American Express is planning to continue refreshing its credit and charge card products in 2021. The news is just one of multiple announcements from a recent investors’ call held by members of the financial powerhouse.
Amex CEO Hails Success of Coronavirus At-Home Perks
Speaking at the December 8 earnings call, American Express CEO Steve Squeri identified a product refresh and cardholder retention as two of the company’s top plans in 2021.
Speaking with investors, Squeri highlighted the success Amex is having with at-home benefits that have been launched since the outbreak of the coronavirus pandemic. Those at-home perks include statement credits for streaming services and mobile phone service provider purchases. It has even offered a free Uber Eats premium membership to cardholders.
According to Squeri, the success of the revamp program has been overwhelming:
You mentioned streaming, and you mentioned wireless. 75% of our customers that had Platinum cards in the U.S. took advantage of those credits. 60% of our small business customers, 40% of our co-brand customers, 90% of our international Platinum cardholders took advantage of value injection. And one of the statistics, as we looked at our Platinum cardholders, we had people — so 11% of our Platinum cardholders had not put wireless on their card, and 9% had not put streaming on their card. And so, we now have that from a recurring perspective, and we feel really good about that.
American Express Product Refresh Vital to Customer Retention
These product refreshes have helped retain premium cardholders during a time of travel upheaval. Given the success of the program, and the retention of highly valued Platinum cardholders, future updates appear to go together with the company’s retention goals.
Those plans to retain as much of its client base as possible were also front-and-center in the call. “I think from a card existing cardholder perspective, we’re going to be very focused on retention,” Squeri told investors. “We’ve had retention levels that are, you know, probably better than we’ve ever had. Certainly, better than we had in 2019. And we will continue to do that through…product refreshes.”
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