MoneyGram Enters Third Party Distribution Relationship with InComm

by Mercator Advisory Group 0

MoneyGram has announced a distribution relationship with InComm for the MoneyGram Xpress product only four months after Western Union made a similar announcement:

“MoneyGram International (NYSE:MGI), a global leader in the payment services industry, and InComm, a marketer, processor, and distributor of stored-valued gift and prepaid cards, today announced an agreement relating to the MoneyGram® Xpress service, MoneyGram’s new in-lane money transfer service available to consumers in the United States. Per the agreement, InComm will assist MoneyGram in the distribution and activation of MoneyGram Xpress packages, which will be available to U.S. consumers in select outlets in InComm’s network of more than 225,000 retail locations, including grocery and convenience stores, pharmacies, and mass merchandisers.

The MoneyGram Xpress service will initially be offered in $50, $100 and $200 denominations and can be redeemed online or by telephone to complete the transaction. MoneyGram Xpress packages will be available at participating retailers’ InComm in-lane card suite and can be purchased at the register. MoneyGram’s agreement with InComm reinforces MoneyGram’s commitment to enhancing the consumer experience by delivering added convenience and alternatives in accessing and paying for money transfer services.”

MoneyGram identifies this as the beginning of a worldwide strategy:

““We are pleased to introduce this new money transfer service and bring a whole new level of ease and convenience to our consumers,” said Stu Kiefer, MoneyGram vice president of product management. “Prepaid money transfers allow consumers to pay for the transfer amount and fees at the same time as they make other retail purchases and then actually make the transfer when convenient for them – online or by phone. The product broadens ways to access money transfer services and for many, assists with time and money management.”

“We are excited to partner with MoneyGram to launch the MoneyGram Xpress money transfer service,” said Brooks Smith, InComm President and CEO. “This partnership brings strategic value to our portfolio of stored-value gift and prepaid financial services products, backed by a leading and recognizable brand, and allows us to continue offering innovative products to our retail partners while further strengthening our commitment and support of simplifying the buying process for consumers.”

Further, MoneyGram’s partners will enable MoneyGram to eventually offer the product in 40 countries including Canada, Hong Kong, Russia, the United Kingdom, the United States and countries in the European Union. The funds can be sent anywhere in the world.”

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