Mobecom clinches two more Spur Corporation brands, advances Vodacom contract

Mobecom ASX MBM Spur Corporation brands Vodacom contract

Mobecom (ASX: MBM) has added two more Spur Corporation brands to its client list with John Dory’s and Spur Steak Ranches signing agreements to use Mobecom’s mobile customer loyalty technology.

At the end of November last year, Mobecom executed a master services agreement to roll out its customer loyalty technology across Spur Corporation’s Panarottis Pizza Pasta and RocoMamas franchise stores in South Africa, Australia and Africa.

According to Mobecom, these two new agreements will boost the company’s recurring revenue from the Spur Group in 2018 by 15%.

“With agreements with John Dory’s and Spur Steak Ranches now in place, we remain poised to implement our technology solutions, adding further recurring revenue in calendar year 2018, and earning an additional 4.5% fee for any orders placed in-app,” Mobecom chief executive officer Neil Joseph said.

“We also continue to remain on-track to deliver our mobile app technology to contracted Spur portfolio of brands by 30 July 2018,” Mr Joseph added.

In addition to the four Spur brands Mobecom has locked-in so far, Spur’s other brands include Spur International, Captain DoRegos, The Hussar Grill, Spur Grill & Go, Casa Bella and Monterey Seafood.

Vodacom second phase

The news follows Mobecom’s announcement it has completed the first phase of its contract with South Africa-based telco Vodacom Group.

Mobecom launched its Vodacom customer loyalty SwitchedONBenefits app in March and has secured an agreement to roll out phase two of the contract where Mobecom will provide operational management, support and customer care services to Vodacom to underpin optimal functioning of the app.

Mobecom will provide these services for three years, with assistance also including merchant management and marketing support to assist Vodacom with on-selling the app.

“We’re pleased to have successfully completed phase one of our multiphase project with Vodacom, with the launch of SwitchedONBenefits leading to the commencement of revenues in March 2018,” Mr Joseph said.

“We have now signed a further agreement with Vodacom for phase two of this project, providing strong commercial validation of our offering and formalising the extension of our contract.”

Mr Joseph added phase three agreements would be concluded soon.

Mobecom claims the Vodacom agreements will increase its recurring revenue by 26% in the first 12 months.

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