NCR Voyix Profile
NCR Voyix Corporation (NCR) operates as a software- and services-led enterprise technology provider that runs stores, restaurants and self-directed banking for the company’s customers, which includes businesses of all sizes.
The company’s software platform, which runs in the cloud and includes microservices and APIs that integrate with its customers' systems, and its NCR-as-a-Service solutions bring together all of the capabilities and competencies of NCR to power the technology to run the company’s customers’ operations.
The company’s portfolio includes digital first software and services offerings for banking, retailers and restaurants, as well as payments processing and networks, multi-vendor connected device services, automated teller machines (ATMs), self-checkout (SCO) kiosks and related technologies, point of sale (POS) terminals, and other self-service technologies. The company also resells third-party networking products and provides related service offerings in the telecommunications and technology sector. The company’s solutions are designed to support its transition to becoming a software platform and payments company.
NCR has grown organically, as well as through acquisitions, to add software, services and other capabilities that complement or enhance the company’s existing offer portfolio, including, but not limited to, acquisitions relating to payments and cryptocurrency, digital banking, ATM-as-a-Service, and commerce platform offerings. NCR continuously evaluates potential acquisitions and develops new solutions intended to support the company’s long-term strategy.
In 2021, NCR completed the acquisition, among others, of Cardtronics plc (‘Cardtronics’) to accelerate the company’s NCR-as-a-Service strategy adding the Allpoint debit network, which is highly complementary to the company’s payments platform and enables the company to connect retail and bank customers. In early 2022, NCR completed the acquisition of Moon Inc., dba LibertyX, with the intention of enabling NCR to provide a complete digital currency solution, including the ability to buy and sell cryptocurrency, conduct cross-border remittance, and accept digital currency payments across digital and physical channels.
Segments
The company operates through Retail, Hospitality, Digital Banking, Payments & Network, and Self-Service Banking segments.
Retail - The company offers software-led solutions to customers in the retail industry, leading with digital to connect retail operations end to end to integrate all aspects of a customer’s operations in indoor and outdoor settings from POS, to payments, inventory management, fraud and loss prevention applications, loyalty and consumer engagement. These solutions include retail-oriented technologies, such as comprehensive API-point of sale retail software platforms and applications, hardware terminals, self-service kiosks, including SCO, payment processing and merchant acquiring solutions, and bar-code scanners.
Hospitality - The company offers technology solutions to customers in the hospitality industry, including table-service, quick-service and fast casual restaurants of all sizes, that are designed to improve operational efficiency, increase customer satisfaction, and streamline order and transaction processing. The company’s solutions include POS hardware and software solutions, payment processing and merchant acquiring services, installation, and maintenance, as well as managed and professional services.
Digital Banking - NCR Digital Banking helps financial institutions implement their digital-first platform strategy by providing solutions for account opening, account management, transaction processing, imaging, and branch services to enable financial institutions to offer a compelling customer experience.
Payments & Network - The company provides a cost-effective way for financial institutions, fintechs, and neobanks to reach and serve their customers through the company’s network of ATMs and multi-functioning financial services kiosks. The company offers credit unions, banks, digital banks, fintechs, stored-value debit card issuers, and other consumer financial services providers access to the company’s Allpoint retail-based ATM network, providing convenient and fee-free cash withdrawal and deposit access to their customers and cardholders, as well as the ability to convert a digital value to cash, or vice versa, via NCRPay360. The company also provides ATM branding solutions to financial institutions, ATM management and services to retailers and other businesses, as well as payment processing and merchant acquiring services in the retail, hospitality and other industries.
Self-Service Banking - The company offers solutions to enable customers in the financial services industry to generate new revenue streams and enhance customer loyalty. These solutions include a comprehensive line of ATM hardware and software, and related installation, maintenance, and managed and professional services. The company also offers solutions to manage and run the ATM channel end-to-end for financial institutions that includes back office, cash management, software management and ATM deployment, among others.
Strategy
The key elements of the company's strategy are to focus on its customers; bring high-quality, innovative products to market; and leverage its brand.
