New Amex statement credits

[Einherjar]

but much less lucrative....

Especially if other issuers (banks) follow suit, we may expect a loyalty bonus
but their sign on reward embargo period may be extended from 12 to 24 months to limit churning
It will have to be enough points to offset a customer leaving for 24 months only to return for a sign-on bonus though

 

[Mr_Orange]

but much less lucrative....

Perhaps true if you cycle through your Amex cards. I don't and can't, so rewarding spend suits me better.

 

[Dr Ralph]

but their sign on reward embargo period may be extended from 12 to 24 months to limit churning

Can't see this happening. Even the 18 months exclusions must be hurting them.

 

[andye]

Perhaps true if you cycle through your Amex cards. I don't and can't, so rewarding spend suits me better.

Me too-I wouldnt be without an Amex. Just hope the incentives are more generous than the monthly (spend $xK/get yK MR) ones that have cropped up from time to time recently

 

[Einherjar]

Can't see this happening. Even the 18 months exclusions must be hurting them.

Can only see this happening if the redemptions get worse. High sign on value but limited redemption value. The way I see the banks, it pays to be disloyal. Coles Flybuys have worked that out in their 'bonus points' system. You can move between home loans a lot easier due to the discharge/exit fees being removed or lowered.

 

[JohnK]

For something completely different,
Just got off phone with Amex agent who confirmed that they are looking to introduce annual spend bonii instead of sign on -
Apparently all the existing customers were complaining that loyalty meant nothing.
Be interesting to see what transpires :_)

Rewarding loyal customers? Brilliant idea.

 

[exceladdict]

Rewarding loyal customers? Brilliant idea.

What gets measured gets managed, it seems someone's finally been given retention as a target.
They've been focused on acquisition for a long time (referral bonuses, etc) so I wouldn't be surprised that someone's been given retention as a metric - the old adage of it being cheaper to keep a customer than earn a new one.
I always thought statement credits were more of a marketing tool to encourage people to use their amex for large purchases and to suggest to retailers that it's worth them accepting amex, rather than a customer retention tool - the latter is just what we seem to focus on on AFF.

 

[burmans]

They've been focused on acquisition for a long time (referral bonuses, etc) so I wouldn't be surprised that someone's been given retention as a metric - the old adage of it being cheaper to keep a customer than earn a new one.

To state the obvious though, its mainly cheaper to keep a customer because of customer laziness so what's the business case to offer anything other than perfunctory bonuses for loyalty?

 

[Happy Dude]

What about the loyal but (relatively) low spending customer? ie those not in a position to run business expenses through cards.

 

[exceladdict]

To state the obvious though, its mainly cheaper to keep a customer because of customer laziness so what's the business case to offer anything other than perfunctory bonuses for loyalty?

If they were aware of the churn game, to try to counter that. If you could get, say, 50-66% of the bonus of a new sign on by renewing, it would be a reasonable prospect to the consumer, I imagine. Referral bonuses have been enough to justify an annual fee to me in the past. Don't want too many credit report hits either.

What about the loyal but (relatively) low spending customer? ie those not in a position to run business expenses through cards.

Still better off keeping a customer than not. At the least, for every month they stay on, it prevents them from getting another sign on bonus for another month (+18). We all make a call on how many points we get per month vs how many we get once off to decide whether to churn and burn or hold, you'd imagine businesses would make the call too.

 

[SydneySwan]

Health Insurance Offer;

DETAILS
Save offer to your eligible Card by 11/07/2018, spend online, via phone or direct debit on health insurance with Bupa or NIB, by 05/09/2018 to get 15% credit each time, up to a maximum of $45 back. Limited to 20,000 Cards. Exclusions apply.

