BY: MEGHNA KHANDELWAL

ISM DHANBAD

"Don't leave home without it"

• Began as a 19th-century express

shipping company.

• Grew into a travel services company.

• Evolved into a global payments

company.

• In 1891, created the first

internationally accepted "Travelers

Cheque".

• Issued first charge

card in 1958.

• In 1967, one-third of

the total profit came

from its charge card

business.

• 60's and 70's stepped

up its marketing

efforts.

• American Express was perceived as a

status symbol signifying success and

achievement.

• They collected a higher annual fee than its

competitors.

CREATED A FEELING

OF PRESTIGE AND MEMBERSHIP.

• 90's New Ad campaign "Do More"

was launched to communicate the

transformation that had taken place

during the 1990's.

• Rebranded their Small Business

Services division as "Open: The

Small Business Network"

• Continued

membership

rewards program

• Blue

• Centurion black

Two revolutionary new credit cards

VISA: Introduced debit cards that

subtracted money for purchases

directly from a cardholder's bank

account.

MasterCard: Created "Priceless" ad

campaign, which became a ubiquitous

pop culture reference point.

American Express secured a huge

legal victory against VISA and

MasterCard in 2007.

Now, the company could pursue

relationships with any and all banks.

This acquired them 26 million more

customers.

Two new marketing campaigns in the 2000s

Top 5 most popular cards from 2009

• Platinum card

• Preferred Rewards Gold Card

• Starwood Preferred Guest Credit Card

• Gold Delta SkyMiles Credit Card

• Preferred Rewards Green Card

• Global economy collapse in 2008-2009

resulted in dumped financial results.

• Stock price fell by 64%.

The company changed its core strategy of

who they targeted.

Despite dissapointing financial

results, they were named

•15th "Most Valuable Brand in the

World".

•One of the top 30 "Most Admired

Companies".

•Evaluate American Express in terms

of its competitors.

•How well is it positioned? How has

it changed over time?

•In what segments of its business

does American Express face the

most competition?

•American Express is well positioned

because it has been around longer than its

competitors.

•Has evolved over time and became a

larger known brand and has been used by

most consumers.

•Faces the most competition by the other

credit card companies when it comes on

how much they charge and who can get

the cards that they are offering.

Evaluate American Express

integration of its various businesses.

What recommendations would you

make in order to maximize the

contribution to equity of all its

business units? At the same time , is

the corporate brand sufficiently

coherent?

They are doing good at integrating

all of their businesses. They have

credit cards for the middle classes

and wealthy. They offer a lot of help

to small businesses. They need to

concentrate on keeping up with all

small businesses ans get some more

corporate companies since

corporations will be a great profit and

bring a lot of business.

Discuss the company's decision to

grow beyond its core affluent

consumer base. What did this do for

the company and the brand?

American Express got new

customers by deciding to grow out of

what they were originally targeting.

They got what the needed, that is

various small businesses. This has

helped them gaining the new

consumers by offering rewards, the

brad is now more then ever known

and wanted.

RECAP

Growth of American Express during the 19th and

the 20th centuries. "Travelers Cheque"

Charge Card

Status Symbol

"Don't leave home without it"

"Do More"

"OPEN: The Small Business Network"

New Credit Cards

Competition Faced

Marketing Campaigns

Q & A