What Does American Express Have To Do With Retail Sales? | Retail Today With Bob Phibbs, the Retail Doctor - Flash Briefing

... about to 26, so about a dollar more. So, why is the difference? Well, quite simply they make money on revolving credit. They put it on the consumer. That's where we're going to make our 20, 30%. American Express says you want our card, you're going to have to pay a lot more money, and you have to pay it off. And that's how they make their money. They are making it by charging the merchants a little bit more. But why would you want to do that? Because American Express holders are the most affluent customers, and you're probably not going to be making every one of American Express. My viewpoint, it was always a small amount who asked for it, but you're cutting your nose off to spite your face because there are people who would rather use that American Express and if you knew that, maybe you would be able to sell them more. So, there you go. If you love what you heard on Retail Today, connect with Bob by visiting retaildoc.com or send a message to [email protected]. Thanks for listening. If you love what you heard on Retail Today, connect with Bob by visiting retaildoc.com or send a message to [email protected]. Thanks for listening!