AmEx Stepping Up its Partnerships to Survive a “Post-Plastic World”

Normally when we hear about American Express (AmEx), we’re hearing about it from Visa, in terms of places where no one actually takes AmEx.

AmEx, though, wants to change that, and has been working on striking a slate of new digital partnerships to help drive it forward into a world where what the plastic people reach for isn’t a card, but rather the outer casing of a smartphone.

Already, AmEx has struck deals with Airbnb, Uber, and even Facebook Messenger all in a bid to be part of the infrastructure of other businesses.

Perhaps most interesting so far is the Facebook Messenger connection, which is set to offer users information about purchases and card benefits connected to same; those who bought an airline ticket, for example, would get a purchase notification and other information, like the best restaurants in an area.

Another service called AmEx Express Checkout offers faster online purchases, and a connection to Airbnb allowed users to use reward points with the company, and the same goes for the partnership with Uber.

AmEx is turning to is vast supply of information about its users—it knows exactly what users have bought going back decades—and is using that information accordingly to find out where to partner, who to partner with, and how to make the deals that will keep customers coming back.

AmEx vice president of digital partnerships and development Dave Wolf commented “As the payment form factors continue to change, it is safe to say, you will be swiping a physical plastic card at the point-of-sale less and less often.

So it becomes more and more important to integrate all of our services into the platforms where our customers are already going. That’s what drives our partnerships.”

This is indeed the right time for AmEx to consider such expansions; after all, we’re talking about a major change in the way people handle payments.

While those who still mainly deal in cash will continue doing so, there’s less of a reason to have a credit card on hand unless it’s to tie the numbers directly to a smartphone app like Apple Pay.

In order to stay relevant, therefore, credit card companies have to make the move to other options, while maintaining a card presence for those who prefer such things.

The writing is on the wall for companies like AmEx, and since most of them have been seen making moves in the digital direction, it’s a safe bet that all of them will be around going forward, each with a series of partnerships and fiefdoms to keep plans aloft. That helps ensure a competitive environment, and that’s the best news regular users can have.