When it comes to airport lounges, American Categorical is undeniably a trailblazer.
The cardboard issuer opened its first Centurion Lounge in Las Vegas in 2013, and it has since welcomed cardmembers into the blue doorways of 26 extra outposts.
Whereas airways have lengthy operated branded golf equipment for his or her frequent flyers, Amex was the primary of the main card issuers to construct a proprietary community of airport lounges.
Now, 10 years later, Amex is dealing with some rising competitors from Capital One and Chase. However regardless of that, it is nonetheless planning one other thrilling decade of enlargement and progress.
To rejoice the 10-year anniversary of the Centurion Lounge, TPG spoke with Audrey Hendley, president of American Categorical Journey, to listen to her reflections on the previous decade and her tackle the place issues are headed subsequent.
Native but worldwide lounges
Over the previous 10 years, the Centurion Lounge community has undergone two pivotal adjustments.
The adjustments began when the issuer revised its design philosophy for its golf equipment. As a substitute of merely constructing luxurious areas in main airports, Amex has centered on integrating native parts into every of its lounges, Hendley mentioned.
This transition began to grow to be obvious towards the top of the last decade in just lately opened areas in New York, Charlotte and Los Angeles. Nonetheless, it is one thing that has been on the Amex staff’s thoughts for the reason that begin.
“Each lounge is completely different. Each lounge now has a contact of the native expertise,” Hendley mentioned as she defined the transition towards a extra domestically influenced design philosophy.
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In her thoughts, this native design is among the key differentiators from airline-branded lounges, and it is one thing that cardmembers are particularly enthusiastic about, she mentioned.
Along with infusing native touches in lounge design, Amex additionally made a strategic resolution in July 2021 to combine all current Centurion-branded worldwide lounges into the broader Centurion Lounge portfolio.
For years, Amex had two completely different “flavors” of Centurion Lounges. These within the U.S. had been usually newer and nicer, whereas these outdoors the U.S. (apart from London and Hong Kong) had usually seen higher days.
With a purpose to shortly develop the Centurion Lounge community, Amex folded these 12 worldwide outposts into the Centurion Lounge community with a full rebrand and renovation, Hendley added.
At present, the issuer operates 27 lounges worldwide, with plans so as to add a pair extra within the coming years. (Extra on that beneath.)
The start of a brand new phase
Amex was already interested by a redesign and enlargement within the early days, however it wasn’t till 2021 that the issuer began dealing with some actual competitors with the opening of the primary Capital One Lounge in Dallas Fort Price Worldwide Airport (DFW).
Whereas Amex loved an eight-year monopoly, the airport lounge wars at the moment are extra ferocious than ever, with issuers constructing greater and higher outposts.
Capital One just lately opened its second outpost at Washington, D.C.’s Dulles Worldwide Airport (IAD), and Chase unveiled two new areas in Boston and Hong Kong in current months. These rivals even have a protracted listing of extra areas opening within the coming years.
Because the bank card wars tackle a brand new dimension (the airport), Hendley is generally unphased by the competitors.
“The purchasers love the product of the lounges, and that we’re simply going to proceed doing what we’re doing, persevering with to innovate, persevering with to develop, to proceed to place the shoppers on the entrance of what we do,” she mentioned.
Hendley hasn’t been right into a Capital One or Chase lounge but. Nonetheless, her staff has been busy doing a little aggressive analysis into what works and what does not for the rivals.
Crowding considerations
Ask in regards to the present state of airport lounges, and nearly all frequent flyers will point out overcrowding as a key concern these days.
Maybe it is as a result of Amex truly constructed lounges that individuals wish to go to or as a result of The Platinum Card® from American Categorical is extra in style than ever. Nonetheless, there aren’t any two methods about it: The Centurion Lounge is commonly the busiest membership within the airport and presumably in your complete metropolis during which it resides.
Through the years, we have seen numerous footage and movies of lengthy strains coming into the membership, with disgruntled cardmembers being turned away or advised to attend in line till area has grow to be out there.
Overcrowding is partially a structural situation since there is a finite cap on how a lot area Amex can lease for lounge expansions. However Hendley shared that “if it’s a must to wait, on common, it is about 10 to fifteen minutes. Most of our clients are understanding (of the wait).”
That mentioned, Amex has revised the lounge entry coverage just a few instances through the previous decade to chop down on overcrowding. Most just lately, the issuer eliminated complimentary visitor entry from the Platinum card, however Hendley declined to touch upon how a lot that is serving to Amex fight overcrowding.
What’s subsequent for Centurion Lounges
In accordance with Hendley, Amex is “at all times” interested by rising the Centurion Lounge community, however the issuer is notoriously reticent in the case of sharing upcoming opening and retrofit plans.
Proper now, there are simply three confirmed upcoming Centurion Lounges — one in Washington, D.C., one other in Atlanta and a 3rd in Newark.
The issuer hasn’t confirmed any upcoming renovations or expansions of current lounges, however it looks as if Amex is not resting on its laurels.
“As we get into subsequent 12 months, we’ll have extra [to share],” Hendley mentioned.
The place precisely Amex will go subsequent is anybody’s guess, however it looks as if among the focus shall be on lounge retrofits.
“Even inside current areas, we’re in the meanwhile engaged on a number of of these to retrofit and proceed to boost the area,” she added.
No matter what comes subsequent, relaxation assured that TPG will cowl the most recent and best from Amex.