While you may be trying to decide on a credit card, one card has already gone viral, making it of obvious interest to anyone in a quandary over a credit card pick. People are even seen on YouTube, boasting to everyone about owning their precious new credit card – the one that displays a metallic rectangle. Blogs and message boards are also obsessing over the Chase Sapphire Reserve Credit card. On Reddit alone, the card has already sparked as many as 6,000 comments.
The card is so popular that JPMorgan Chase, the card’s issuer, ran out of the card’s fancy engraved metal stock after only 10 days, requiring the company to send a temporary plastic placeholder out to disappointed consumers.
As a result, large credit card issuers are in a type of arms race, all of them introducing tempting rewards programs to catch the attention of affluent customers who spend large amounts of money on recreation and travel. However, these same customers do not want to be bound to a specific airline or hotel’s rewards program.
While the Chase Sapphire Reserve card comes with a $450 annual fee, it still offers a bottom-line value proposition. Matt Schulz, who is an analyst for CreditCards.com, made the following comment. He said, “American Express used to have a stranglehold on the high-end market, but folks like Chase and Citi are coming hard after their crown.” He added, “It’s the best time in years to shop for a rewards card.”
Historically, the Platinum card featured by American Express was a trailblazer of the premium category and its unrivaled champion. However, in 2014, Citi upgraded its high-end Prestige credit card to compete with the Platinum card. The Prestige, like the Platinum card, offered free hotel stays, transferable points that were redeemable for upgrades and airfares, and access to private golf courses and lounges at airports. The card offered spending incentives that permitted customers to cash in more quickly.
One spokeswoman for Chase, Amy Bonitatibus, spoke about the phenomenal response of the Sapphire Reserve. She said, “It significantly exceeded our expectations.” The card has been a particular hit with millennials, who make up the majority of cardholders. Given that many millennials are turning down credit card offers, this small detail is definitely noteworthy in the credit card industry.
Most of the consumers have fallen for the perks and rewards of the Chase Sapphire Reserve. In fact, according to one financial expert, the rewards are so good, people are afraid some of them might be taken away.