From retail to fintech, Tony Karp’s leadership journey is all about transforming businesses with customer-first strategies
Tony, please tell our readers about your journey and what led you to become the CEO of Prezzee.
A: I’ve had a pretty dynamic career, spanning across many different industries, but the common thread has always been customer centricity. I started out in hospitality, transitioned into professional services, even studied accounting. From there, I moved into property and then retail, which ultimately paved the way for my involvement with Prezzee.
Before joining Prezzee, I was at David Jones, Australia’s oldest department store, where I handled both the property portfolio and the gift card business. This role gave me a deep understanding of the gift card industry from a retailer’s perspective. I saw how gift cards could drive both customer traffic and additional spending. When David Jones was acquired by Woolworths, I was approached by a major shareholder of Prezzee—someone I’d connected with through the property side of my work—who asked if I’d be interested in consulting for Prezzee.
At that time, Prezzee was still a small operation—about eight people in a shared office space in Sydney, generating around $12 million in annual sales. I was initially brought in as an external consultant in 2018 to help the company focus on expanding and boosting revenue. My role quickly evolved, and I became employee number 10 and the CEO, overseeing what would turn into several years of rapid growth. It was an exciting ride as we expanded globally, including the US and UK markets.
In mid-2022, I took a step back from the company, but then this year, decided to return to help support the US business, which has so much potential. I rejoined the company as President of the North American division, and I’ve been focused on making sure we get our go-to-market strategy going. It’s been a rewarding experience to help steer the business into new markets.
Your expertise in transformation and turnaround is impressive. What do you believe are the key elements that drive a successful transformation in any business?
A: When it comes to driving a successful transformation, there are a few key elements that are absolutely critical. First, you need alignment. Everyone in the organization has to be singing from the same sheet of music, understanding the vision and where the business is headed. If there’s alignment, you can move mountains.
Second, leadership is essential. You need leaders who can effectively communicate that vision and make it inspirational. People need to genuinely believe in the journey, and the vision has to make sense for the business—it can’t be a complete pivot from what the company is already doing. Transformation needs to feel like a natural extension of where the company is going, and those participating in it should contribute to the process. A vision that’s not grounded in reality won’t get the buy-in needed for success.
Third, accountability is key. Everyone involved needs to feel a sense of responsibility, knowing not just what happens if we succeed, but also what happens if we don’t. It’s not about instilling fear, but about creating clear expectations and outcomes, whether they are incentives for success or consequences for missing the mark. Accountability creates that sense of ownership in the transformation journey.
Lastly, I’d say transparency, integrity, and follow-through are just as important. When there’s transparency and clear communication, and when leadership shows they’re as invested in the process as everyone else, it builds trust. You need to showcase that you have skin in the game, that you’re as dedicated to the success of the transformation as the rest of the team. And when deadlines are missed or challenges arise, following through with honest explanations helps keep the momentum going and prevents doubt from creeping in.
Put these elements together, and you create an environment where transformation is not just possible, but sustainable.
You’ve grown a fintech startup significantly in a short span. What strategies were crucial in scaling the business from A$50m to A$1b in revenue?
A: The growth journey for Prezzee was unique in many ways, particularly because the company started with a limited runway and needed a clear pivot point to drive expansion. One of the most critical strategies we employed was understanding how to stretch the product beyond its current state. At the time, we had a strong product in the consumer space, but wanted to expand our offering in the business to business space. What we did was envision what that product could become, what I like to call “product stretch.”
We knew we had the foundations in place, and with the right clients, we could tweak the product slightly to meet bigger needs. This stretch allowed us to use the same base but extend its capabilities to meet new use cases. It wasn’t about doing something radically different but rather evolving in small, impactful ways.
The real light bulb moment came when we realized we could use third-party platforms to sell digital gift cards. That led to the development of a marketplace solution, and soon we had multiple buy now, pay later (BNPL) companies globally using our platform. At one point, we had six different BNPL players onboard, including giants like Afterpay. This marketplace approach allowed us to white-label our product, effectively embedding our solutions into other companies’ platforms. Most of their customers never knew they were actually purchasing through us, which is exactly how it was meant to be.
What made this model successful was our focus on customer centricity. Whether a customer came to us directly or through a BNPL partner, they received the same level of care and support. We treated Afterpay’s customers as if they were our own, offering seamless service. That consistency in experience, no matter where or how customers interacted with our product, was a key differentiator that helped build trust and long-term relationships.
