Kellogg Company and Alliance Data’s Epsilon Business Enter Agreement to Enhance CRM Initiatives

LONDON, UK,  August 24, 2011  —   Kellogg Company (NYSE: K) has partnered with Epsilon, a subsidiary of Alliance Data Systems Corporation (NYSE: ADS) and a leading provider of loyalty and marketing solutions derived from transaction-rich data, to help enhance Kellogg’s CRM activities and further increase customer engagement.

Larry Bruck, Kellogg’s senior vice president of global media and marketing operations, said: "Epsilon has the global reach, real-time capabilities and CRM expertise in the consumer packaged goods industry that makes them the best partner for Kellogg to further increase consumer engagement across all of our brands."

"By partnering with Epsilon, we will leverage consumer opt-in information to build deeper and more valuable relationships with our consumers by creating highly personalised experiences with each individual," Bruck added.

Under the terms of the new agreement, Epsilon will build and host a global real-time consumer web portal and preference engine where consumers can sign up for communications from Kellogg Company’s brands across North America, Latin America, Europe and Asia Pacific, and through multiple channels including email, web and mobile.

Epsilon will also build and host a consumer relationship management and analytical platform, allowing Kellogg marketers to analyse customer behaviour, and design and execute marketing programmes to drive consumer engagement. The programmes will be personalised based on consumers’ stated preferences, demographics and stated or inferred needs.

Bryan Kennedy, president of Epsilon, said: "Kellogg is a well-established consumer packaged goods leader, and we are excited to work with them. For consumer packaged goods companies, multichannel marketing presents a unique set of challenges – transactional data is often difficult to obtain, and purchases are typically not made online. Leveraging popular communication channels such as mobile, email, social media and the web are vital for creating brand engagement and building loyalty rather than simply driving purchase transactions in those channels, and Epsilon has the capabilities and expertise to drive success in these marketing channels. With a long history of innovation and some of the most trusted global brands, Kellogg has developed a vast consumer following. Epsilon’s marketing solutions will help Kellogg establish even deeper relationships with consumers and engage them on a one-to-one basis across a variety of channels."

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