Deluxe Corporation
{{short description|American financial services company}}
{{for|other businesses called Deluxe|Deluxe (disambiguation)}}
{{promotional|date=May 2024}}
{{use mdy dates|date=January 2022}}
{{use American English|date=August 2022}}
{{Infobox company
| name = Deluxe Corporation
| logo = Deluxe Logo 2020 - RGB.png
| type = Public
| traded_as = {{ubl|{{NYSE|DLX}}|S&P 600 component}}
| industry = Corporate services
| foundation = {{Start date and age|1915}}, in Saint Paul, Minnesota
| location_city = 801 South Marquette Avenue
Minneapolis, Minnesota
| location_country = United States 55402
| key_people = Barry McCarthy (President and CEO)
Chip Zint (CFO)
Cheryl Mayberry McKissack (Chairwoman)
| products =
| revenue = {{nowrap|{{decrease}} US$ 1.8 billion (2020)}}
| operating_income = {{nowrap|{{increase}} US$ 44.5 million (2020)}}
| net_income = {{nowrap|{{increase}} US$ 8.8 million (2020)}}
| assets = {{nowrap|{{decrease}} US$ 1.9 billion (2020)}}
| equity = {{nowrap|{{decrease}} US$ 540.8 million (2020)}}
| num_employees = {{nowrap|6,500 (2020)}}{{cite news |last=Dreyfuss |first=Joel |date=March 28, 2020 |title=The century-old company that invented the checkbook may be a key coronavirus economic player |publisher=CNBC |url=https://www.cnbc.com/2020/03/28/coronavirus-checkbook-inventor-is-potential-stimulus-check-distributor.html |access-date=November 2, 2020}}
| website = {{URL|https://www.deluxe.com/}}
| footnotes = {{cite web |title=US SEC: Form 10-K Deluxe Corporation |url=https://deluxecorporation.gcs-web.com/node/20676/html |publisher=U.S. Securities and Exchange Commission |access-date=June 23, 2021 |archive-date=July 27, 2021 |archive-url=https://web.archive.org/web/20210727173156/https://deluxecorporation.gcs-web.com/node/20676/html |url-status=dead }}
}}
Deluxe Corporation is a modern payments and data company. Its four business divisions are B2B payments, data, print, and merchant services. Deluxe has approximately 3 million small businesses and 4,000 financial institutions as customers.
Deluxe was previously based in the St. Paul suburb of Shoreview, Minnesota until the company announced in September 2020 that it would move its headquarters to downtown Minneapolis in 2021.{{cite news |title=Deluxe moving its headquarters from Shoreview to downtown Minneapolis |last=Kennedy |first=Patrick |url=https://www.startribune.com/deluxe-moving-its-headquarters-to-downtown-mpls-from-shoreview/572408782/ |work=Star Tribune |date=September 14, 2020 |access-date=May 10, 2021}} Its subsidiary brands include New England Business Services Inc. (NEBS), McBee (formerly Royal McBee) and Checks Unlimited.[http://www.corporateinformation.com/Company-Snapshot.aspx?cusip=248019101 Deluxe Corporation Company Snapshot] {{Webarchive|url=https://web.archive.org/web/20110717140926/http://www.corporateinformation.com/Company-Snapshot.aspx?cusip=248019101 |date=July 17, 2011 }}. Retrieved November 21, 2009.
