Purchasing Power, the leading e-commerce employee purchase program offering consumer products and services as a voluntary benefit at the workplace, today reported strong double-digit revenue growth across the first half of 2017, increasing 19% over the same six-month time period in 2016. More significantly, adjusted EBITDA grew by a substantial 80.5% compared to the same Q1 and Q2 time periods in 2016.
Among new business gains, Purchasing Power contracted with 18 new clients (employers and employer associations) year-to-date, which will provide nearly 620,000 potential new customers access to the Purchasing Power e-retail and financial wellness platforms. Total number of orders placed increased 21.6% over the same January-through-June time period in 2016. Additionally, the company maintained its 99% client retention rate during the first half of the year, based upon customer demand for the program.
“We’ve continued to achieve this extremely positive growth trajectory for more than 10 years, which has earned Purchasing Power’s consistent ranking among Inc. 5000’s Fastest Growing Companies,” noted Scott Rosenberg, President and CFO. “This year, we focused our energies on improving our mobile customer experience and expanding our product catalog to more than 55,000 SKUs. It has paid off with our best customer satisfaction scores in our history.”
“We also strategically promoted our financial wellness benefits through our first-ever U.S. roadshow,” Rosenberg continued. “Three out of five employees now say they look to their employer for help in achieving financial security through benefits.1 So we’re very proud to offer both educational resources and smarter, more responsible purchasing solutions to a welcoming workforce.”
Available to millions of people as a voluntary benefit at organizations with 1,000+ employees or members, Purchasing Power is offered across more than 20 industry sectors. The client list includes Fortune 500 companies, federal and state associations and government agencies. Since its inception in 2001, Purchasing Power has processed nearly $2.5 billion in orders through the convenience of payroll deduction and automated payments.
1 – MetLife’s 15th Annual U.S. Employee Benefits Trend Study (EBTS), “Work Redefined: A New Age of Benefits”. Released April 3, 2017.