A lot of companies aim for huge, quantum leaps in product innovation or business strategy. For us, it wasn’t about reinventing the wheel. We already had something good — we just needed to stretch it. And that led to the formation of what we now see as a third pillar of the business: B2B2C. We started with B2C, added B2B, and now we have a white-label, marketplace-based solution where we can help third parties grow their transactional revenue, all while fostering human connection through gifting.
This strategic approach has allowed us to scale sustainably, adding new revenue streams without straying from our core mission. Our ability to partner with other companies who had captive audiences helped us drive incremental revenue in mutually beneficial ways, and this model continues to be a key part of our future growth strategy.
Transforming the IT and technology function at Australia’s oldest department store must have been a unique challenge. How did you approach modernizing such a traditional institution?
A: Modernizing an institution like David Jones, which has such a rich history and deeply ingrained traditions, was certainly a challenge, but it was also an opportunity. One of the key aspects of our approach was recognizing the need for transparency, integrity, and follow-through throughout the process. These values became the backbone of our strategy, but beyond that, the way we communicated change was crucial.
Change in any organization — especially one as established as David Jones — can evoke a range of emotions. Some people are excited about the possibilities, while others are fearful or resistant, especially when it impacts their daily roles. So, the first step was to ensure that communication was authentic, frequent, and tailored to the audience. Some employees needed to hear the message once, while others needed reassurance multiple times. The key was to be transparent about why we were making the changes, what the end goal was, and how it would ultimately benefit the company and its customers.
From a customer perspective, we made a conscious effort to ensure that any internal restructures or IT system overhauls would not negatively impact their experience. The customer always remained central to our decision-making. If there was a potential customer impact, we took proactive steps to mitigate it so that their experience remained seamless. In fact, our goal was to take the customer out of the equation entirely when discussing internal changes. The focus was purely on how to better support our team and operations without disrupting the customer journey.
If you get that balance wrong, you risk alienating both your customer base and your internal team. And in a company like David Jones, where legacy and loyalty are so important, the stakes are even higher. So, along with being clear on the business case for modernization, we worked hard to ensure that our teams felt supported, involved, and aligned with the broader vision for the future. Communication, more than anything, was the glue that held everything together. It’s not enough to just have a great plan — you have to be able to bring people along with you on that journey, and that’s what helped us successfully navigate the transformation.
Having held multiple C-suite roles, how do you adapt your leadership style to different functions like CRO, CFO, and COO before becoming a CEO?
A: The key to adapting your leadership across different roles is authenticity. If you’ve been successful in one role, it’s often because you brought your genuine self to that position. When you transition to a new role, take the same authenticity with you. Passion and authenticity are hard to fake, and if you don’t genuinely believe in what you’re doing, it’s unlikely others will follow you.
It’s also important to acknowledge that you won’t know everything when you step into a new function, and that’s okay. Most people expect that when you enter a new role, you’re not going to be an expert right away. So, it’s vital to balance what you know with a willingness to learn and collaborate. Being overly confident or acting like you know everything can backfire.
One common practice in many successful companies is moving executives between different departments. It helps with succession planning and gives leaders a deep, intimate understanding of various parts of the business. Even if you don’t have granular product knowledge, you can learn how different teams respond to challenges and how each area operates. This broader view lets you approach leadership with greater empathy and authenticity.
In the long run, these experiences allow you to communicate changes more effectively, tailoring your messaging to different parts of the organization. If you’ve been in their shoes, you know how to speak their language, address their concerns, and implement best practices from different areas of the business. It fosters a well-rounded leadership approach that can drive the company forward as a cohesive whole.
In your experience, how does aligning strategy, culture, and people contribute to a business’s overall success, particularly in high-growth environments?
A: Achieving alignment between strategy, culture, and people is the ultimate goal for any business. It’s not a matter of one being more important than the other — strategy and culture have to coexist, and it’s the people who bring them to life. They execute the strategy and embody the culture. If you have a solid strategy but people who don’t fit the culture, they can cause more damage than someone who struggles with strategy. On the other hand, a great culture without a clear strategy is like having a car with no destination — you’ll end up going nowhere.
In my early career, I believed strategy trumps culture. However, over time, I learned that while strategy is crucial, it’s often culture that shapes long-term success. If your team doesn’t understand or believe in your purpose, even the best strategy won’t help. Culture gives employees a sense of direction and purpose, helping them connect to the broader goals of the company.
It’s also crucial that your leadership team understands and communicates the strategy clearly. If you ask five executives what the strategy is and get five different answers, that’s a huge red flag. Whether it’s a breakdown in communication or a lack of cohesion, it points to both a culture and strategy issue. In the most effective organizations, the process of building strategy involves input from all levels of leadership, creating ownership and alignment from the bottom up rather than top-down.
