Latest news with #U.S.ConsumerServices
Yahoo
8 hours ago
- Business
- Yahoo
American Express hints at a big upgrade to its Platinum card, designed to lure a lucrative and fast-growing segment of customers
Amex CEO Steve Squeri wants more high-spending Millennials and Gen Z-ers to join his company's upper echelon ranks. And he's starting to give hints of just how exactly he plans to lure more of them to the fold, announcing on June 16 that the company will implement a big upgrade late this summer, or in the early fall to its Platinum card. The company says this will be its biggest investment ever in a card program. 'We'll see two areas of investments,' adds Howard Grosfield, Group President for U.S. Consumer Services. 'We'll double down on all the things our cardmembers love now. And we'll be adding lots of exciting new brands.' Amex has positioned the Platinum card as the most expensive in its class at $695 a year (Chase Sapphire at a comparable level costs $550.) But as Grosfield points out, the Millennials and Gen Z crowd believe they're reaping value well beyond the annual price of entry. The proof: The groups covering the mid-20s to mid-40s age spectrum now comprise 75% of Amex's new accounts acquired on its two premium cards, Platinum and Gold, for 2024, up from 60% in 2019. Gen Z consumer card members grew 40% in Q1 2025 versus Q1 2024, yet the credit record for the two demographics proved better than the industry average. Last quarter alone, Millennial and Gen Z accounted for total 35% U.S. consumer spend. The fast-rising numbers signing on at $695 helped increase net card fee revenue last year by 18%. These youthful troops, says Amex, are proving extremely loyal. The company doesn't disclose quit rates by category, but avows that its all-in retention figure stands at 98%. The strategy dates back to 2021, when three years into the job, Squeri reckoned that the financial services giant's best path to growth lay in attracting a far younger generation of shoppers than the affluent boomers that had traditionally formed his enterprise's—and the industry's—main target. Squeri took aim at Millennials, now 29 to 44, and Gen Z'ers, today's twenty-somethings, and narrowed his sweet-spot for Platinum to the high-income layer boasting excellent credit records. Prior to that refresh, the Platinum benefits focused on travel, chiefly offering deals on the likes of hotel stays, airfares, and access to airport lounges. As the COVID lockdown lifted, Squeri and his team reckoned that the Millennial and Gen Z elite would be craving fresh adventures. So Amex greatly broadened its offerings to cover the breadth of their athletic, treat-seeking lifestyles by adding perks in entertainment, wellness and upscale shopping. Amex also recognized that this cohort comprising everything from lawyers, to investment bankers, to software engineers and rising executives didn't pay like their parents. These were digital natives who often didn't even carry cash, and charged virtually everything on their cards. They were earning more points toward more goodies than any other generations, and getting hooked. Plus, they relished apps that by tapping a few clicks, could bring them a seat in the hottest new restaurants that were always 'booked,' or arrange a tennis lesson on red clay courts during business trip to Paris. The carrot that attracted the younger generation: a new array of perks covering all territories of their leisure lives. They added a digital entertainment benefit award of $240 a year towards subscriptions for such providers as the Wall Street Journal, The New York Times, Disney+, ESPN+ and Hulu. Amex tapped the Millennial and Gen Z yen for Uber by awarding $200 a year for rides on the service, and cardholders garner $300 each towards memberships at Equinox and SoulCycle. As for shopping, Platinum bridges luxe to daily staples, furnishing a $100 credit at Saks Fifth Avenue and Walmart+ membership offering discounts on fuel and in-home pickups for returns. The travel services are trending more more and more to the one-on-one and bespoke: AMEX's crew of 7,000 personal travel consultants can plan your itinerary for holidays in Croatia or book you at a rock concert at Wembley. AMEX also hit an ace by making a major foray into restaurant reservations. Its first move came in 2018, the year Squeri advanced to CEO, via the acquisition of Resy; its app guarantees Platinum holders bookings at super-popular eateries where it would normally take days or weeks to get a table. Today, Resi partners with 20,000 restaurants in thirty countries, and last year bought Tock, another big player that added 7,000 culinary partners, including for the first time, wineries from Napa to the Loire Valley. 'We're the only credit card operator with our own restaurant reservations platform,' says Amex's Grosfield. 'We unlock access to the world's most sought-after tables.' This story was originally featured on Sign in to access your portfolio
Time of India
12 hours ago
- Business
- Time of India
American Express hints at a big upgrade to its Platinum Credit card in 'largest investment ever'
American Express Co . teased updates coming later this year to its travel-focused Platinum credit cards, announcing what it called its 'largest investment ever' in a credit-card refresh. Amex announced today major updates coming to its US Consumer and Business Platinum Cards later this year. With these updates, the company is making its largest investment ever in a Card refresh. "More than forty years ago, we introduced the Platinum Card, and we continue to offer Platinum Cards with global servicing, unique benefits and experiences that our Card Members love,' said Howard Grosfield, Group President, U.S. Consumer Services. 'Platinum Card benefits and services resonate across generations, particularly with Millennial and Gen Z who accounted for 35% of total U.S. Consumer spending last quarter. We're going to take these Cards to a new level, not only in what they offer in travel, dining and lifestyle benefits, but also in how they look and feel, to meet the evolving needs of our customers.' ALSO READ: Why is Trump admin planning to expand travel ban to 36 more countries? Explained in 10 points by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Bank Owned Properties For Sale In Getasan (Prices May Surprise You) Foreclosed Homes | Search ads Search Now Undo Amex announces major updates to platinum cards With more airport lounge options than any other credit card issuer on the market, American Express offers access to over 1,550 lounges in more than 500 airports around the world and is opening three new Centurion Lounges globally in the next year — Newark, New Jersey; Salt Lake City, Utah; and Tokyo, Japan — bringing the total number of Centurion Lounges to 32. Amex CEO Steve Squeri is aiming to attract more high-spending Millennials and Gen Z consumers to the company's elite customer base. On June 16, he revealed plans for a significant upgrade to the Platinum card, set to roll out later this summer or early fall, as part of the effort to appeal to this younger, affluent demographic, according to Fortune. Live Events The company said this will be its biggest investment ever in a card program. 