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Edenred's acquisition of Reward Gateway for £1.15 billion marks a significant move in the employee benefits and engagement industry. This strategic alignment is set to enhance Edenred's value proposition by integrating Reward Gateway's comprehensive suite of digital employee services. The acquisition is expected to accelerate the delivery of innovative solutions and expand the platform's reach into new markets.
Founded in 2006, Reward Gateway offers a comprehensive employee engagement platform designed to enhance employee wellbeing, recognition, rewards, and communication. Its core products include peer-to-peer recognition tools, manager awards, a reward marketplace, custom rewards, wellbeing programs, employee discounts, and communication tools. Unique in the market, Reward Gateway boasts high customer satisfaction with an NPS score of 72, ISO27001 certification, GDPR compliance, and a global reach serving over 8 million employees.
Edenred is a global leader in providing specific-purpose payment solutions for food, incentives, mobility, and corporate payments. The company's key products and services include benefits and engagement solutions, corporate mobility and fleet management, and various complementary payment solutions. With a presence in 45 countries, Edenred serves over 60 million users, 1 million corporate clients, and more than 2 million partner merchants, handling approximately €45 billion in business volume, underscoring its significant market influence.
Edenred acquired Reward Gateway on May 16, 2023. This acquisition occurred during a period marked by significant challenges in the workforce, including market instability, inflation, and the ongoing war for talent. The timing aligns with Edenred's strategic goals to expand its Employee Benefits and Engagement solutions, addressing the evolving needs of employers and employees in a post-pandemic world. This move is part of Edenred's broader "Beyond 22-25" strategy to enhance its market presence and service offerings.
The acquisition of Reward Gateway by Edenred has led to significant changes in operations and management. Reward Gateway has been integrated into Edenred's Employee Benefits Division, with Arnaud Erulin overseeing the division and Nick Burns continuing as the Global CEO of Reward Gateway. This integration aims to leverage the strengths of both companies, ensuring a seamless transition and fostering a collaborative environment. The combined entity now boasts a workforce of 12,000 employees worldwide, enhancing its operational capabilities and market reach.
In terms of product offerings, the acquisition has expanded the range of services available to clients. Reward Gateway's platform will be rolled out in six major Edenred countries, providing a comprehensive suite of employee engagement tools, including employee savings, rewards & recognition, well-being programs, and corporate social animation. This strategic move has been well-received by customers, with new clients such as The Post Office and The Chevron Group joining the platform. Employees and customers alike have expressed positive reactions, appreciating the enhanced value proposition and the platform's ability to engage a diverse workforce.
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