Deluxe has facilities in the United States, Canada, Australia, and Europe to conduct its printing and fulfillment, call center, web server, and administrative functions.{{cite news |title=Deluxe Corp. selects Sandy Springs to locate new technology innovation center |last=Bagby |first=Dyana |url=https://www.bizjournals.com/atlanta/news/2020/09/04/deluxe-corp-sandy-springs-tech-center.html |work=Atlanta Business Journal |date=September 4, 2020 |access-date=June 22, 2021}}
History
= 1915–1959 =
Deluxe Corporation was founded as Deluxe Check Printers in Saint Paul, Minnesota by William Roy (W. R.) Hotchkiss,{{citation |website=encyclopedia.com
|url=https://www.encyclopedia.com/social-sciences-and-law/economics-business-and-labor/businesses-and-occupations/deluxe-corp
|title=Deluxe Corporation
|author=Jay P. Pederson |access-date=August 8, 2022}} after Hotchkiss secured a $300 loan. Hotchkiss was the creator of speed-enhancing inventions, including the Hotchkiss Imprinting Press (patented in 1925), a two-way perforator, and the Hotchkiss Lithograph Press (patented in 1928). He also created the first personal flat-pocket checkbook and holder.{{cite news |last=Burns |first=Jim |date=September 3, 2012 |title=Investor's Edge: As check printing business declines, Deluxe Corp. moves into services |work=The Post-Standard |url=http://blog.syracuse.com/moneywise/2012/09/investors_edge_as_check_printi.html |access-date=November 3, 2016}} For most of its early history, Deluxe was primarily a check printing company. Business service operations were not added until later.{{cite book |last=Goodrich |first=Laura |url=https://books.google.com/books?id=SEAEavd7wCYC&q=%22Deluxe+Corporation%22+%2B+1915&pg=PA63 |title=Seeing Red Cars: Driving Yourself, Your Team, and Your Organization to A |date=2011 |publisher=ReadHowYouWant |isbn=978-1-4596-2640-9 |access-date=November 3, 2016}}
= 1960–1989 =
The company was privately held until 1965, during which time it began using magnetic ink character recognition (MICR) check printing technology.{{Cite book |last=Cullman |first=Lewis B. |url=https://archive.org/details/canttakeitwithyo00lewi |title=Can't Take It With You: The Art of Making and Giving Money |date=2004 |publisher=John Wiley & Sons |isbn=978-0-471-66678-3 |page=[https://archive.org/details/canttakeitwithyo00lewi/page/107 107] |quote=Deluxe Check Printers + 1915. |access-date=November 3, 2016 |url-access=registration}} By the 1980s, the company was facing reduced demand for its products and increasing competition.{{Cite book |first=John L. |last=Mariotti |title=The Shape Shifters |publisher=John Wiley and Sons |year=1997 |isbn=0-595-48195-7}} In 1988, the company incorporated and changed its name to Deluxe Corporation.{{cite web |url=http://investing.businessweek.com/research/stocks/snapshot/snapshot.asp?ric=DLX |title=Deluxe Corp. (DLX:NYSE) |work=BusinessWeek |access-date=November 22, 2009 |archive-url=https://web.archive.org/web/20091124070410/http://investing.businessweek.com/research/stocks/snapshot/snapshot.asp?ric=DLX |archive-date=November 24, 2009}} In the early 1990s it expanded into customer service for businesses.
= 1990–present =
As use of digital payment systems gained popularity, Deluxe's core business was impacted significantly. In the mid-1990s, the company announced an expansion of its transaction processing and software businesses.{{cite news |title=Deluxe Corp. CEO Expects Check Use To Begin Waning as Early as Next Year |last1=Tracey|first1=Brian|url=https://advance.lexis.com/api/permalink/20d5df08-b21e-4796-8b3e-7bde18db6599/?context=1519360 |work=The American Banker
|date=February 20, 1996 |access-date=November 23, 2020}} Deluxe began selling business forms and supplies, promotional products and branched out to offer other business services, such as payroll.{{cite news |title=CEO to retire at Shoreview, Minn., check printer Deluxe Corp. |work=Pioneer Press |date=December 14, 2004}} In 1999, Deluxe employed 15,400 people and operated thirteen check-printing plants whereas by 2004, Deluxe employed 9,300, with eight plants. Deluxe acquired small business services provider New England Business Service in 2004.{{cite news |title=Deluxe completes $745 million takeover of NEBS |work=Boston Business Journal |date=June 25, 2004 |access-date=May 3, 2021 |url=https://www.bizjournals.com/boston/stories/2004/06/21/daily46.html}} Deluxe shifted its focus from printing products to primarily business services in 2008.