American Express 2001 Annual Report Download - page 15

Download and view the complete annual report

Please find page 15 of the 2001 American Express annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 84

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84

more than tripling among our clients, this transformation has improved cus-
tomer satisfaction while simultaneously reducing expenses.
Elsewhere, we are using the Internet to enhance merchant transactions with
American Express. New online services introduced in 2001 have
streamlined billings and provided merchants with a greater
ability to access and update their accounts over the Internet.
Our online services are faster and less expensive – both for mer-
chants and for American Express.
The Internet also is a powerful and cost-effective tool for acquiring new
customers. During 2001, 16 percent of all new cardmembers in the United
States were acquired online.
WE HAVE ENHANCED OUR REWARDS PROGRAMS AND FORMED NEW
PARTNERSHIPS WITH LEADING-EDGE COMPANIES. Our industry-leading
Membership Rewards®loyalty program continues to be a strong driver of card-
member retention and profitability. While it is already the largest program of
its kind, with more than 9 million participants worldwide, we still have a sig-
nificant opportunity to grow our base.
While focusing on increasing the number of cardmembers enrolled in
Membership Rewards, we have also worked to reduce the costs associated with
the program. For example, we have enabled cardmembers to handle many pro-
gram-related activities, such as point redemption, online. We have also
expanded rewards opportunities beyond travel to the retail and online sectors.
More than 700 partners now participate in our program worldwide. The
broader range of redemption choices has improved customer satisfaction and
lowered our overall rewards costs.
Our rewards program is just one example of how we partner with other com-
panies to improve the value that we offer to our customers. Other examples
include our partnerships with Delta Air Lines and Costco. The cobrand cards we
offer with these partners have added millions of highly profitable cardmembers
to our base over the past several years. We are also seeing strong results from our
partnership with British Airways, which led to the 2001 launch of three new
cobrand credit cards for British Airways UK Executive Club members.
axp_13
Membership Rewards, American
Express’ industry-leading loyalty
program, has more than 9 million
participants worldwide and is a
strong driver of cardmember
retention and profitability. Reward
points can now be redeemed at
more than 700 participating
partners worldwide.