Well done Amex it worked!!

[Pukka]

Congrats Amex you have totally changed my spending pattern with you as a result of your "enhancements" my spend with you is now only flights, hotels & restaurants. So now I will only be spending less than $100K a year with the other 600k going to Citibank.

You must be pleased when a plan comes together

 

[yohy?!]

not being funny but those categories are probably what they prefer you spend with them in terms of maximising revenue from merchant fees to pay for the MR points.

cant imagine the margins are great on supermarkets, fuel, tax, utility bills etc which is why they have treated everyone so shabbily on them - they are gambling that the MR benefits are enough to make you keep an Amex for everything else...

whether it's a good gamble or not remains to be seen, it's a definite shift in strategy over their previous aim to try and make Amex number 1 in 'wallet share' for everyday spend - they may have decided that the ongoing merchant battle is not worth it...

 

[moa999]

I've pretty much decided I don't need the Amex.
Why
- Devaluation of Insurance T&Cs such that it is basically worthless and has too many holes in it.
- Reduction of primary points earn to pt/$1
- Continuation of 3% International surcharge (unlike Amex US)
- Limited acceptability
About the only thing I would get 2pts/$ on is domestic airfares... and even then I have to pay an airline surcharge for the privelige

Might keep my Plat Credit, but the Charge is definitely going.

 

[codash1099]

It's the way of competition these days.

Whereas in previous times competition encouraged everyone to do better, it now forces everyone to the lowest common denominator.

 

[Pukka]

I've pretty much decided I don't need the Amex.
Why
- Devaluation of Insurance T&Cs such that it is basically worthless and has too many holes in it.
- Reduction of primary points earn to pt/$1
- Continuation of 3% International surcharge (unlike Amex US)
- Limited acceptability
About the only thing I would get 2pts/$ on is domestic airfares... and even then I have to pay an airline surcharge for the privelige

Might keep my Plat Credit, but the Charge is definitely going.

I've thought of ditching the Amex I certainly don't get the value out of it now. Had a couple of really good deals through their select small hotels deals and there are some other things I like but nothing to justify the fee.

The main reason I'm reluctant to ditch it is the sheer volume you can put through in 1 month without paying fees. I've put $150k through in the odd month but that was mainly tax so I won't be doing that again.

It's just a nice facility to have even though I'm not currently using it.

I've been with them 20 years and its up for renewal in March. It's 50/50 if I renew or not.

 

[Flying Fox]

I agree. I have started switching payments that earn <1pt / $1 to Citibank. I'm sure that Citibank will be sending you a 'Thank-you Basket' soon!

Even if their margins are thinner on the utilities & ATO etc, I'm sure that they will feel the drop.

I even had an Amex Corp rep visit me and chat about the changes. He was really surprised about the Citibank points and ATO payments. He even suggested that I keep paying the ATO on my Citibank card .

 

[trblvb]

My AMEX spending pattern (15 years of loyalty) has also recently changed from approx. 180K per year to ZERO.

Very happy with my new Qantas staff Plat. card and Westpac Altitude card (both free for the first year and bonus points).

 

[JohnK]

And I on the other hand am totally different to the majority here.

I use a Wizard mastercard for overseas spending and anywhere that does not take Amex but only a few transactions per month. The rest goes on Amex but my spend is only a few dollars a year so not really worth worrying about having an Amex/Mastercard strategy.

 

[Moopere]

It's the way of competition these days.

Whereas in previous times competition encouraged everyone to do better, it now forces everyone to the lowest common denominator.

I understand what you are saying, but I reckon there is always a market for a product that tries harder than base minimum. The key though is that you have to offer your customers real tangible, measurable, benefit. Feel good and 'prestige' won't win you the battle in the end. Provide a high end product that _actually_ provides high end benefits and the punters will come running and line up at your door.

You will have noticed, no doubt, that the consumer market has pretty much divided into two, with ultra low end at one extreme and luxury at the other, most companies stuck in the middle ground are suffering horrendously.