Products and Services
The company is an enterprise technology provider selling a portfolio of digital-first software, as-a-service offers, services, payments and hardware. The company’s offerings fall into the following categories:
Retail
The company offers software-led solutions to customers in the retail industry, leading with digital to connect retail operations end to end to integrate all aspects of a customer’s operations in indoor and outdoor settings from POS, to payments, inventory management, fraud and loss prevention applications, loyalty and consumer engagement. These solutions are designed to improve operational efficiency, selling productivity, customer satisfaction and purchasing decisions; provide secure checkout processes and payment systems; and increase service levels. Solutions include retail-oriented technologies, such as comprehensive API-point of sale retail software platforms and applications, SCO, other hardware terminals and peripherals, payment processing and merchant acquiring solutions, consumer engagement solutions like eCommerce and loyalty programs, along with consulting, implementation, support and managed services to meet the company’s customers' needs.
Hospitality
The company offers technology solutions to customers in the hospitality industry, including table-service, quick-service and fast casual restaurants of all sizes, that are designed to improve operational efficiency, increase customer satisfaction, and streamline order and transaction processing. The company’s portfolio includes cloud-based and cloud-enabled software applications for point-of-sale, back office, payment processing, kitchen production, restaurant management, eCommerce and consumer marketing and loyalty. The company also provides hospitality-oriented hardware products, such as POS terminals, kitchen display systems, handheld devices, printers and peripherals. And finally, the company seeks to help reduce the complexities of running restaurants through the company’s services capabilities, including strategic consulting, technology deployment and implementation, support and managed services.
Digital Banking
NCR's Digital Banking segment offers solutions that enable anytime-anywhere convenience for a financial institution’s consumer and business customers. The company’s account opening software unifies the sales and onboarding experience across digital, branch and call center channels for mid-market community banks and credit unions. The company also helps financial institutions implement their digital first platform strategy by providing solutions for banking channel services, transaction processing, imaging, and branch services.
Payments & Network
The company offers solutions to customers in the financial services industry that power their digital transformation through software, services and hardware to deliver differentiated experiences for their customers and improve efficiency for the financial institution. The company’s Payments & Network segments offer credit unions, banks, digital banks, Fintechs, stored-value debit card issuers, and other consumer financial services providers access to the company’s Allpoint retail-based ATM network, providing convenient and surcharge-free cash withdrawal and deposit access to their customers and cardholders, as well as the ability to convert a digital value to cash, or vice versa, via NCRPay360. The company also provides branding opportunities for financial institutions on the company’s extensive ATM network, providing a way for banks to expand their presence and customer service and experience. The company’s solutions also support payment processing and merchant acquiring services in the retail, hospitality and other industries.
Self-Service Banking
The company’s managed services, including ATM-as-a-Service solutions, help banks run their end-to-end ATM channel, including transaction processing, managing cash and cash delivery, supplies, and telecommunications, as well as routine and technical maintenance, positioning NCR as a strategic partner. The company offers a full line of software, such as multi-vendor ATM management systems software application suite and related hardware, including multi-function ATMS, interactive teller machines (ITMs), thin-client ATMs, cash dispensers, and cash recycling ATMs.
Telecommunications & Technology
The company offers managed network and infrastructure services to enterprise clients across all industries via direct relationships with communications service providers and technology manufacturers. The company’s customers rely on it as a strategic partner to help them reduce complexity, improve cost efficiency, and enable global geographical reach. The company delivers expert professional, field, and remote services for modern network technologies, including Software-Defined Wide Area Networking, Network Functions Virtualization, Wireless Local Area Networks, Optical Networking, and Cloud Computing.
Target Markets and Distribution Channels
NCR provides solutions to customers of varying sizes in the retail, hospitality, financial, and telecommunications and technology (‘T&T’) industries.
The company provides the technology that helps customers run self-directed banking, which primarily centers around the company’s digital banking and ATM businesses, including software and services, as well as the company’s Allpoint retail-based and surcharge-free ATM network. The company’s solutions also serve the retail markets through convenience banking products for retailers designed to complement their core businesses. The company’s financial solutions customers are located throughout the world in both developed and emerging markets. The company has historically sold the majority of its Digital Banking, Payments & Network and Self-Service Banking segment solutions through a direct sales channel, and have augmented the company’s presence through distributors and value-added resellers.
