ACI Worldwide and Co-op Extend Strategic Technology Partnership

Rhea-AI Summary

ACI Worldwide (NASDAQ:ACIW) and Co-op, a leading U.K. convenience retailer, have extended their strategic technology partnership. Co-op will continue utilizing ACI's Payments Orchestration Platform for its 2400 stores across the UK, encompassing in-store, online, and mobile payment processing alongside comprehensive payments and fraud management.

Key developments include Co-op's successful migration of its payments and fraud prevention software to ACI's multi-tenant cloud platform hosted in Microsoft Azure in 2024, enhancing scalability, security, and data protection. The retailer implements ACI's point-to-point encryption and tokenisation technology to secure payments data.

Positive

• Strategic partnership renewal with major UK retailer operating 2400 stores
• Successful migration to cloud platform expanding scalability and security
• Implementation of advanced payment security features

Negative

• None.

Insights

Financial Technology Analyst

This partnership extension represents a significant client retention win for ACI Worldwide in the competitive payment processing landscape. Maintaining a relationship with a 2,400-store retailer like Co-op secures an important revenue stream and validates ACI's technology offering in the market.

The 2024 migration of Co-op's payment stack to ACI's multi-tenant cloud platform on Microsoft Azure is particularly noteworthy. This transition likely transforms the relationship into a more profitable SaaS-based model compared to traditional deployments, potentially improving ACI's margins and recurring revenue predictability.

Payment processing relationships typically feature high switching costs once deeply integrated into a merchant's operations. Co-op's continued use of ACI's comprehensive solution suite—spanning in-store, online, mobile payments, and fraud management—suggests significant integration depth that creates barriers to competitor entry.

The security components highlighted (point-to-point encryption and tokenization) demonstrate ACI's technical capabilities in addressing critical merchant concerns around payment data protection, especially relevant given increasing regulatory requirements in the payment space.

While financial terms aren't disclosed, maintaining established enterprise client relationships is fundamental to ACI's business model, as client retention is typically more cost-effective than new client acquisition in the payment technology sector.

Retail Technology Specialist

Co-op's decision to extend its ACI Worldwide partnership highlights the strategic importance of payment technology for modern retailers. For a convenience operator with approximately 2,400 locations across the UK, payment systems represent critical infrastructure that directly impacts customer experience, operational efficiency, and security posture.

The migration to ACI's cloud platform in 2024 delivers three strategic advantages critical for Co-op's competitive positioning. First, it provides the scalability needed to support growth ambitions in a highly competitive UK convenience sector. Second, it enhances their security profile through advanced payment protection technologies. Third, it enables faster deployment of payment innovations that can differentiate the shopping experience.

For convenience retailers like Co-op, where transaction speed and frictionless checkout experiences directly correlate with customer satisfaction, robust omnichannel payment orchestration creates meaningful operational advantages. The convenience sector typically processes higher transaction volumes with smaller basket sizes compared to larger format retailers, making payment efficiency particularly impactful on overall operations.

The holistic approach—covering in-store, online, and mobile channels—indicates Co-op is positioning its payment infrastructure to support evolving consumer preferences and shopping behaviors. This flexibility becomes increasingly important as convenience retailers expand their digital capabilities while maintaining physical store relevance.

Partnership extension enables leading U.K. convenience retailer to continue to scale and innovate, supporting growth ambitions.

OMAHA, Neb. & LONDON--(BUSINESS WIRE)-- ACI Worldwide (NASDAQ:ACIW), an original innovator in global payments technology, and leading U.K. convenience retailer Co-op have announced an extension of their strategic technology partnership. The agreement will see Co-op continue to use the full range of solutions offered by ACI’s Payments Orchestration Platform, including in-store, online and mobile payment processing as well as end-to-end payments and fraud management.

Co-op operates around 2400 stores in towns, villages and cities across the UK. As a strategic technology partner, ACI has supported Co-op with the launch of several innovative payment initiatives in recent years. For example, Co-op uses ACI’s point-to-point encryption and tokenisation technology to secure its payments data to the highest standard.

In 2024, Co-op successfully moved its full stack of payments and fraud prevention software into ACI's multi-tenant cloud platform hosted in Microsoft Azure. The migration providing scalability, added security and enhanced data protection.

“ACI Worldwide has a long and successful track record of delivering innovative merchant payment and fraud prevention capabilities,” said Erich Litch, general manager of payment software at ACI Worldwide. “ACI’s market-leading payments software solutions provide merchants across the globe with the flexibility to design and configure new products quickly while managing payments effectively and securely.”

“We are excited and proud to extend our longstanding partnership with Co-op,” added Nick Craig, head of Europe, ACI Worldwide. “ACI’s cutting-edge technology will allow Co-op to continue to scale and launch new, complex innovative projects, underscoring its position as one of the leading retailers in the U.K.”

“We are pleased to continue our longstanding and successful partnership with ACI Worldwide,” said Paul Fletcher, Head of Payments, Co-op. “Co-op is growing and investment in new technology supports our work to ensure an easy, quick and convenient shopping experience for shoppers. We aim to operate the best small shops, and our partnership with ACI Worldwide enables us to provide increased payment security, choice and convenience.”

About ACI Worldwide

ACI Worldwide, an original innovator in global payments technology, delivers transformative software solutions that power intelligent payments orchestration in real time so banks, billers, and merchants can drive growth, while continuously modernizing their payment infrastructures, simply and securely. With nearly 50 years of trusted payments expertise, we combine our global footprint with a local presence to offer enhanced payment experiences to stay ahead of constantly changing payment challenges and opportunities.

© Copyright ACI Worldwide, Inc. 2025

ACI, ACI Worldwide, ACI Payments, Inc., ACI Pay, Speedpay, and all ACI product/solution names are trademarks or registered trademarks of ACI Worldwide, Inc., or one of its subsidiaries, in the United States, other countries, or both. Other parties’ trademarks referenced are the property of their respective owners.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250325969244/en/

Media

Nick Karoglou | Head of Communications and Corporate Affairs | nick.karoglou@aciworldwide.com

Katrin Boettger | Communications and Corporate Affairs Director | katrin.boettger@aciworldwide.com

Source: ACI Worldwide

FAQ

What services will ACI Worldwide (ACIW) provide to Co-op under the extended partnership?

ACI will provide its Payments Orchestration Platform, including in-store, online and mobile payment processing, along with end-to-end payments and fraud management solutions.

How many Co-op stores will benefit from ACI Worldwide's (ACIW) payment solutions?

Around 2400 Co-op stores across UK towns, villages and cities will benefit from ACI's payment solutions.

What technology improvements did Co-op implement with ACIW in 2024?

Co-op migrated its payments and fraud prevention software to ACI's multi-tenant cloud platform hosted in Microsoft Azure, improving scalability and security.

What security features does ACIW provide for Co-op's payment system?

ACI provides point-to-point encryption and tokenisation technology to secure Co-op's payments data to the highest standard.