Given your diverse experience across fintech, retail, and property sectors, what similarities and differences do you find when implementing transformation strategies in these industries?
A: Across all industries, whether it’s fintech, retail, or property, the most important focus is always the customer. It’s essential to put the customer at the center of every transformation. In today’s world, especially with the influence of social media, customer experience can make or break a company. Even if the customer is wrong, businesses need to be quick in addressing their concerns, ensuring they feel heard, valued, and ultimately satisfied. Treat customers how you’d want to be treated — quick, easy, seamless resolutions are key. If something goes wrong, you must aim to turn their negative experience into a positive one. This builds long-term relationships, and at the end of the day, customer satisfaction drives growth.
While customer focus is a universal principle, the differences lie in the business models across these industries. Fintech and retail, for example, share similarities in being low-margin, high customer touchpoint businesses. This requires rapid, efficient customer service that can handle high volumes. On the other hand, sectors like property tend to have higher margins but lower volumes, allowing for a more tailored, relationship-driven service model.
For instance, in a high-margin business like property, you can afford to spend significant time building individual relationships with your customers because you’re handling fewer transactions. But in a low-margin business like retail or fintech, you need a fast, scalable customer service process to handle the volume. The challenge comes when companies try to apply the service model from one type of business to another without adapting to these differences.
So, the key takeaway is that your service model must align with your business model. Companies that fail often do so because they try to apply a one-size-fits-all approach to customer service, not recognizing the specific demands of their industry.
What role do innovation and technology play in your approach to business transformation, and how do you ensure they are integrated effectively?
A: Innovation and technology are at the heart of any successful business transformation, but it’s important to remember that transformation can mean different things to different people. For some, it’s as simple as upgrading from a plastic gift card to a digital one, while for others, it may involve adapting to entirely new ways of doing business. At its core, transformation is about helping people navigate change and making sure that the transition is as seamless as possible.
At Prezzee, we view technology and innovation as tools to enhance ease and empowerment. Our goal is to make processes simpler, whether for a small, minority-owned bakery with a handful of employees or a large enterprise with thousands of workers globally. We focus on creating an effortless experience for our customers, from the initial purchase to the delivery of digital gift cards. But it doesn’t stop there — we also help ensure that the recipients, who are often less familiar with digital transformation, have a smooth and intuitive experience.
What sets us apart is that we don’t just implement technology; we guide our customers through the entire journey. We don’t just offer a product — we offer a partnership. We anticipate challenges, offer solutions, and provide ongoing support to make sure our clients and their customers can adapt easily.
Ultimately, innovation and technology at Prezzee are about personalization and flexibility. By offering recipients the power to choose what they want and eliminating the guesswork for businesses, we’re ensuring that transformation leads to better outcomes for everyone involved. We’re constantly iterating and improving our processes to ensure that, no matter where our customers are on their transformation journey, we can meet them where they are and help them move forward.
What are your goals for Prezzee, and how do you plan to continue driving growth and success for the company?
A: Our goal at Prezzee is to transform the gifting experience across the U.S., particularly by making digital rewards the standard. Right now, only about 40% of gift cards in the U.S. are digital, meaning 60% are still physical plastic cards. There’s so much inefficiency in that—someone has to buy the card, package it, mail it, and hope it doesn’t get lost or forgotten in a drawer. Our mission is to make gifting easier, more convenient, and more memorable through digital innovation.
We aim to give recipients the ultimate choice and flexibility. Instead of receiving a gift card for a single store, which might not be relevant to their needs, they get a Prezzee card that allows them to shop at over 400 retailers. This flexibility shifts the gifting power to the recipient. For example, I may think you want perfume, but you may prefer a spa day. The gift should be meaningful to the receiver, not just convenient for the giver.
Personalization is another key component of our growth strategy. We want to elevate the gifting experience beyond just the transaction. By allowing personalized messages, videos, or even fun gestures like dressing up in a chicken suit to send a memorable greeting, we create an experience that people won’t forget. It’s not just about the gift itself, but the lasting impression it leaves. This creates a strong emotional connection and brand loyalty.
Looking ahead, we’re focusing on building a platform that not only makes digital gifting easier but also turns every gifting occasion into a unique, memorable experience. Whether it’s helping a small business show appreciation to its employees or enabling a major enterprise to reward thousands of customers globally, Prezzee’s aim is to make the process seamless, personalized, and impactful.
In terms of driving growth, we’re expanding our partnerships and continuing to refine our product to meet the needs of both individuals and businesses. As we scale, we’ll keep innovating to ensure that we’re not only keeping up with the market but setting new standards for what gifting should look like in the digital age.
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