December 26, 2000, 9:55 AM

Green giant talks a Blue streak

American Express Co., pur-veyor of the familiar green charge card, hit the Web running this fall, with a $45 million campaign to promote its new Blue credit card for secure transactions. The hybrid smart card has a computer chip storing an e-wallet.

Fraud currently accounts for less than a tenth of 1% of Web transactions. Yet a recent survey by VISA and payment services firm CyberSource showed that 75% of Web merchants are concerned about fraud and expect it to increase.

AmEx aims to sign up 2 million Blue cardholders by the end of 2000, wooing them with a 0% introductory interest rate.

So far, Web retailers have more questions than answers about Blue, including whether people jittery about shopping online will hook up card readers to their computers. “The card adds a level of complexity to get added security,” says Elaine Rubin, chairman of Shop.org. “People may say, ‘Why bother?’ ”

comments powered by Disqus

Advertisement

Advertisement

Advertisement

From The IR Blog

FPO

Thomas Andersen / E-Commerce

This year’s shipping rate increases are bigger than they look

That’s because the cost of shipping more common, low-weight parcels via FedEx and UPS is ...

FPO

Adrien Henni / E-Commerce

Russian e-commerce: domestic sales slump, Chinese imports soar

There is considerable growth potential, however, as online retail accounts for just 2% of Russia’s ...

Advertisement