American Express Rolls Out New Business Cards to Target Growing Companies

American Express unveiled a new commercial credit card Wednesday and plans another launch this fall as part of its strategy to strengthen its position in the small and mid-size business market. The new Graphite Business card offers cashback rewards and comes with a $295 annual fee.

American Express rolled out a fresh commercial credit card Wednesday and announced plans for a second launch later in 2024, part of the financial giant’s ongoing effort to strengthen its grip on small and medium-sized business customers.

The credit card company recognizes that business clients typically generate higher spending volumes, making them valuable targets for financial institutions. Although American Express already holds a commanding position in this market, these new offerings could help cement its competitive advantage.

The newly launched Graphite Business card carries a yearly fee of $295 and provides customers with 2% cash back on qualifying purchases, plus 5% back on airline tickets and prepaid hotel reservations booked through the company’s travel booking system.

American Express has also scheduled the debut of an additional corporate cashback card for autumn, though specific pricing information will be revealed closer to that launch date.

“The two new cashback cards are a continuation of a strategy that we’ve been executing for a long while,” said Raymond Joabar, group president of AmEx’s global commercial services.

“Our customers need partners who understand the complexities of their business as they grow from small operations to mid-sized firms and potentially, multinational companies.”

The competitive landscape shifted in January when Capital One, a major American Express competitor, announced a $5.15 billion acquisition of Brex, a technology company specializing in corporate credit cards and expense management solutions.

This purchase is anticipated to expand Capital One’s presence in the business spending sector. However, during a recent earnings discussion, AmEx CEO Stephen Squeri emphasized that his company remains “three times larger than anybody else.”

Recognizing the growing popularity of artificial intelligence tools, American Express also revealed it will reimburse up to $300 annually for ChatGPT Business subscription fees for customers holding its U.S. Business Platinum and Business Gold cards.

Additionally, the company plans to launch new expense management software within the year, designed to help businesses better track and control their spending.