Download - American Express - Company Report
American ExpressJames Lee (jajulee)
Brief History
1850 1882
Establishment
Money Order
1891
Traveler’s Check
1958. . .
First Credit Card
1978
IPO
. . .
Problems to Solve
How to provide premium financial services to incentive consumer spending
How to provide a comfortable and secure payment medium for travelers
Core Products
Card Products
Non-Card Products
Hidden Products or Secret Sauce
Prestige
Perks
Business Model
Closed Loop
Higher Merchant Fees
Charge Card
Financials (NYSE:AXP)
Financials (NYSE:AXP)
Revenue vs. Return
Comparison ChartAmerican Express
Visa, Mastercard
Chase, Citi Debit/Bank
Venmo, PayPal
Universal Acceptance
Prestige
Online Platforms
Closed Loop Model
Low User Cost
Future/Outlook
Despite Costco fallout, users are spending more than ever ~7% increase
Growing customer and merchant base (~10 Million new cards and ~1 Million new merchants in 2016)
Weak technology and “secret sauce” base
References
https://www.fool.com/investing/2017/01/23/revenue-and-earnings-fall-at-american-express.aspx
https://www.fool.com/investing/general/2015/02/21/the-14-billion-difference-how-visa-mastercard-and.aspx
https://image.slidesharecdn.com/americanexpresscompany-aresearchbyhassankhan-150427141841-conversion-gate02/95/american-express-company-a-research-by-hassan-khan-6-638.jpg?cb=1430144448
https://en.wikipedia.org/wiki/American_Express#Non-card_products
https://www.google.com/search?q=american+express+card+visa&source=lnms&tbm=isch&sa=X&ved=0ahUKEwiynPCc06DSAhUEOCYKHeEFAQcQ_AUICCgB&biw=841&bih=611#imgrc=6V6SCkz9i7S9HM: