MARKHAM, ON, Sept. 2, 2014 /CNW/ - Today American Express Canada launches a major push into the cash back sector of the credit card market with the introduction of the SimplyCash and SimplyCash Preferred cards. These two products offer very rich welcome rates of up to 5% cash back on eligible purchases for the first 6 months and after that, great rates of 1.25% on the no annual fee SimplyCash Card and 1.5% on the Preferred Card. (Full product details included in the chart below)
American Express consumer research points to a strong interest in the cash back style of cards which is becoming an area of focus for the card company. The research shows 79 per cent of credit card holders find the idea of cash-back products appealing.*
"The Canadian market has long been dominated by cards that predominantly offer travel related rewards, and we offer a range of those. But our research shows that a large number of people would value a straightforward and effective cash back card product and we have responded to that in a big way," says Leonard Varaksa, Director, Consumer Card Marketing, American Express Canada.
A recent survey conducted by American Express found that when it comes to credit cards, consumers with cash-back credit cards are looking for cards that are simple and easy to use (90%), earn cash back everywhere they spend (87%) and that they still offer additional card benefits like insurances (79%). The new cash back Cards have been designed with precisely those principles in mind.
"We heard loud and clear that our job is to deliver a simple and efficient cash back Card and we believe that the products we are introducing today represent the best value and the best service in the market," says Varaksa.
Consumers enjoy finding deals and discounts in their everyday shopping, but many struggle to find the time or enough cost savings to make it worthwhile. In fact, only 26 per cent of Canadians consider themselves savvy shoppers. Those who don't shop around for the best deals say they lack the discipline (37%) and the time (29%) to hunt out bargains. That's what makes the simplicity of cash back cards so appealing.
"Using these SimplyCash Cards is like getting a discount on every purchase," says Varaksa.
The new Cards offer an array of benefits, including:
| The SimplyCash Card
|| The SimplyCash Preferred Card
The launch of the SimplyCash Cards marks a highly aggressive step into the cash back space and will be supported with a robust advertising and marketing and campaign across TV, radio, and digital and social media.
Amex believes this will open up a new line of business in the same way that its entry into the Small Business card market did four years ago. Cash back has become a key growth area in other markets like the US and the UK, and the company feels that it represents a similar opportunity in Canada.
To learn more about the SimplyCash Card and SimplyCash Preferred Card from American Express, visit www.amex.ca/simplycash.
About American Express Canada
American Express in Canada operates as Amex Bank of Canada and Amex Canada Inc. Both are wholly owned subsidiaries of the New York based American Express Travel Related Services Company, Inc., the largest operating unit of the American Express Company. Amex Bank of Canada is the issuer of American Express charge and credit cards, with outstanding products like the American Express® Gold Rewards Card, the American Express® Platinum Card, and the American Express® AeroplanPlus® Gold Card. Amex Canada Inc. Travellers Cheques divisions in Canada. American Express opened its first offices in Toronto and Hamilton in 1853 and now employs 3,700 Canadians coast-to-coast. For more information, visit AmericanExpress.ca or connect with us at Facebook.com/AmericanExpressCanada and YouTube.com/AmericanExpressCAD.
* From October 2nd to October 3rd 2013 an online survey was conducted among 1,343 randomly selected Canadian adults who are Angus Reid Forum panelists and who have at least one Credit Card. The margin of error—which measures sampling variability—is +/- 2.7%, 19 times out of 20. The results have been statistically weighted according to education, age, gender and region (and in Quebec language) Census data to ensure a sample representative of the entire adult population of Canada. Discrepancies in or between totals are due to rounding.
From August 13th to August 14th, 2014 an online survey was conducted among 1,502 randomly selected Canadian adults who are Angus Reid Forum panelists. The margin of error—which measures sampling variability—is +/- 2.5%, 19 times out of 20. The results have been statistically weighted according to education, age, gender and region (and in Quebec, language) Census data to ensure a sample representative of the entire adult population of Canada. Discrepancies in or between totals are due to rounding.
SOURCE: American Express
For further information:
Becky Brescacin, (416) 644-1398