Small Business News
Amazon Said to Be Eyeing Small Business Credit Card Offering
Depending on what your small business does, you may view Amazon as a friend or a foe. For those in retail who don’t sell their own products, Amazon’s low prices and fast shipping could easily pose a threat. Meanwhile, companies that manufacturer their own goods or even hawk used items may find the giant to be a great sales outlet. Whatever the case may be, Amazon is now reportedly looking to be a destination for small business supply buyers and offer a new credit card.
According to Bloomberg, Amazon has been in discussions with JPMorgan Chase about creating a co-branded credit card for small business owners. The new card would supposedly take on a points structure that would reward business owners for their purchases. Moreover future offerings and perks might also be influenced by consumer purchase data. Additionally the site reports that Amazon is considering introducing other business products such as business insurance to customers down the line.
Rumors of a new small business-minded credit card come only a few months after Amazon introduce Business Prime accounts. These memberships are akin to their popular product for individuals but allow multiple people to place orders with fast, free shipping. Such plans start at $499 a year for up to 10 people. As a result, it’s clear that Amazon is hoping to take market share from companies like Staples, Grainger, and others.
Overall, Amazon making moves toward embracing and boosting small businesses seems like a smart strategy. Despite any animosity on the part of some business owners, there’s no doubt there are plenty of B2B benefits to be had on both sides. It’s also easy to imagine small business owner switching from suppliers like Staples that they may have accounts with to simply buying all of their items on Amazon — especially if they’re getting free shipping and reward point perks. Of course we’ll have to wait and see if the Amazon small business card becomes a reality and how it compares to other offerings like Chase Ink and Capital One Spark.