OFFER TERMS

• Valid for payments made to Bupa or NIB via Direct Debit, online, via phone.
• Online payments must be made at bupa.com.au or nib.com.au to be eligible.
• Excludes payments made over the counter at Bupa stores or NIB Retail Centres, and payments made via BPAY or Australia Post.
• Payments made to Bupa exclude the following:
  • Bupa Dental, Bupa Medical Visa Services, Bupa Optical, Bupa Therapy.
  • International Private Medical Insurance.
  • All non-health insurance products (including, but not limited to, Car Insurance, Home Insurance, Landlords Insurance, Pet Insurance or Bupa Aged Care).
  
  
• Payments made to NIB exclude the following:
  • NIB Dental Care, NIB Eye Care.
  • Any products issued by NIB health funds limited which are sold by third parties (including, but not limited to, Qantas Assure).
  
  
• If you are a new customer to Bupa or NIB, please ensure you select a billing cycle that will enable you to make a payment by 05/09/2018.
• Offer is limited to $45 credit per Card to which the offer is saved and only spend on this Card counts towards the Offer.
• Excludes transactions where you do not spend directly with your Card to which the offer is saved, online, via phone or direct debit at Bupa or NIB. Offer valid at Australian website only.
• Excludes transactions made through a third party establishment or payment processor.
• Credit is not redeemable for cash or other payment form.
• Credit should appear on your billing statement within 5 business days from qualifying spend but may take up to 90 days from the offer end date.
• Credit will not be applied to your Card account if your Card has been suspended or cancelled.
• Credit may be reversed if your qualifying purchase is refunded or cancelled.
• Full Offer Terms available here.

 

[bernardblack]

Health Insurance Offer;

DETAILS
Save offer to your eligible Card by 11/07/2018, spend online, via phone or direct debit on health insurance with Bupa or NIB, by 05/09/2018 to get 15% credit each time, up to a maximum of $45 back. Limited to 20,000 Cards. Exclusions apply.

OFFER TERMS

• Valid for payments made to Bupa or NIB via Direct Debit, online, via phone.
• Online payments must be made at bupa.com.au or nib.com.au to be eligible.
• Excludes payments made over the counter at Bupa stores or NIB Retail Centres, and payments made via BPAY or Australia Post.
• Payments made to Bupa exclude the following:
  • Bupa Dental, Bupa Medical Visa Services, Bupa Optical, Bupa Therapy.
  • International Private Medical Insurance.
  • All non-health insurance products (including, but not limited to, Car Insurance, Home Insurance, Landlords Insurance, Pet Insurance or Bupa Aged Care).
  
  
• Payments made to NIB exclude the following:
  • NIB Dental Care, NIB Eye Care.
  • Any products issued by NIB health funds limited which are sold by third parties (including, but not limited to, Qantas Assure).
  
  
• If you are a new customer to Bupa or NIB, please ensure you select a billing cycle that will enable you to make a payment by 05/09/2018.
• Offer is limited to $45 credit per Card to which the offer is saved and only spend on this Card counts towards the Offer.
• Excludes transactions where you do not spend directly with your Card to which the offer is saved, online, via phone or direct debit at Bupa or NIB. Offer valid at Australian website only.
• Excludes transactions made through a third party establishment or payment processor.
• Credit is not redeemable for cash or other payment form.
• Credit should appear on your billing statement within 5 business days from qualifying spend but may take up to 90 days from the offer end date.
• Credit will not be applied to your Card account if your Card has been suspended or cancelled.
• Credit may be reversed if your qualifying purchase is refunded or cancelled.
• Full Offer Terms available here.

I also got this on my Plat Edge, but I'd love to add it on my Explorer which is actually used for DD payments against NIB. Does anyone have a manual link? And does anyone know if I can prepay on one card and then the DD will adjust accordingly?

 

[Mr_Orange]

Health Insurance Offer;

DETAILS
Save offer to your eligible Card by 11/07/2018, spend online, via phone or direct debit on health insurance with Bupa or NIB, by 05/09/2018 to get 15% credit each time, up to a maximum of $45 back. Limited to 20,000 Cards. Exclusions apply.

