talent across the fintech sector; therefore the culture and the values must be rock-solid,” he stresses. “The employees we are attracting and onboarding – particularly gen Y – are focused on just how genuine our values are and how deep our culture runs.”

MISSION POSSIBLE

Prezzee’s positive mission – to encourage people to connect – has resonated to an extent Bonétt had perhaps not anticipated. “Some people will find a way to take that opportunity and make it into their life journey,” he reflects. “I’d like to think that something like that is now playing out at Prezzee.”

That was certainly the case for Samaha. “I’ve always given the advice that if you’re too comfortable, then it’s time to make a change,” he says. “So here I am, very shortly, starting a brand-new, exciting adventure. The future is ours.”

Samaha’s arrival comes in the wake of Prezzee’s global agreement with Mastercard, a global technology brand focused on simple, digital consumer experiences. “It’s a great fit with Prezzee,” Bonétt says. “For Mastercard to want to be associated with our brand has given us a huge sense of confidence as we look to continue to expand internationally.”

Bonétt is quick to stress that the partnership isn’t merely a matter of offering a Mastercard prepaid gift card in the Prezzee style. “This is much more than that. Prezzee will become a preferred service where Mastercard provides its partners with a cardholder reach of two-and-a-half billion through its consumer engagement services,” he points out. “Mastercard has built such a strong connection with consumers with its Priceless brand, and we can learn so much from them.”

Although the team-up is in its early days, Bonétt says he expects to see the impact of the deal take shape throughout 2022. “We see a day when we become synonymous with gifting, when people say, ‘I got a Prezzee’ or ‘Send them a Prezzee’. Now, that would be priceless.”

CALLING CARD

Although the future looks bright, the present isn’t doing too badly either. As the retail sector enters the third year of the COVID-19 pandemic, there are signs of recovery. Record spending during 2020 and 2021 have shown a marked uptick in optimism among consumers. “According to the latest figures from the Westpac-Melbourne Institute Index of Consumer Sentiment report, there’s been a 17-month streak of positive consumer sentiment,” Bonétt says.

That’s despite the lingering impacts – political, economic and health – of the pandemic. “Other factors such as rising inflation, labour shortages, supply chain disruptions and changing consumer behaviours can and do have an impact for both Prezzee and Precision Group, both positively and negatively,” Bonétt explains. “But I remain very optimistic. Both Precision Group and Prezzee have adjusted and adapted to the challenges of 2021.”

In fact, both companies are continuing to focus on attracting and retaining talent, accelerating digital transformation, improving cash flow, developing the next generation of leaders and modifying business models. “The new normal is simply to expect new challenges to arise continuously. I am confident both companies can manage through them to achieve positive business results while making a real difference in society,” Bonétt insists.

“In the words of Danish philosopher Søren Kierkegaard, ‘Life can only be understood backwards; but it must be lived forwards.’ It’s just the same for business.”

CASHING IN THE CHIPS

As Prezzee’s strong momentum continues, the company is focused on operations, according to Bonétt, expanding and increasing the different parts of its business to a digital engagements platform.

“Our immediate focus is about ensuring a seamless transition and onboarding for Jamie,” he says. “As our global expansion accelerates, we anticipate an increased need for diverse, broad, multi-market teams. Jamie will be firmly focused on taking the business to the next level and cementing our status as the world’s leading digital gifting platform.”

That expansion includes pushing further into global territories, particularly Asia. “Due to the nature of our product, we are being asked by partners, customers and retailers to offer the service in countries we had not even planned to operate in,” Bonétt reveals. “We are working through plans now for an expansion throughout Europe and Asia, including China.”

A Chinese New Year offer in some markets early in 2022 saw an encouraging take-up. “This is just the first step in looking to how we service the Asian region who are naturally digitally savvy, and gifting is a big part of their culture.”

One of Prezzee’s many unique advantages is that gifting does not need to have geographic boundaries. “We all have people in our lives who are not physically close to us, or live overseas,” Bonétt says. “We don’t want to restrict who you can connect with and spread joy, and Prezzee wants to be able to offer that to everyone, everywhere.”

With its stated purpose being “the joy of giving and gifting”, it is committed to the act of giving. “We all know that it feels good to receive but better to give,” he asserts. “It’s a connection that brings people together and one that Prezzee wants to ensure remains a fundamental human expression anywhere, anytime.”

An emotionally intelligent platform that connects humans in moments that matter, Prezzee has gone beyond mere gifting and into the realm of raw expression. “It’s why Prezzee exists: to ensure the expression giving and gifting never gets lost in a world that seems to move faster and faster,” Bonétt says.

“Prezzee is a product for our time, and as a company, we are coming of age with a significant increase in executive bench strength. We are a brand that recognised an opportunity in the ecommerce market, and a brand that continues to adapt, and offers a flexible, emotional and environmentally friendly solution for our customers around the world.”

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