(22 February 2008 – Australia) American Express has been chosen as the credit card venture partner for Australian department store chain, David Jones.David Jones has said that it sees significant long term growth opportunities in its own financial services business.
David Jones chief executive officer Mark McInnes said that this deal was therefore a significant opportunity for the company to build a future revenue stream in this segment of the financial services market.
He also said he felt that consumer brands were currently under represented in this segment of the financial services market.
The David Jones statement indicated that there was opportunity due to an underdeveloped Australian credit card market in terms of consumer branded credit card penetration, compared with the US market.
The strategic alliance will involve the transfer of DJ’s existing store card receivable to American Express and the development and launch of a David Jones branded American Express card in time for the 2008 Christmas trading period.