Core Insights - Consumer demand for elite credit cards remains strong despite significant fee increases, with American Express (Amex) reporting higher-than-expected early demand for its revamped Platinum card [1][2] - The new Platinum card, launched in September, has an annual fee of $895, and new account acquisitions have doubled compared to previous levels [2][3] - Amex's CEO noted that retention rates for existing cardholders have remained stable post-refresh, with a $200 fee increase not affecting them for a few months [3] Company Performance - Amex reported $421 billion in billed business during the third quarter, indicating robust transaction volume on its products [7] - The stock price of Amex increased by over 7% by mid-afternoon following the earnings call [7] Market Trends - The luxury credit card market is competitive, with other companies like Chase and Citi also increasing fees and introducing new products [4] - Chase reported its best year for new account acquisitions for its Sapphire portfolio, indicating a similar trend in consumer interest [4] Target Demographics - Amex's Platinum card perks are appealing to a broad range of consumers, particularly millennials and Gen Z, who made up 75% of new platinum and gold accounts in the first quarter of last year [5][6] - Younger cardholders are completing approximately 25% more transactions than older cohorts, highlighting their engagement with Amex products [6]

Core Insights - American Express (Amex) has launched a revamped Platinum card with expanded benefits and a new annual fee of $895, which is a $200 increase for existing cardholders starting from January 2, 2026, for consumer cards and December 2, 2025, for business cards [1][2][3] Company Overview - The new Platinum card offers $3,500 worth of annual benefits, designed based on consumer spending data and feedback [2] - The card has been in development for approximately 18 months, and Amex did not alter its plans following Chase's updates in June [5] Industry Context - The amount Americans pay in credit card fees has increased significantly, from $3.0 billion in 2015 to $6.4 billion in 2022, indicating strong demand for premium credit products [4] - Amex reported "continued strong card fee growth" and robust demand for its premium offerings in its second-quarter earnings [4] Product Features - The new Platinum card includes enhanced dining, hotel, and wellness perks, along with an updated app [7] - Cardholders will receive up to $400 in annual credit at Resy, and access to exclusive dining reservations in major cities [6]