DOTZ3 Dotz

Dotz S.A. is a publicly traded Brazilian company, with common shares listed on B3 under the ticker DOTZ3, that serves as the parent of an ecosystem focused on loyalty, marketplace, and digital financial solutions. The company controls CBSM - Companhia Brasileira de Soluções de Marketing S.A., Companhia Global de Soluções e Instituição de Pagamentos S.A. (Dotz Pay), and Noverde S.A., all privately held corporations. Its origins date back to the early 2000s, when it launched a coalition-model loyalty program in a context where the Brazilian loyalty market was heavily concentrated in airline and card-issuer programs aimed at high-income consumers. The proposal was to create a single “currency” of points, the Dotz, targeting a broader audience and connected to both physical and online retail.

Throughout its history, the company has consolidated the Dotz Program as the core of its business model and expanded its scope of operations. In February 2019, through its subsidiary CBSM, it acquired Netpoints, then the only relevant competitor in the Brazilian retail coalition loyalty program market, which expanded its customer base by around 15 million users and strengthened its presence in new regions, especially in the interior of the state of São Paulo. In 2020, it launched Conta Dotz, a digital account that made it possible to integrate payment and financial services features into the loyalty ecosystem. In 2021, it obtained a category “A” public company registration with the CVM and signed agreements with Antfin Singapore Holding Pte. Ltd., an affiliate of Ant Group, involving the acquisition of a minority stake in the company and cooperation for business development.

Dotz’s business model is structured around three highly integrated pillars: Loyalty (coalition loyalty program), Marketplace/Super App (digital engagement and e-commerce platform), and TechFin (financial and credit solutions). Through CBSM, the company issues and sells loyalty points to commercial partners such as credit card issuers, supermarkets, drugstores, gas stations, and other retailers. These partners allocate Dotz points to their customers, who can redeem them in the form of products, services, discounts, or cash conversion, depending on the features available on the platform. Loyalty revenue essentially arises from the sale of points and the provision of marketing services, and is recognized as the points are redeemed by users.

Building on the loyalty program, Dotz developed a digital ecosystem with an omnichannel presence, combining offline transactions at partner retail networks with online operations on its own marketplace and digital channels. The Dotz SuperApp integrates features for earning and redeeming points, browsing a catalog of products and services, personalized promotions, cash back, and access to the Dotz Digital Account. The company operates an affiliate marketing and marketplace platform, which is still relatively small in revenue compared with the other pillars but benefits from a base of tens of millions of registered users and detailed knowledge of their consumption habits. The entire purchasing and delivery flow for the products sold is carried out by commercial partners, while Dotz is responsible for intermediation, processing of transactions, and transfer of funds.

On the TechFin front, Dotz broadened its scope with the acquisition of Noverde, a fintech specializing in consumer credit solutions under a B2B2C model. With this transaction, completed in 2022, the company came to hold 100% of Noverde’s capital and incorporated into the ecosystem a digital credit infrastructure that covers technology integration, underwriting, fraud prevention, regulatory compliance, and collection. From that point on, Dotz began offering, directly through its own channel (web and app) and third-party channels, unsecured personal loans and credit intermediation services, in partnership with financial institutions responsible for providing the funds. In TechFin, the company also operates in co-branded cards, a digital account with payment services (PIX, TED, QR Code), and, more recently, “Buy Now, Pay Later” (BNPL) solutions, such as the Dotz Parcela product, which is being implemented at partner retailers’ points of sale.

The main operating segments are Loyalty and Marketplace, on one side, and TechFin, on the other. In the year ended December 31, 2024, net revenue from Loyalty and Marketplace accounted for approximately 57.1% of total net revenue, while TechFin represented around 42.9%. As of the same date, the loyalty unit had a base of 54 million registered members, making the Dotz Program one of the key coalition programs in the country. The company monetizes this ecosystem through the sale of points, marketing services, and data intelligence to partners, in addition to compensation for the offering and collection of credit products. Among the partners with the largest share of 2024 revenue, four together account for a significant portion of billings, with a single partner concentrating more than 30% of net revenue, which highlights a material dependence on large commercial contracts.

Dotz operates mainly in the Brazilian market, with no revenue generated abroad in recent fiscal years, and runs a B2B2C platform that connects retailers, financial institutions, and end consumers. The company positions itself in three markets: coalition loyalty, digital marketplace, and data-based financial services, with a more established presence in the loyalty program segment. In the financial services market, its activities are focused on offering co-branded cards, personal loans, and BNPL solutions, in partnership with banks and other regulated institutions, in a competitive environment dominated by large financial groups and fintechs. The transaction database – including profile, location, SKU-level shopping baskets, payment methods, and history – is used to generate individualized insights and digital CRM solutions, helping partners acquire and retain customers.

From a regulatory standpoint, Dotz is subject to a set of rules applicable to digital businesses, notably Brazil’s personal data protection legislation. The General Data Protection Law (LGPD) and the guidelines of the National Data Protection Authority (ANPD) directly affect how the company collects, stores, and processes data for millions of users in its data lake. In addition, payment-related operations and the Dotz Digital Account subject the company and its subsidiaries to rules applicable to payment institutions. In 2022, Dotz Pay filed a request with the Central Bank of Brazil for authorization to operate as a payment institution in the electronic money issuer category, an authorization that was still under review as of the reference date of the form. The company does not report being subject to any specific foreign regulations in its activities.

In the environmental, social, and governance (ESG) field, Dotz states that its activities do not generate significant negative environmental impacts and, for that reason, it does not adopt a formal social-environmental responsibility policy or publish a sustainability report. As of the reference date, the company did not prepare a greenhouse gas emissions inventory, did not use ESG materiality matrices, and did not follow specific international standards such as TCFD or the UN SDGs in public reports. Corporate governance is linked to its status as a publicly traded company listed on B3, subject to CVM rules, Brazilian capital markets transparency requirements, and, additionally, regulatory requirements related to data protection and payment and credit intermediation activities, which shape risk and compliance management in its digital business model.