The company provides solutions to the retail and hospitality industries that run the store and run the restaurant, including but not limited to, POS software and hardware, SCO software and hardware, loyalty software, supply chain and payment solutions. The company also provides store virtualization, Internet of Things (IoT), and micro-services platform solutions to modernize store and restaurant IT infrastructure. The company’s Retail segment customers include all sizes of food, drug and mass merchandisers, including grocery stores, drug stores, and big box retailers, as well as department and specialty retail stores, convenience and fuel retailers across the globe. The company’s Hospitality segment customers include quick service, table service and fast casual restaurants, small and medium size restaurants across independent restaurant operators, emerging and national chains, and large global brands. The company’s solutions are sold through a direct sales force and through relationships with value-added resellers, distributors, dealers and other indirect sales channels.
The company provides service and support for its products and solutions through services contracts with its customers. The company has also established managed services contracts with key customers and continues to pursue additional managed services relationships. The company also services competing technologies and third-party products. The primary sales channel for its services is its direct sales teams, which exist across all geographies where the company operates around the world. The company’s services professionals provide these services directly to end customers.
Research and Development
The company’s expenses for research and development were $217 million in 2022.
Patents and Trademarks
NCR owns approximately 1,350 patents in the United States and numerous other patents in foreign countries. The foreign patents are generally counterparts of NCR’s United States patents. Many of the patents owned by NCR are licensed to others, and NCR is licensed under certain patents owned by others. NCR also has numerous patent applications pending in the United States and in foreign countries.
NCR has registered certain trademarks, including service marks, in the United States and in foreign countries. NCR considers the ‘NCR’ and NCR logo marks, as well as its other trademarks (including service marks), to have significant value to NCR.
Seasonality
The company’s sales have been historically seasonal, with lower revenue in the first quarter (year ended December 2022) and higher revenue in the fourth quarter of each year. Such seasonality also causes the company’s working capital cash flow requirements to vary from quarter to quarter depending on variability in the volume, timing and mix of sales. In addition, revenue in the third month of each quarter is typically higher than in the first and second months.
Government Regulations
NCR is subject to a variety of evolving government laws and regulations, including those related to environmental protection, in the various jurisdictions in which NCR operates or its products are sold, or where the company’s offerings are used, including, for example, privacy and data protection laws, regulations and directives, and anti-corruption laws, such as the United States Foreign Corrupt Practices Act and United Kingdom Bribery Act.
The company’s digital banking business is subject to examination by the Federal Financial Institutions Examination Council (FFIEC); portions of the company’s payments-related business are subject to or contractually obligated to comply with certain anti-money laundering laws and regulations, such as the Bank Secrecy Act and their international counterparts; portions of certain businesses NCR recently acquired are customer-facing and may be subject to certain consumer protection requirements, such as oversight by the Consumer Financial Protection Bureau (‘CFPB’) and Federal Trade Commission (‘FTC’) and similar state or foreign agencies in the jurisdictions where they operate; and portions of certain businesses NCR recently acquired are subject to a number of foreign, federal and state licensing requirements, including money transmission, money services and virtual currency, which may be subject to regulatory changes in the future in the jurisdictions where they operate.
Competition
In the financial industry, the company’s Digital Banking, Payments & Network and Self-Serve Banking segments face a variety of competitors offering financial services and software, including among others, Fidelity National Information Services, Inc., Fiserv, Inc., Q2 Holdings, Inc., Temenos AG, Infosys Ltd., Alkami Technology, Inc. and ACI Worldwide, Inc. In addition, the company faces competition from ATM manufacturers, including Diebold Nixdorf, Inc. and Hyosung TNS Inc.; and ATM network operators, including Euronet Worldwide, Inc.
The company’s competitors include Toshiba Tec Corporation, Flooid, Oracle Corporation, GK Software SE, PAR Technology Corporation, Olo Inc., Aptos, Inc., Lightspeed, Diebold Nixdorf, Inc., Fujitsu Limited, SAP and HP Inc., among others. In addition, the company faces new competitors including Toast, Inc., Revel Systems, Inc., Square, Inc., and Upserve, Inc., among others.
The company also face services competition from global enterprise technology companies, including IBM Corporation and CompuCom (owned by Variant Equity Advisors), among others.
History
The company was founded in 1881. The company was incorporated in 1884. It was formerly known as NCR Corporation and changed its name to NCR Voyix Corporation on October 13, 2023.
