JPMorgan Chase launched a business Wednesday that will help marketers target customers based on their spending habits.
Chase Media Solutions, billed as the only bank-led platform of its kind, connects Chase’s 80 million customers to retail deals tailored to their spending directly through their bank app.
Rich Muhlstock, president of Chase Media Solutions, said Wednesday that its understanding of consumer spending has driven the firm to “reimagine what retail media networks can offer.”
“Like retailers, we have first-party data and a dedicated audience. But what sets us apart is the unrivaled scale and insights from our customers — having long served as a trusted guide for their financial decisions,” he said. “Chase reaches across brands, merchants and shopping verticals, providing a comprehensive view of purchase behavior; this strengthens the degree of personalization, helping brands deliver offers that stoke consumer interests.”
The bank is not sharing Chase customer data with retailers. Rather, it is working alongside brands and merchants to develop targeted offers for customers.
Brands have long wasted digital ad spend on dead ends. With Chase Media Solutions, brands share what their motivations are — acquiring new customers or building basket size, for instance — and then the bank targets customers with specialized deals through its app’s Chase Offers section.
When a customer activates the deal within the app and makes a subsequent purchase, in-store or online, a statement credit then appears for the customer.
Chase will only charge retailers when a customer follows through with a purchase. Therefore, the retailers will be able to trace back their sales directly to their Chase partnership,
“We will be part of larger campaigns, because there are other things that are obviously always going to be important to building brands and awareness and things like that,” Muhlstock told The Wall Street Journal. “But this fits in nicely with something that can truly drive sales.”
Chase Offers already presented customers with less targeted ads. Moving forward, it will be populated by offers developed within the bank’s new marketing arm.
During 30-day pilot launches for airline Air Canada, coffee chain Blue Bottle and fast food restaurant Whataburger, participating brands saw sale and customer growth, the bank said.
“The Chase team succeeded in creating a thoughtful, targeted offer that exceeded our expectations. Two distinct offer constructs drove incremental revenue and awareness for Air Canada amongst Chase’s cardmember base,” said Scott O’Leary, vice president of loyalty and product for Air Canada, in a prepared statement. “These tests clearly demonstrated the potential of the Chase Media Solutions channel, and we look forward to working together more in the future.”
The launch follows the integration of Figg, a card-linked marketing platform acquired by the bank in 2022. The bank said it is part of its vision to bring dual value to business clients and banking customers.
