Small business credit cards represent a hot opportunity in payments right now. Here are six reasons why:
As a result, small business card multi-channel marketing activity is likely to increase in the coming months. The small business card segment is dominated by American Express OPEN but that dominance is likely to be challenged from all angles as direct and indirect competitor’s ramp up their activity with new products and solutions.
According to Mintel Comperemedia, Capital One is back in direct mail with its Spark card, after a hiatus, and new multi-channel campaigns are being observed from regional players such as Key Bank and Regions Bank as well as established players including Chase, U.S. Bank and Wells Fargo. Increasingly favorable market conditions coupled with a lack of competition, at least compared with the consumer card segment, mean that small business cards represent one of the hottest opportunities in the payments industry right now.
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Andrew Davidson is the Senior Vice President of Mintel Comperemedia. Andrew uses his 20 years of financial services research experience to provide insights to clients around key trends and industry marketing activity, helping companies understand and react to an ever-changing competitive environment.
