As of February, Venture X cardholders have to fork over $45 (or spend more than $75,000 a year) to bring a guest into one of its lounges. While Chase Sapphire’s recent updates benefit cardholders on the whole, some benefits got a haircut, too. (The car rentals that earned 10 points before now earn 8, for example.)
Consumers using most any metal card these days face an increasingly complex task just to make sure the perks they get pay for the membership fees—a quandary that’s led to the rise of apps like AwardWallet and CardPointers to help them keep track.
Is there a breaking point? Some consumers have reached it already. “There is a potential issue where people are going to be overwhelmed by the number of things that are included in these cards,” Ewen said, adding that shortly after Amex Platinum and Chase Sapphire rolled out their revamped offerings, readers were emailing and posting on social media that luxury cards have gotten too complicated and are “no longer worth it.”
“I think there is potentially a wall there,” he said.
Liss is aware of that perception. To avoid overwhelming its customers, Venture X positions itself as the metal card that’s easiest to use. Its tagline: “Elevated, not complicated.”
“There are certain customers that want to make credit cards a hobby—they love having spreadsheets—but I don’t think that’s the majority,” Liss said. “The consumer we’re going after still wants the perks or the access, but doesn’t want to make it this whole time-consuming process. Our offering stands out because it’s at a no-brainer fee that’s easy to get.”
American Express is aware of the benefits overload problem, too. Debuting alongside its refresh of the Platinum card was its own app to help cardholders keep track of the perks.
Kalhans also pointed out that “we focus on delivering membership rather than points.”
As membership benefits grow more complex and competitor cards enter the fray, airport lounges are emerging as the most visible branding tools. Yet here, too, it’s becoming harder to stand out.
As posh as the Capital One Landing at LaGuardia is, it’s not the only clubhouse in Terminal B. A short walk away is Chase’s Sapphire Lounge and American Express’s Centurion Lounge, which is open to both Centurion (Black) and Platinum card holders. Also nearby is the American Airlines Admirals Club lounge—open to holders of the AAdvantage Executive World Elite Mastercard—and Air Canada’s Maple Leaf Lounge, which welcomes the bearers of no fewer than five metal cards, two from Visa and three from American Express.
Any respite from the hellscape of waiting to board a flight is welcome, but there’s only so much that a comfy seat and free coffee can do for a brand.
“Because so many cards now have access to priority pass lounges, the experience has become quite restrictive,” Rathner said. “Sometimes there’s a waitlist to get in. Sometimes some of the amenities that you were hoping for aren’t available because it’s so crowded. These lounges have become victims of their own success.”
From guest list to bucket list
As the luxe credit card sector swells, brands will have to keep evolving. Bunita Sawhney, chief consumer product officer for Mastercard—which launched its World Legend card last summer—believes that “there’s a movement from image to intention” happening already.
