Amex Travel & Entertainment Spending Drops Sharply
- 4 years ago
Amex reported that its global consumer billed business fell 20% year-over-year (YoY) in Q2 2020 after dropping 2% YoY in Q1.
Business Insider reports the coronavirus pandemic has increasingly hurt its volume.
Amex's plunge is due to a precipitous drop in spending on travel and entertainment (T&E), which plummeted nearly 100% YoY in April.
T&E was still down about 70% YoY in the first half of July.
Meanwhile, Amex's non-T&E spending grew 5% YoY in the first half of July.
Online non-T&E sales leading the way, surging approximately 25% YoY in the period.
The pandemic's impact on T&E spending is damaging to both Amex's volume and rewards offerings.
T&E accounted for approximately 30% of Amex's spending before the pandemic.
Business Insider reports the coronavirus pandemic has increasingly hurt its volume.
Amex's plunge is due to a precipitous drop in spending on travel and entertainment (T&E), which plummeted nearly 100% YoY in April.
T&E was still down about 70% YoY in the first half of July.
Meanwhile, Amex's non-T&E spending grew 5% YoY in the first half of July.
Online non-T&E sales leading the way, surging approximately 25% YoY in the period.
The pandemic's impact on T&E spending is damaging to both Amex's volume and rewards offerings.
T&E accounted for approximately 30% of Amex's spending before the pandemic.