Cleveland State University Sapphire Brand Marketing Questions
- How do you evaluate the 100,000-point offer? Was this a good investment, and why (not)? For your answer, let’s assume that both Transactors and Revolvers spend 2k per month (24,000 / yr) on their card, and Churners only 4k/year. Also, for the revolvers, let’s assume they carry 50% of their balance month-over-month (i.e. earning interest income for Chase). Please explain any additional assumptions you are making in order to answer whether the 100k-point offer makes sense for Chase.
- How would competing credit card companies respond to the Chase Sapphire Reserve card? And how should Chase position itself in anticipation of these competitive responses?