{{cite news |last=Depass |first=Dee |date=August 10, 2008 |title=Down but not out, Deluxe on a comeback |work=Star Tribune |url=https://www.highbeam.com/doc/1G1-182925932.html |url-status=dead |access-date=November 5, 2016 |archive-url=https://web.archive.org/web/20181118181944/https://www.highbeam.com/doc/1G1-182925932.html |archive-date=November 18, 2018}} It launched an employee background-screening service called HireRight and expanded its service offerings through acquisitions. This included the purchase of Hostopia (web hosting), Logo Mojo (logo design), PartnerUp (market intelligence), and the 2009 acquisition of search engine marketer MerchEngines.{{cite news |last=Tartakoff |first=Joseph |date=July 14, 2009 |title=Check Printer Deluxe Purchases Search Engine Marketing Firm MerchEngines |publisher=Gigaom |url=https://gigaom.com/2009/07/14/419-check-printer-deluxe-purchases-search-engine-marketing-firm-merchengine/ |access-date=November 13, 2016 |archive-date=November 14, 2016 |archive-url=https://web.archive.org/web/20161114165943/https://gigaom.com/2009/07/14/419-check-printer-deluxe-purchases-search-engine-marketing-firm-merchengine/ |url-status=dead }}
From 2010 onward, Deluxe expanded its offerings to include web hosting, marketing services, promotional items, payroll management tools, and other services by acquiring more than fifty companies,{{cite news |last1=Zaveri|first1=Paayal |title=A 105-year-old company that invented the checkbook explains how it transformed from a tangle of disparate businesses that 'no one really understood' into a sales powerhouse|url=https://www.businessinsider.com/deluxe-checkbook-modernizing-business-digital-transformation-salesforce-microsoft-2020-5|work=Business Insider |date=May 17, 2020|access-date=November 18, 2020}} including online printing service PsPrint and web-based marketing firm OrangeSoda, email marketing company VerticalResponse (2014),{{cite news|last1=Campbell|first1=Anita|title=VerticalResponse Email Marketing Company Acquired by Deluxe|url=https://smallbiztrends.com/2013/07/verticalresponseemail-marketing-company-acquired-by-deluxe.html|access-date=November 21, 2016|publisher=Small Business Trends|date=July 26, 2013}}{{Dead link|date=January 2024 |bot=InternetArchiveBot |fix-attempted=yes }} transaction processing company Wausau Financial Services (2014),{{cite news|last1=Ramstad|first1=Evan|title=Deluxe net falls on charge, buys Wausau Financial|url=http://www.startribune.com/deluxe-net-falls-on-charge-buys-wausau-financial/280191562/|access-date=November 21, 2016|work=Star Tribune|date=October 23, 2014}} and logo designer LogoMix (2018),{{cite news
|title=Deluxe Acquires LogoMix in $43M Deal |last=Ostuni|first=Amanda|url=https://tcbmag.com/deluxe-acquires-logomix-in-43m-deal/|work=Twin Cities Business |date=May 10, 2018 |access-date=May 3, 2021}} among others. It also began offering echecks.{{cite news |title=New services tackle small business finance challenges |last=Arar|first=Denny |url=https://www.pcworld.com/article/2049406/new-services-tackle-small-business-finance-challenges.html |work=PC World |date=September 26, 2013 |access-date=June 23, 2021}}
Deluxe launched a reality television show called Small Business Revolution.{{cite news |title=Shoreview company's 'Small Business Revolution' comes home to help Black-owned firms|last=Kennedy|first=Patrick|url=https://www.msn.com/en-us/money/smallbusiness/shoreview-company-s-small-business-revolution-comes-home-to-help-black-owned-firms/ar-BB1eavuJ |work=Star Tribune |date=March 2, 2021|access-date=August 17, 2021}}{{cite news |title=Deluxe Corp.'s 'Small Business Revolution' Turns its Cameras on Black-Owned Businesses |last=Allen |first=Tess|url=https://tcbmag.com/deluxe-corp-s-small-business-revolution-turns-its-cameras-on-twin-cities-black-owned-businesses/|work=Twin Cities Business |date=March 2, 2021|access-date=June 23, 2021}}{{cite news |title=Branding Out Loud |work=Twin Cities Business|url=https://tcbmag.com/branding-out-loud/ |last=Allen|first=Tess |date=October 2, 2019 |access-date=November 2, 2020}} The show is distributed on Hulu and Amazon Prime Video.{{cite news |title=After being furloughed, makeup artist launches beauty brand, is on reality series|last=Williams |first=Nick|url=https://www.startribune.com/after-being-furloughed-makeupartist-launches-beauty-brand-is-on-reality-series/600061070/|work=Star Tribune |date=May 25, 2021 |access-date=June 22, 2021}} Co-hosts have included Baron Davis, Robert Herjavec, Ty Pennington and Amanda Brinkman.{{cite news |title=Shoreview company's 'Small Business Revolution' comes home to help Black-owned firms |last=Kennedy |first=Patrick|url=https://www.startribune.com/shoreview-company-s-small-business-revolution-comes-home-to-help-black-owned-firms/600029411/|work=Star Tribune |date=March 2, 2021 |access-date=May 10, 2021}} In 2021, the show was nominated for a Daytime Emmy Award for Outstanding Lifestyle Series.{{cite news |title=Daytime Emmy Nominations For Children's, Animation & Lifestyle Categories Revealed|last=Pedersen |first=Erik|url=https://deadline.com/2021/06/daytime-emmy-nominations-2021-childrens-animation-lifestyle-1234782778/ |work=Deadline Hollywood |date=June 28, 2021 |access-date=August 17, 2021}}