'We'll see two areas of investments,' adds Howard Grosfield, Group President for U.S. Consumer Services. 'We'll double down on all the things our cardmembers love now. And we'll be adding lots of exciting new brands.' ALSO READ: Juneteenth 2025 in US: Know the upcoming events in Washington DC, Virginia on June 19 In July 2021, Amex raised its Platinum card annual fee to $695 when it also added $200 in annual hotel credits. Since then, the New York-based company has faced intensifying competition for premium credit-card customers, including from JPMorgan Chase & Co.'s Sapphire Reserve card and Capital One Financial Corp.'s Venture X Rewards card, reports Bloomberg. The Amex update will apply to both the US consumer and business Platinum cards, the company said. It didn't provide more specifics on what changes are coming. 'Consumers' appetite for ever-higher annual fees and complex, incentive-driven rewards structures could be tested if demand slows, but the formula has driven growth consistently for decades,' Bloomberg Intelligence analyst Ben Elliott wrote in a note to clients. ALSO READ: Trump Mobile: As President's family announces cell phone company, a journalist's bizarre experience surfaces American Express also plans to update the Business Platinum Card to offer Card Members more benefits they can use to help their companies grow, the company said in a statement. Business Platinum Card members enjoy a flexible spending limit that adapts based on purchase, payment and credit history, business and travel benefits, rich rewards on business expenses, virtual cards and access to cashflow management tools. Business Platinum Card Members can also access the dining, lounge and hotel benefits. Access to American Express's global lounge network is one of the key perks of the Platinum Card. In a recent statement, Amex announced that a new Centurion Lounge is set to open at Tokyo's Haneda Airport within the next year. This adds to its previously revealed plans for new lounges in Salt Lake City and Newark, New Jersey.
Business Wire
16 hours ago
- Business
- Business Wire
American Express Announces Major Updates Coming to U.S. Consumer and Business Platinum Cards ® Later This Year
NEW YORK--(BUSINESS WIRE)--American Express (NYSE: AXP) is announcing today major updates coming to its U.S. Consumer and Business Platinum Cards ® later this year. With these updates, the company is making its largest investment ever in a Card refresh. 'More than forty years ago, we introduced the Platinum Card, and we continue to offer Platinum Cards with global servicing, unique benefits and experiences that our Card Members love,' said Howard Grosfield, Group President, U.S. Consumer Services. 'Platinum Card benefits and services resonate across generations, particularly with Millennial and Gen Z who accounted for 35% of total U.S. Consumer spending last quarter. We're going to take these Cards to a new level, not only in what they offer in travel, dining and lifestyle benefits, but also in how they look and feel, to meet the evolving needs of our customers.' With more airport lounge options than any other credit card issuer on the market *, American Express offers access to over 1,550 lounges in more than 500 airports around the world and is opening three new Centurion Lounges globally in the next year — Newark, New Jersey; Salt Lake City, Utah; and Tokyo, Japan — bringing the total number of Centurion Lounges to 32. American Express continues to invest in its dining and curated hotel programs. Resy serves as a powerful network within American Express providing access to reservations in more than 30 countries at over 20,000 restaurants worldwide, and the recent acquisition of Tock will add 7,000 restaurants, wineries and venues to the platform. With 2,600 curated properties, Fine Hotels + Resorts ® and The Hotel Collection continue to add hundreds of new properties in popular destinations; Fine Hotels + Resorts is the only credit card issuer program that offers guaranteed 4:00 p.m. late check out at over 1,600 locations worldwide. A pioneer of the premium business card experience, American Express also plans to update the Business Platinum Card to offer Card Members more benefits they can use to help their companies grow. Business Platinum Card Members enjoy a flexible spending limit that adapts based on purchase, payment and credit history, business and travel benefits, rich rewards on business expenses, virtual cards and access to cashflow management tools. Business Platinum Card Members can also access the dining, lounge and hotel benefits. In addition, American Express offers access to unique experiences across the U.S. and around the globe, from motor sports and tennis to music festivals and sporting events, all with the powerful backing of award-winning global servicing and digital capabilities. American Express partners with leading brands on the Platinum Card and plans to announce more as part of the Card refresh. The company will announce further updates in the fall. ABOUT AMERICAN EXPRESS American Express (NYSE: AXP) is a global, premium payments and lifestyle brand powered by technology. Our colleagues around the world back our customers with differentiated products, services and experiences that enrich lives and build business success. Founded in 1850 and headquartered in New York, American Express' brand is built on trust, security, and service, and a rich history of delivering innovation and Membership value for our customers. With a hundred million merchant locations on our global network in around 200 countries and territories, we seek to provide the world's best customer experience every day to a broad range of consumers, small and medium-sized businesses, and large corporations. For more information about American Express, visit and This release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The forward-looking statements, which are subject to risks and uncertainties, contain words such as 'expect,' 'intend,' 'plan,' 'aim,' 'will,' 'may,' 'should,' 'could,' 'would,' 'continue' and similar expressions. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. Actual results may differ from those set forth in the forward-looking statements due to a variety of factors, including those described in American Express' Annual Report on Form 10-K for the year ended December 31, 2024 and its other reports filed with the SEC. The company undertakes no obligation to update or revise any forward-looking statements. Location: U.S.
