American Express launches Platinum card in India

Our Marketing Bureau in New Delhi

AMERICAN Express has launched the most pricey card ‘Platinum’ in India on Tuesday here. Positioned as ‘the ultimate expression of your status’, the American Express Platinum charge card is being made available at an annual subscription fee of Rs 28,500 per account.

The card comes with a raft of upscale services, including personal air accident insurance cover of Rs 1 crore and complementary companion air tickets on select airlines.

Says Mr Manoj Adhlakha, vice president & head, consumer cards, American Express Travel Related Services: “The Platinum is being made available to very select, high net worth individuals by invitation.”

Adds Mr KL Muralidhra, vice president & country manager, India & Area Countries, American Express Travel Related Services: “Our study has revealed that the discerning consumers are looking for more sophisticated personal financial services, which we are addressing with the introduction of the Platinum.”

American Express hopes that the Platinum would emerge as a powerful differentiator in a market awash with the plastics of all kinds. The card is expected to provide a strong incentive to consumers to spend. Already, the average spending on Amex cards (including charge and credit cards), is said to be twice that of the industry’s average spend.

“In terms of card billings we’re growing at a rate of around 35 per cent a year,” says Mr Adhlakha. “The Platinum will allow us to carve out a powerful niche.”

According to the company, Platinum Cardmembers can avail of exclusive International Airline Programme; travel services and travel insurance; worldwide personal assistance and complimentary memberships.

A Platinum card holder, for instance, can take a companion free in the first or business class of KLM, Northwest, Malaysia Airline and Emirates when he books a full fare ticket on his Platinum.

Similarly, he gets complimentary memberships to London-based St James Club and India-based The Towers Club properties of ITC Welcomgroup among others.

The 150-year old American Express Company is listed on the New York Stock Exchange and is among the top 20 actively traded scrips. The credit card operations are managed by the American Express Travel Related Services, which is one of the three major companies of American Express Company (net revenues of over $19-billion).

American Express TRS has issued over 52 million cards worldwide with a card member spending of over $254 billion. The company declines to reveal India-specific figures but claims that it is one of the leading card issuers with a new focus on co-branding.

“Co-branding is a strong component of our growth strategy,” says Mr Adhlakha. “We’ll tie-up with the most popular brands in the emerging areas.”