@TrueGeminiNC wrote:
@Maximuss wrote:What is going on?
I am sure it boils down to a numbers game. In my opinion, JetBlue doesn't really cater to the demographics of an AMEX cardholder. I think it is more lucrative for JetBlue to switch to a card company with less restrictive underwritting guidelines to allow for more cardholders. Airlines actually receive cash payments from the credit card companies for such exclusitivity deals.
Disagree, maybe a decade ago but not today. There is no such thing as an AmEx cardholder demographic anymore, they have myriad segments of consumer types ranging from low line and high APR to exceptional spenders. I just think JetBlue got a better offer from Barclaycard and ultimately MasterCard has more acceptance. I wish instead Delta dumped AmEx and partnered with a better issuer, the Barclaycard Delta SkyMiles World Elite MasterCard has a nice ring to it 
@mxp114 wrote:
@TrueGeminiNC wrote:
@Maximuss wrote:What is going on?
I am sure it boils down to a numbers game. In my opinion, JetBlue doesn't really cater to the demographics of an AMEX cardholder. I think it is more lucrative for JetBlue to switch to a card company with less restrictive underwritting guidelines to allow for more cardholders. Airlines actually receive cash payments from the credit card companies for such exclusitivity deals.
Disagree, maybe a decade ago but not today. There is no such thing as an AmEx cardholder demographic anymore, they have myriad segments of consumer types ranging from low line and high APR to exceptional spenders. I just think JetBlue got a better offer from Barclaycard and ultimately MasterCard has more acceptance. I wish instead Delta dumped AmEx and partnered with a better issuer, the Barclaycard Delta SkyMiles World Elite MasterCard has a nice ring to it
That's a good point. As cap one already have a skymiles. But we can't get it. Check it out.
http://www.capitalone.ca/credit-cards/delta-skymiles-world/
@mxp114 wrote:
@TrueGeminiNC wrote:
@Maximuss wrote:What is going on?
I am sure it boils down to a numbers game. In my opinion, JetBlue doesn't really cater to the demographics of an AMEX cardholder. I think it is more lucrative for JetBlue to switch to a card company with less restrictive underwritting guidelines to allow for more cardholders. Airlines actually receive cash payments from the credit card companies for such exclusitivity deals.
Disagree, maybe a decade ago but not today. There is no such thing as an AmEx cardholder demographic anymore, they have myriad segments of consumer types ranging from low line and high APR to exceptional spenders. I just think JetBlue got a better offer from Barclaycard and ultimately MasterCard has more acceptance. I wish instead Delta dumped AmEx and partnered with a better issuer, the Barclaycard Delta SkyMiles World Elite MasterCard has a nice ring to it
As a former airline employee, i tend to disagree.
First, Delta will not dump AMEX simply because legacy airlines generate a large percentage of their revenue from high value customers; those customers who purchase full fare tickets opposed to inexpensive sale fares. Look at how Delta & United recently changed their frequent flyer programs. These programs now reward corporate and business travelers more favorably. This model is a win-win for both Delta and AMEX.
Prior to leaving my previous employer- we were preparing to purchase marketing data from AMEX because we wanted those high value customers so that we could target them directly.
Additionally, many of these high value customers will steer away from the low-cost-carriers i.e. JetBlue and purchase tickets on legacy carriers because of their global reach and the alliances that they have.
@taxi818 wrote:
@mxp114 wrote:
@TrueGeminiNC wrote:
@Maximuss wrote:What is going on?
I am sure it boils down to a numbers game. In my opinion, JetBlue doesn't really cater to the demographics of an AMEX cardholder. I think it is more lucrative for JetBlue to switch to a card company with less restrictive underwritting guidelines to allow for more cardholders. Airlines actually receive cash payments from the credit card companies for such exclusitivity deals.
Disagree, maybe a decade ago but not today. There is no such thing as an AmEx cardholder demographic anymore, they have myriad segments of consumer types ranging from low line and high APR to exceptional spenders. I just think JetBlue got a better offer from Barclaycard and ultimately MasterCard has more acceptance. I wish instead Delta dumped AmEx and partnered with a better issuer, the Barclaycard Delta SkyMiles World Elite MasterCard has a nice ring to it
That's a good point. As cap one already have a skymiles. But we can't get it. Check it out.http://www.capitalone.ca/credit-cards/delta-skymiles-world/
Not happening, Amex renewed with delta for several years. Get a venture.
@taxi818 wrote:
That's a good point. As cap one already have a skymiles. But we can't get it. Check it out. http://www.capitalone.ca/credit-cards/delta-skymiles-world/
Yeah there's a very nice MasterCard Black SkyMiles offering in South America, forget the country but it looks sleek with the silver logo.
@TrueGeminiNC wrote:
As a former airline employee, i tend to disagree.
First, Delta will not dump AMEX simply because legacy airlines generate a large percentage of their revenue from high value customers; those customers who purchase full fare tickets opposed to inexpensive sale fares. Look at how Delta & United recently changed their frequent flyer programs. These programs now reward corporate and business travelers more favorably. This model is a win-win for both Delta and AMEX.
Prior to leaving my previous employer- we were preparing to purchase marketing data from AMEX because we wanted those high value customers so that we could target them directly.
Additionally, many of these high value customers will steer away from the low-cost-carriers i.e. JetBlue and purchase tickets on legacy carriers because of their global reach and the alliances that they have.
I know they won't, the agreement has been signed since December.
You say demographics of an AmEx cardholder but what do you mean? Not all American Express cardmembers are high networth, high spend, high value accounts and that's my point. AmEx has multiple populations of card accounts with various demographics including the high networth cardmembers. And your previous employer was likely preparing to purchase a specific pool of data, since AmEx cardmembers doesn't necessarily = high value.
@Imperfectfuture wrote:
Not happening, Amex renewed with delta for several years. Get a venture.
I know, it was renewed in December and I already have a Venture World Elite
@TrueGeminiNC wrote:Agree. Not all AMEX cardholders are high value...
My point exactly, not all cardmembers are high value and therefore not all are in the same demographic. They probably do have a larger share of high value accounts but I'm not going to speculate on any data because afaik American Express does not reveal it. The AmEx of 2015 is very different than the Amex of 1985, 1995 and even 2005. And as a result the cardmembership base is also very different and varied.
@B335is wrote:
I highly doubt Delta is going to dump Amex. If I remember correctly Amex assisted Delta with BK exit financing and have a pretty lengthy guarantee to continue the relationship.
I also agree with mxp that Amex doesn't cater to the stiff lip demographic of 20 years ago.
They renewed the agreement for six years in December? I don't remember the details. The AmEx portfolio is so varied today, at one point you could say the AmEx demographic and refer to a high spend, luxury travel individual but not today. Sure they have that segment of accounts but not all are.
