TORONTO, CANADA--(Marketwire - Oct. 24, 2012) - Intertainment Media Inc. ("Intertainment" or the "Company") (TSX VENTURE:INT)(ITMTF)(I4T.F) is pleased to announce it has agreed in principal, and is in the process of finalizing a definitive agreement to have Toronto based Paymobile Inc. (www.paymobile.com) facilitate its financial services processing for Intertainment's Sweet Card Program (www.thesweetcard.com). The Sweet Card is a customized social media financial services program for celebrities and socially active specialty brands combining mobile wallet technology, pre-paid debit platform and a robust fan centric loyalty program.
According to Aite Group and Mercator Advisory Group, prepaid debit card issuance programs have grown from $1.6 Billion in 2004 to an estimated $120 Billion in 2012, with prepaid loads reaching $57 Billion in the US in 2011.
Earlier this year, MarketResearch.com reported that "The number of mobile payment subscribers worldwide was nearly 2 Billion users in 2011. The total value of the mobile payment market is expected to cross US$500 Billion by 2014. North America and Asia is expected to become the most important markets; together both of them accounting for more than 60% of the total market share and 80% of mobile payment users."
In a recent Fox Business News article published on October 12, 2012 entitled "Good-bye Plastic, Hello Phone: Mobile Wallets on the Rise" by Marialene LaPonsie, a 2012 survey conducted by the Carlisle & Gallagher Consulting Group resulted in 48% of respondents expressing interest in mobile wallet technology. The Fox business article went on to say that MasterCard Advisors discovered spending increased an average of 30% in the 12 months after an individual first used a contactless payment. For those in the highest spending category, that's $600 more a month that shifted to contactless payments.
Technology consulting firm Gartner was reported in CNN Money as estimating mobile payments will be a $617 billion market in 2016, compared to $171.5 billion in 2012. In addition to an overall increase in the amount of purchases being made via mobile payments, retailers can also look forward to more spending from consumers using contactless methods.
"Increasing interaction with fans and driving continued revenue is a top priority for leading artists, celebrities and specialty brands," said David Lucatch, CEO Intertainment Media Inc. "Together with Paymobile, the Sweet Card program provides a unique continuity business opportunity using mobile wallet payment application and customized pre-paid debit cards allowing fans to earn exclusive rewards through mobile wallet usage, virtual payments, online purchases, money transfers and conventional in-store transactions."
Gino Porco, CEO of Paymobile commented, "We are very pleased that INT has chosen Paymobile as their card issuing and mobile wallet partner. We look forward to supporting the numerous artist card programs INT is currently developing globally."
The Company now has a number of signed Letters of Intent with key celebrities and specialty brands in North America with a view towards rapid global expansion opportunities. The program is expected to generate ongoing loyalty and transactional fees of which Intertainment and its divisions will be entitled to up to 50% of net generated revenues.
The program will be marketed by Intertainment using its social media brands including Ortsbo and KNCTR along with its social media investment partners and key online sites together with celebrity partner programs and live venues.
About Intertainment - www.intertainmentmedia.com
Intertainment is one of Canada's leading technology incubators and is focused on developing, nurturing and investing in both North American and global technologies and companies that provide technology solutions for brands and consumers alike. Intertainment also owns and operates a number of key properties including Ad Taffy, itiBiti (KNCTR), Ortsbo, Deal Frenzy, The Sweet Card and Magnum, with investments in leading edge technologies and social media platforms including theaudience.com. For more information on Intertainment and its properties, please visit www.intertainmentmedia.com.
Intertainment is headquartered in the Toronto, Canada region, with offices in New York, Los Angeles and San Mateo, CA and is listed on the TSX Venture Exchange under the symbol "INT" (TSX VENTURE:INT) and in the US on the OTCQX Market under the symbol "ITMTF". Intertainment is also traded in Europe on the unofficial market of the Frankfurt Exchange through the XETRA trading platform under the symbol "I4T".
About Paymobile Inc. - www.paymobile.com
Paymobile Inc. is a leading financial services technology company providing businesses and government complete program management products and services for a wide range of open loop prepaid and virtual card accounts. Paymobile enables businesses to provide their customers with a number of open loop card choices including, gift card, loyalty cards, cheque replacement cards and online virtual card accounts. Paymobile also provides advanced mobile technology enabling businesses to provide their customers a white label mobile client application with the ability to manage their card balances, transfer funds and perform card to card money transfers in real time using their mobile devices. Paymobile is the parent company of Zoompass, the first mobile wallet deployed in Canada built by Rogers, Bell and Telus. Paymobile is a privately held company headquartered in Toronto, Canada.
This news release may contain certain forward-looking information. All statements included herein, other than statements of historical fact, is forward-looking information and such information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. A description of assumptions used to develop such forward looking information and a description of risk factors that may cause actual results to differ materially from forward-looking information can be found in the company's disclosure documents on the SEDAR website at www.sedar.com. The company does not undertake to update any forward-looking information except in accordance with applicable securities laws.
This release may contain forward looking statements within the meaning of the "safe harbor" provisions of US laws. These statements are based on management's current expectations and beliefs and are subject to a number of risks and uncertainties that could cause actual results to differ materially from those described in the forward looking statements. Intertainment Media Inc. does not assume any obligation to update any forward looking information contained in this news release.