3Com Launches Channel Marketing Program

Online loyalty marketer Netcentives has signed 3Com Corp. as the
latest user of its technology, continuing a trend as the loyalty marketer
expands into the high-margin enterprise licensing business.

3Com will use the San Francisco-based firm’s loyalty and direct marketing
technology to support a large-scale incentive system and e-mail campaign
that it calls “Focus Rewards.”

Aimed at its U.S. and Canadian channel partners, the goal of the campaign is
to drive sales and reward partners for doing business with 3Com.

3Com will integrate its existing information database systems with
Netcentives’ technology — specifically, its RewardBroker system — to
manage the online rewards program.

RewardBroker automatically tracks earning activities and processes awards —
in this case, points — as participants meet requirements. 3Com’s Focus
channel partner program awards points for product sales, training and event
attendance. These points can be redeemed for frequent flyer miles and other
rewards.

“The Focus channel partner program is designed to simplify and enhance
channel partner relationships,” said Sylvio Jelovcich, 3Com senior director
for channel and field marketing. “Netcentives’ technology allows us to offer
the program in a more streamlined manner and to deliver targeted promotions
more effectively and efficiently.”

The companies said that Netcentives’ automated incentive management
technology will be used to replace a manual process.

In addition to distributing deals and rewards-based mailings, Netcentives’
technology will also distribute 3Com’s partner e-mail newsletter “Focus
News.”

“The technology behind the 3Com program utilizes resources from each of our
business units: loyalty solutions, e-mail marketing and consulting
services,” said Netcentives chairman and chief executive officer West Shell.
“The combination of online rewards and personalized e-mail communications is
going to allow 3Com to reach new heights with one of their most valuable
business assets, channel partners.”

Terms of the deal were not disclosed.

Netcentives has been busy promoting its technology to businesses in addition
to its loyalty/reward marketing services.

In addition to support of America Online and American Airlines’ AOL
AAdvantage Rewards Program, the company also recently signed a deal with
Nortel Networks to provide technology for its employee loyalty reward
program. And Internet e-commerce and search engine technology firm Inktomi
signed a deal with the company in October to include RewardBroker in
Inktomi’s Commerce Engine product offering.