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JPMorgan Chase & Co.'s Chase Card Services unit and United Airlines are delving deeper into the high-end consumer segment with three new cobranded credit cards, the companies announced Monday. The United Mileage Plus Club Visa card, which has an annual fee of $375, offers membership in United's Red Carpet Club, a service that costs $525 annually for noncardholders, Ralph Darmo, marketing director for Chase's United Airlines portfolio, tells CardLine. The United Mileage Plus Access Visa Card, which has an annual fee of $275, offers cardholders an "elite" experience on board United's aircraft, such as qualifying for seats with extra legroom. While the Club and Access cards are new products to the Chase portfolio, the Select card, with an annual fee of $130, is a rebranded version of the United Mileage Plus Platinum Visa card with Chase, says Darmo. That card is designed for consumers who want to build up their miles quickly, says Darmo. All the cards offers mileage points per dollar spent and other opportunities to earn unlimited miles. "This is clearly a move to retain and/or build [Chase's] airline card portfolio," says Megan Bramlette, managing director at Westbury, N.Y.-based Auriemma Consulting Group. Airline miles are not as valuable as they once were, and the penetration of airline cards is getting smaller, she says. "This is a transparent grab at the very best customers to increase fee income, build loyalty and further engrain cardholders in mileage currency," she says.