OFFER TERMS

• Valid for payments made to Bupa or NIB via Direct Debit, online, via phone.
• Online payments must be made at bupa.com.au or nib.com.au to be eligible.
• Excludes payments made over the counter at Bupa stores or NIB Retail Centres, and payments made via BPAY or Australia Post.
• Payments made to Bupa exclude the following:
  • Bupa Dental, Bupa Medical Visa Services, Bupa Optical, Bupa Therapy.
  • International Private Medical Insurance.
  • All non-health insurance products (including, but not limited to, Car Insurance, Home Insurance, Landlords Insurance, Pet Insurance or Bupa Aged Care).
  
  
• Payments made to NIB exclude the following:
  • NIB Dental Care, NIB Eye Care.
  • Any products issued by NIB health funds limited which are sold by third parties (including, but not limited to, Qantas Assure).
  
  
• If you are a new customer to Bupa or NIB, please ensure you select a billing cycle that will enable you to make a payment by 05/09/2018.
• Offer is limited to $45 credit per Card to which the offer is saved and only spend on this Card counts towards the Offer.
• Excludes transactions where you do not spend directly with your Card to which the offer is saved, online, via phone or direct debit at Bupa or NIB. Offer valid at Australian website only.
• Excludes transactions made through a third party establishment or payment processor.
• Credit is not redeemable for cash or other payment form.
• Credit should appear on your billing statement within 5 business days from qualifying spend but may take up to 90 days from the offer end date.
• Credit will not be applied to your Card account if your Card has been suspended or cancelled.
• Credit may be reversed if your qualifying purchase is refunded or cancelled.
• Full Offer Terms available here.

This appears to be targetted. I can't see it on AmexConnect or any of my cards, but then I am not a customer either

 

[JohnK]

What about the loyal but (relatively) low spending customer? ie those not in a position to run business expenses through cards.

Or the person who is not spending on the card but paying $200-$300/month interest?

 

[Strategic Aviation]

The health insurance offer is targeted according to OzBargain.

 

[benjy]

I have the Health Insurance offer on Qantas Premium but not on Charge. I recently signed up to Qantas Assure to take advantage of sign-on points so Amex offer is useless to me.

 

[Jacques Vert]

Remember the Qantas offer? Spend $300, receive $50 back.

I received the offer on four cards (2 of mine, 2 of +1's). Spent the money on all 4 cards but only received the cash back on 1, I've rung and had the missing $ added manually.

If you signed up for this offer I suggest you check your statements and confirm whether you got your money back.

 

[burmans]

If they were aware of the churn game, to try to counter that. If you could get, say, 50-66% of the bonus of a new sign on by renewing, it would be a reasonable prospect to the consumer, I imagine. Referral bonuses have been enough to justify an annual fee to me in the past.

Yeah, but you'd be giving that 50-66% to 90 out of 100 people who would be staying anyway, great for the consumer, poor for than banks. I'm sure the banks are aware of the churn game but its much less prevalent than posters on this forum would imply. As for referral bonuses, well giving retention bonuses would have to come at the expense of something, most likely referral and signup bonuses!!

 

[Mr_Orange]

Yeah, but you'd be giving that 50-66% to 90 out of 100 people who would be staying anyway, great for the consumer, poor for than banks. I'm sure the banks are aware of the churn game but its much less prevalent than posters on this forum would imply. As for referral bonuses, well giving retention bonuses would have to come at the expense of something, most likely referral and signup bonuses!!

I agree. Talking to my friends, most of them have had the same credit card for eons. They never seems to understand why I 'earn so many points'.

 

[Happy Dude]

Or the person who is not spending on the card but paying $200-$300/month interest?

The LOVE customers like that! I was making the inference that there won't be much love for low spending customers in a reward system based on spend. Those able to pump through business expenses will love it, and good luck to them.