Appriss Acquires The Retail Equation to Strengthen Efforts Around Fighting Fraud
and Mitigating Risk
Analytics, data, and modeling expansion is
backed by Insight Venture Partners
Appriss Inc., a leading technology provider for data, risk assessment and
analytics solutions for government, health information and commercial (including
retail) industries, announced it has acquired Irvine, California-based, The
Retail Equation (TRE).
Appriss will add The Retail Equation's expertise in analytics and predictive
modeling that are already delivering highly targeted real-time solutions that
benefit consumers by reducing fraud and managing risk in the retail space. This
expansion of capabilities is in line with Appriss' mission of keeping
communities safe and informed. "Combining data, technologies and approaches from
the two companies opens up a whole new set of innovative solutions for the
retail industry," said Mike Davis, CEO at Appriss. The investment enables
Appriss to immediately participate at deeper levels in the retail sector and
strengthen approaches to help combat organized crime and fraud.
"We believe that The Retail Equation and Appriss bring unique capabilities that,
together, provide a powerful approach to improving the overall shopping
experience by identifying and curbing employee dishonesty, consumer fraud and
organized crime within retail", said Deven Parekh, managing director at Insight
Venture Partners and chairman of the board for Appriss.
The Retail Equation is the first choice of leading retailers who seek to improve
the consumer's shopping experience while reducing shrink and return rates by
preventing fraud. The company's flagship product is a real-time return
authorization solution that instantly approves all legitimate merchandise
returns and stops the transactions for the 1% of consumers who exhibit
fraudulent or abusive behavior. TRE also offers a predictive analytics solution
that allows analysts to detect and investigate suspicious employee and consumer
activity quickly. A third solution automatically identifies and issues targeted
incentives that keep consumers shopping after making a purchase or valid return.
"Fraudulent and abusive returns cost U.S. retailers nearly $17 billion last year
alone," said Mark Hammond, The Retail Equation's CEO. "TRE's solutions help
retailers achieve an optimal return rate -- one that encourages consumer
purchasing and loyalty while preventing the extreme outlier behavior that leads
to such extraordinary loss. Our new relationship with Appriss will allow us to
leverage their unique data and deep relationships with law enforcement and
government agencies to deliver innovative approaches to the retail market."
The Retail Equation retained Wells Fargo Securities as exclusive financial
advisor and Goodwin Proctor LLP as legal counsel. Appriss retained Willkie Farr
& Gallagher LLP as legal counsel.
Appriss provides data-driven solutions to fulfill our mission of keeping
communities safe and informed. Partnering with public safety, government,
healthcare, and the commercial market, Appriss delivers solutions that prevent
fraud, mitigate risk, fight crime, ensure compliance, increase public safety and
save lives. Appriss' solutions are always backed by excellent customer support
with technical agents in the U.S. that are available to help 24x7x365.
For more information about Appriss, visit
The Retail Equation
The Retail Equation optimizes retailers' revenue and margin by shaping behavior
in every consumer transaction. The company's solutions use predictive analytics
to prevent fraud and abusive returns and then turn each individual shopper's
purchase or return into a more profitable experience. This yields immediate
financial payback, increasing store comps by as much as 2 percent, with
significant return on investment. The Software-as-a-Service applications operate
in more than 34,000 stores in North America, supporting a diverse retail base of
specialty apparel, footwear, hard goods, department, big box, auto parts and
For more information about The Retail Equation, visit