American Express
George
Kevin
Maria
Vural
Zoe
Introduction
The Man Behind American Express
Introduction
How
they
start a social strategy?
OPEN Forum
One
of
the
first
major
.
credit
card
companies
with
a
social
platform
Support
the
American Express OPEN
card
targeted
at
small
business
A program designed to help small business owners grow their business by providing both insights and resources online
Ann
Fitzmaurice
Reilly, SVP
of
Partnership
& Business Development
for
American Express Open
said
: „
Our
biggsest
oppurtunity
is
with
small
business
growth
–
if
they
grow
,
we
grow
!“
Introduction
Introduction
Introduction
Introduction
Introduction
Members Project
Cardmembers
were
invited
to
submit
ideas
for
cause-related
projects
,
comment
and
vote
Introduction
Strategy
: New
platform
in 2010,
partnership
with
Allows
consumers
to
share
their
good
actions
and
inspiring
ideas
on Facebook,
Twitter
, YouTube
and
of
course
at
Introduction
Members
Know
Members
Know
allowed
members
:
to
share
travel
tips
with
each
other
To
view
data
on
the
travel
destinations
Introduction
OPEN‘s
2009
Relaunch
Pushing
into
social
and
digital
allows
American Express
to
do
things
in a
far
more
personal
way
than
before
.
N
ew
features
:
Idea
Hub
Introduction
OPEN‘s
2009
Relaunch
Pushing
into
social
and
digital
allows
American Express
to
do
things
in a
far
more
personal
way
than
before
.
N
ew
features
:
Connectodex
Introduction
OPEN‘s
2009
Relaunch
Result
:
End
of
2009
more
than
million
media
imoressions
350%
year-over-year
growth
in
unique
visitors
in May 2010
Summer 2010,
more
than
1
million
unique
visitors
per
month
small
businesses
in ist
Connectodex
OPEN
Forum‘s
Twitter
had
more
than
followers
Introduction
Strategy: Application Programming Interface (API‘s)
Relationship
with
cardmembers
and
the
merchant
>
connect
them
How
?
Most
popular
online
program
>
Wish
List
American Express
offers
products
to
consumers
at
a
far
below
the
retail
price
The
prdocuts
are
in
short
supply
,
small
quantities
and
it
is
first
come
first
served
Introduction
Strategie:
Partnership
with
Foursquare
More
than
5
million
users
>
location-based
site
that
allows
people
to
„check in
at
commercial
locations
Merchants
can
provide
special
offers
to
costumers
who
checked
in
at
a
location
No
revenues
from
the
American Express deal, BUT
it
is
good
promotion
for
the
companys
and
it
will
help
attract
other
,
more
lucrative
partnerships
Introduction
Strategy
: Link,
Like
, Love
Application
on Facebook
Introduction
Strategy
: Go
Social
Allows
merchants
to
sign
up
and
distribute
American Express
deals
via Facebook
and
Foursquare
Leveraging
ist
relationshsips
with
smaller
local
merchants
Introduction
SWOT
Strenghts
Very Well Known(Strong Brand Image) (Globally
Recognised
).
Good Financial Position.
zip codes used for card purchases – better protection against identity theft.
Accepted at most commercial places.
Over employees.
Safest mode of payment while travelling.
Loyalty programs for customers.
Diversified focus on generating revenues through customer spending, lending, and fees.
Weaknesses
Lacks debit card services at the point-of-sale.
Declines Traveler's
cheque
business.
High interest coverage ratio increasing the company's risk profile.
Opportunities
Global expansion, particularly in China
Financial
services/product
expansion
Divestment of AEB and
AEIDC
Threat
Interchange fees associated with legislative rulings in Europe
Heavy competition from other financial institutions
Financial turmoil in capital
markets
Fierce competition with other companies
Analysis
Company Analysis
Introduction into American Express.
Analysis
A little information about American Express
Sited from:
Analysis
Analysis
You think they only win in 2013. No, they already win it for 7 straight years.
So since 2007, has won the heart of their customers.
Cards issued by Discover Financial Services came in a close second place for customer satisfaction, followed by cards from JP Morgan Chase.
Analysis
Analysis
Analysis
Consumer Analysis
How consumer think about the financial service goes social media.
Analysis
Bank Social Media – You’ve got it wrong.
90%
Consumer prefer to discuss their problem in private with Bank.
87%
of 1002 consumer surveyed think banks' use of social media is annoying, boring and unhelpful.
68%
C
onsumers would never use a social media channel to solve a problem with their
bank.
52%
Consumers believe banks use of social media is ineffective
Americans are having none of banks' attempts to connect on Twitter and Facebook, inviting more mockery than
followers
-
, Monday 24 March 2014
GMT -
93%
Consumers didn’t follow bank in Social Media. Whatever these banks post in
facebook
and twitter is useless.
Analysis
World Internet Penetration rate reach massive number, however this doesn’t mean bank should go with social media.
When it’s come to bank, choosing social media as promotion is wrong choice.
Bank Social Media – As a complaint media.
7%
follows bank on social media.
30%
Consumer willing to complain via social media.
67%
Problem Completion
Analysis
But it’s different with @
AmericanExpress
They build AmEx card owner communities using all their social campaign.
Strenghten
relationship between customer and American Express
Based on the case American Express had success to achieve their goal to built AmEx Community.
Community = C2C Business between American Express Customer.
Analysis
AmEx Social Media Strategies – Well Played Strategies.