Deluxe granted at least $750 in company stock to all of its employees in April 2019. Also in 2019, Deluxe secured a contract with Synchrony Financial. In 2020, McCarthy created a new management team, including the company's first-ever chief revenue officer, and instituted a new organizational structure. name="CNBC"/>{{cite news |title=New Deluxe CEO focuses on solidifying shift away from legacy check business |work=Star Tribune|url=https://www.startribune.com/new-deluxe-ceo-focuses-on-solidifying-shift-away-from-legacy-check-business/562222782/?refresh=true |last=Kennedy |first=Patrick |date=October 6, 2020 |access-date=November 2, 2020}} The company announced it would open its FinTech and Customer Innovation Center in Sandy Springs, Georgia, in 2021, focusing on payment and cloud services business.{{cite news |title=Deluxe moving hundreds of workers into existing Sandy Springs office tower |last=Murchison |first=Adrianne |url=https://www.ajc.com/news/atlanta-news/deluxe-moving-hundreds-of-workers-into-existing-sandy-springs-office-tower/YPN2WAP755HODFKCQ45SLPNUEE/ |work=The Atlanta Journal-Constitution |date=September 10, 2020 |access-date=May 10, 2021}} Deluxe acquired First American Payment Systems, a payment processing company, for $960 million in April 2021. The deal was Deluxe's largest to-date, and was aimed at growing Deluxe's digital payments business.{{cite news |title=Deluxe Signs $960 Million Acquisition Deal For First American Payments |url=https://www.pymnts.com/news/partnerships-acquisitions/2021/deluxe-signs-960-million-acquisition-deal-for-first-american-payments/ |work=PYMNTS.com |date=April 22, 2021 |access-date=June 23, 2021}} First American provides tools for merchants to process in-store and online payments. Barron's reported that First American Payment Systems generated $300 million in revenue and the acquisition was expected to double the annual revenue of Deluxe's payments business.
= Company acquisitions =
{{dynamic list}}
Corporate overview
Deluxe Corporation is a public company traded on the New York Stock Exchange. Formerly headquartered in Shoreview, Minnesota, it is now located at 801 South Marquette Avenue in downtown Minneapolis. Deluxe has four business divisions: data, B2B payments, print, and merchant services.{{cite news |last=Dignan |first=Larry |date=June 27, 2021 |title=How Deluxe transformed from paper checks to providing an SMB cloud, payments stack |publisher=ZDNet |url=https://www.zdnet.com/article/how-deluxe-transformed-from-paper-checks-to-providing-an-smb-cloud-payments-stack/ |access-date=August 24, 2021}} Deluxe's clients include the Federal Reserve, 3 million small businesses and 4,000 financial institutions.{{cite news |last=Catts |first=Everett |date=September 9, 2020 |title=Deluxe Corp. center is bringing 709 jobs and $10.2M investment to Sandy Springs |work=MDJOnline.com |url=https://www.mdjonline.com/neighbor_newspapers/northside_sandy_springs/business/deluxe-corp-center-is-bringing-709-jobs-and-10-2m-investment-to-sandy-springs/article_14d573fc-f2e4-11ea-b632-bba7c36d8e3c.html |access-date=January 12, 2022}} Through its systems for customers to send and receive payments, Deluxe processes more than $2.8 trillion in annual payments.{{cite news |last=Beltran |first=Luisa |date=April 22, 2021 |title=Deluxe to Scoop Up First American for $960 Million |work=Barron's |url=https://www.barrons.com/articles/deluxe-to-scoop-up-first-american-for-960-million-51619123958 |access-date=January 12, 2022}}
Competitive overview
In 2000, The New York Times described John H. Harland Company' as "the second-largest printer of checks in the United States."{{cite news |newspaper=The New York Times
|url=https://www.nytimes.com/2000/07/18/business/company-news-harland-check-printer-to-buy-software-maker.html
|title=HARLAND, Check Printer, to buy Software Maker
|date=July 18, 2000 |access-date=July 25, 2022}} Walmart is another company that prints checks.
References
{{Reflist}}
External links
- {{Official website|https://www.deluxe.com/}}
- {{Finance links
| name = Deluxe Corporation
| symbol = DLX
| sec_cik = DLX
| yahoo = DLX
| google = DLX
| bloomberg = DLX:US
}}
{{Minnesota Corporations}}
{{Authority control}}
Category:American companies established in 1915
Category:Financial services companies established in 1915
Category:Manufacturing companies established in 1915
Category:Printing companies of the United States
Category:Companies listed on the New York Stock Exchange
Category:Manufacturing companies based in Minnesota
Category:1915 establishments in Minnesota