Nov 4, 2010
Moneris to process Discover, Diners Cards in Canada
Discover Financial Services and Canadian merchant acquirer Moneris Solutions have signed an agreement to expand Discover and Diners Club International card acceptance in Canada. Beginning in 2011, Moneris Solutions’ merchant customers will have access to the millions of Discover and Diners Club International cardmembers and their billions of dollars in spending.
The Diners Club International brand consists of cards issued outside North America, which are processed over Discover’s own network. BMO Bank of Montreal owns the North American Diners portfolio, which is processed via MasterCard’s platform.
Gerry Wagner, Discover's vice president of Global Acceptance, tells Payments Business, that the US cards company plans to “aggressively expand” acceptance of its cards in Canada. “Prior to the deal with Moneris, which is Canada’s largest merchant acquirer, Discover and Diners Club International cards had only a limited acceptance in Canada, primarily at destinations such as top hotels and restaurants along the US border where foreign tourists would stay,” he says.
Discover is talking to all of Canada’s seven merchant acquirers about accepting Discover and Diners Club International, Wagner says. “Our strategy on entering a market is always to start with the top acquirer first,” he says. “Our primary market in Canada will be merchants in the travel and entertainment sector. For acquirers, the benefit of accepting Discover and Diners Club International is that they will be able to expand their business, as they will be handling high-value transactions due to the nature of our cardmember base. This is a strong selling point when acquirers are talking to their merchant clients about taking Discover and Diners Club International.”
Wagner said he was very optimistic about signing deals with all Canada’s acquirers, but declined to say when this would happen.
"We are excited to be the first payments processor to offer Discover acceptance to the merchant community in Canada,” David Ades, SVP, Sales and Marketing at Moneris Solutions, said in a statement. “Discover provides a way for merchants to maximize their business growth opportunities through the millions of international travelers that enter Canada every year.”