Social media Strategies of American Express is great strategies, many people notice it.
Not
only company
but also customer also actively engaged on it.
Analysis
SOLUTION !
Blue
Sky from American Express
®
Consumer who love travel can get so much benefit
by using this card.
AmEx also should intensify their travel-related program.
Promote it via member knows / Social media since Amex have Social Media Community.
Competitor Analysis
In ., American Express reign credit card market, however how about worldwide?
Analysis
Biggest Competitor of American Express
Analysis
Analysis
Analysis
Analysis
Analysis
But still in USA, American Express Have Better Growth Rate in credit card Area.
Analysis
Analysis
Collaborators Analysis
Analysis
Collaborators--Distributors
Social
media:Foursquare
/Twitter/Facebook–-- communicate with customers like a friend
Analysis
Collaborators--Distributors
Official company
website—a formal way to spread official news out
Analysis
Collaborators-
-partnership
Our social media partners
Facebook
Twitter: @
AmericanExpress
Twitter: @
AskAmex
Twitter: @
OpenForum
YouTube
LinkedIn
Foursquare
Google+
Analysis
Collaborators-
-partnership
Other partners:
One of the key factors to success is to find proper and strong partners.
For example, American Express has 40 partners in China.
Starwood
Preferred
Guest
®
Analysis
Collaborators-
-partnership
Other partners:
For example, American Express has 40 partners in China.
Starwood
Preferred
Guest
®
You get 1 room/night for free if you have reserved 2 or 3 rooms/night.
Sited from:
Analysis
Collaborators-
-partnership
Other partners:
Analysis
Solution
Broad and Deep
Both option is totally feasible:
With the “power” that currently American Express have, it won’t be that hard to do both option at once.
Both option is equally important.
Solution
Broad
Open up to bigger business opportunities.
Broad
With the emerging of information technology, more and more social media are coming.(Ex.:
Line,Pinterest
).
As soon as there’s new social media with great potential growth, American Express should build their social link there to get more and more people know American Express.
Get the first mover advantage.
Solution
Broad
Region Specific Social Media.
China :
Weibo
,
WeChat
.
Not all country use same social media, like
facebook
and twitter.
Solution
Broad—
Tenpay
& American express
As said in the case material(line 33, P11), “However, in certain markets we find that only a handful of people are talking about us, and then there is very little point to engage.”
In the late 2012, American Express launched “
Tenpay
& American Express international account” with one of the biggest Internet corporate in China,
Tencent
.
With this, users can get a virtual American Express card and also set
their name, Expiry
Date, billing address and trading limits. With this virtual card, Chinese can buy things on overseas websites paying in RMB other than . dollar.
Compared to the traditional way to oversea payment, this has obvious strength:
don’t have to apply for a real American Express card;
2. Anyone can apply for this virtual card;
’s directly paid by RMB, you don’t need dual-currency cards;
4. It’s much safer and convenient;
5. Annual fee is much cheaper, you only need 10
yuan
/year.
Solution
Broad—
Tenpay
& American express
In 2013, Chinese spent 70 billion
yuan
on overseas websites and it increased 117% annually, faster compared to % in Chinese domestic online shopping market. The market is much bigger than anyone expects.
Although American Express already have collaborated with
Tencent
, we still have a lot space to do better.
Solution
Broad—
Tenpay
& American express
Situation changed:
Tenpay
combines itself with
wechat
, users on
wechat
can use
Tenpay
to pay for Games, Expression maps and even use QR code to pay for online shopping.
American Express can be the first one
to lead
wechat
users shopping on oversea websites.
Solution
Broad—
Tenpay
& American express
Now
Future
Now,
Wechat
has
600 million
users in total, 500 million inside China and 100 million outside, which makes it
the
largest IM(Instant Messaging) APP.
Solution
Broad—
Baidu
tourism
& American express
Baidu
Tourism, a website people can share travel experiences, find lots of destination suggestions, and even make your own travel plans on the newest APP.
What’s more, users can also book hotels on this website.
Solution
Broad—
Baidu
tourism
& American express
Baidu
Tourism has 62,856 suggested destinations, 224,395 travel blogs and 584,667 comments.
Many people would come to this website to find suggestions and make their travel plans.
American Express can collaborate with
Baidu
Tourism to make
a new Chinese version
of Members
Know.
When users want to travel aboard, they can get suggestions from
Baidu
Tourism, make travel plans
and pay by American Express.
Solution
Deep
Connect deeper with your customer.
Solution
Deep – Bond more with your customer
Two Core Focus for Deep Strategy:
Reward.
Service.
Solution
Reward – Everyone loves gifts.
Extra Point Reward
Member Get Member Reward
E-Coupon Promotion
Solution
Service - Provide better global digital customer
experience
.
. Understand .
Know your customer more, customers’ product or service needed, buying power, what they need and want to do.
. Actively Listen .
Digital Feedback must be caught and
reponded
quickly. Not only that this respond must be captured continually.
. Phone Perception .
Discard the perception that phone calls have more of a personal
touch. Today’s customer interact digitally.
Solution
Word of Mouth
Service - Provide better global digital customer experience
.(2)
. . .
Do it yourself,
Do not outsource your company’s connection to customers.
. Design .
Put more effort into making and designing company website. So customer can easily get information they need.
Solution
Website
must reflect company spirit, knowledge, and mission.
Conclusion
Conclusion
