The affluent-consumer market has been a hotbed of card-marketing activity as more issuers seek to acquire the most-lucrative and lowest-risk customers. Perennial powerhouse American Express Co. is responding to the heightened competition for its traditionally targeted audience with an ad campaign that highlights the benefits of being an Amex cardholder.
The ads, which launched in September and continue to run indefinitely on major television stations and in airports, online and in print, “bring the emotional side to rational benefits,” says Sonali Chakravorti, Amex vice president of platinum and Centurion partnerships.
“We have been trying to make sure our cards are more than just credit cards; they are lifestyle products,” she says. “This is a mantra we’ve had for a very long time, and we’re making sure people can spend and we reward their loyalty with benefits.”
The ads aim to bring to life what it really means to be an Amex cardholder even as the affluent market is bombarded with ads from competitors, such as JPMorgan Chase & Co. and Citigroup, Chakravorti, says.
The ads feature text that crosses out common occurrences among competitors, such as receiving basic tickets to a show, and rewrites the benefits an Amex cardholder gets, such as seats on the side of the stage. Amex premium card programs are well known for their extensive concierge service that helps cardholders get access to exclusive events.
In another ad, the text shows the Amex cardholder “flying through customs” instead of waiting in line with their passports. That benefit is from Amex’s Global Entry program, in which the annual fee for the platinum ($450) and Centurion ($2,500) cards covers the registration fee for the government-run program that enables frequent international travelers to move through customs faster than regular travelers. The program requires a prescreening interview through U.S. Customs.
Amex runs sign-up events, such as at the U.S. Open tennis tournament and a wine and food event in Los Angeles, where Amex signed up 600 cardholders for the program at that particular event, says Chakravorti.
It makes sense for Amex to respond with the ads because it has been the longstanding leader in premium cards, says Megan Bramlette, a director at Auriemma Consulting Group.
“There is a tremendous amount of competition, and we’re seeing it from all the major card issuers,” she says. “Everyone is making a play for this high-spending, low-risk customer.”
Amex is wise to highlight in the ads the perks that other premium cards do not offer, such as the fast access through U.S. customs for international travelers, she says. “That’s the best thing that ever happened to the international traveler,” says Bramlette.
Bramlette expects Amex to remain the leader in offering premium card products. “Other brands, even if they charge a high annual fee, will never have the same level of benefits as Amex,” she contends.
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