PAR Technology (PAR Quick QuotePAR - Free Report) announced that its customer loyalty and engagement platform, PAR Punchh, has been selected by Insomnia Cookies.

Punchh is an enterprise-grade platform, which is designed for businesses to increase customer loyalty and engagement across restaurants, retail, convenience stores and hospitality. It offers a comprehensive suite of tools to help businesses create and manage loyalty programs, engage customers through personalized marketing and gather insights through data analytics.

This industry-leading loyalty and offer solution leverages artificial intelligence to provide recommendations, incentives and integrated offers while growing its clients' superfan base. The platform also integrates the capabilities of Brink Point-of-Sales (POS), which is a cloud-based POS system enabling businesses to manage orders, payments, inventory and customer interactions.

The platform stands out as one of PAR's most successful ventures for its record-breaking user usage across multiple quarters. In the third quarter of 2023, the platform alone witnessed year-over-year growth of 8.2% in annual recurring revenues (ARR). Punchh has also seen the lowest churn rate among all the platforms offered by PAR. The company even stated that it is experiencing the return of customers to the PAR platform who had previously churned out.

Growing Through Acquisitions

PAR Technology acquired Punchh Inc. in April 2021 for its impressive customer base, exceptional growth, 100% net dollar retention and very high customer satisfaction scores. Since then, the company has added multiple logos to its business that include the likes of Stinker Stores, SmokinJoe Barbeque, Snooze AM Eatery, CKE Restaurants, Zaxby and Booster juice.

Alongside Punchh, the company has also acquired Techknow multi-sensor drive-thru timer. Following the acquisition, PAR combined the multi-sensor timing solution with drive-thru communications and Brink POS products to offer a comprehensive drive-through experience to its restaurant operator clients. This package included installation, customer support and service.

The company acquired MENU in August 2022, through which it added an online ordering feature to PAR’s unified platform. The company stated that through MENU’s capabilities, it partnered with brands like Burger King, Scooters Coffee, Coconut Kenny's and Restaurant Services Limited. The company has 1,100 sites using the MENU platform, with 750 of these added to its portfolio in the third quarter of 2023 alone.

PAR Technology is capitalizing on ongoing acquisitions, with its subscription services reaping the rewards of revenue growth. Specifically, in the third quarter of 2023, the subscription service segment experienced a remarkable increase of 24.6% in revenues, along with corresponding ARR growth of 20.4%.

Zacks Rank and Stocks to Consider

Currently, PAR carries a Zacks Rank #3 (Hold). Shares of PAR Technology have returned 48.1% in the past year.

Some better-ranked stocks from the broader technology sector are Kanzhun (BZ Quick QuoteBZ - Free Report) , Ceridian HCM and Everbridge , each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Kanzhun's fourth-quarter 2023 earnings has been revised downward by 2 cents to 16 cents per share in the past 30 days. Shares of BZ have declined 33.6% in the past year.

The Zacks Consensus Estimate for Ceridian HCM’s fourth-quarter 2023 earnings has been revised by a penny northward to 32 cents per share in the past 90 days. Shares of CDAY have gained 6.6% in the past year.

The Zacks Consensus Estimate for Everbridge’s fourth-quarter 2023 earnings has declined by a penny in the past 60 days to 49 cents per share. Shares of EVBG have plunged 19.5% in the past year.