American Express’s “Small Business Saturday”: A $19 Billion Movement

Introduction

In the wake of economic downturns, businesses often look for innovative ways to sustain themselves. American Express (AMEX) leveraged this necessity by launching “Small Business Saturday” (SBS) in 2010, strategically positioned between Black Friday and Cyber Monday. What started as a public relations campaign evolved into a movement generating billions in revenue. This case study explores the strategic pillars, execution, and lessons learned from this iconic campaign.

Context: The Post-Recession Business Climate

Following the 2008 financial crisis, small businesses faced a disproportionate impact, with two-thirds of total job losses occurring in this sector. Consumer spending was down, and small businesses struggled to compete against retail giants like Walmart and Amazon, particularly during the holiday shopping season.

For AMEX, this scenario presented a twofold challenge:

• Small businesses hesitated to accept AMEX cards due to high transaction fees.
• AMEX needed to reignite customer loyalty while supporting small businesses.

The Solution: “Small Business Saturday”

AMEX’s SBS initiative aimed to encourage consumers to shop at small businesses the Saturday after Thanksgiving. By creating a dedicated shopping holiday, AMEX positioned itself as a champion of small businesses, reinforcing its brand’s community-driven ethos.

Strategic Objectives and KPIs

1. Increase consumer spending at small businesses
2. Boost social media engagement and awareness
3. Enhance brand favorability among small business owners
4. Foster long-term partnerships with small businesses

Execution: The Multi-Channel Approach

1. Leveraging Social Media & Influencers

AMEX utilized social media to spread awareness, making SBS a trending topic on Twitter. Influential endorsements, including President Barack Obama’s participation, propelled the campaign to national prominence.

2. Grassroots Marketing & Partnerships

AMEX provided toolkits, promotional resources, and advertising materials to small businesses, empowering them to capitalize on the initiative.

3. Financial Incentives & Consumer Engagement

• AMEX offered statement credits and cash-back rewards to incentivize cardholders to shop locally.
• Businesses received complimentary marketing support, including customized ads.

4. Legislative Support & Institutional Backing

In 2011, the U.S. Senate passed a resolution recognizing SBS, reinforcing its legitimacy. Corporations also joined forces with AMEX to promote the initiative, amplifying its reach.

Economic Impact

The campaign’s impact extended beyond brand awareness, yielding tangible economic benefits:

• $19 billion in spending since inception.
• 103 million consumers participated in 2011 alone.
• $23.3 billion spent on SBS in 2021, even amid the pandemic.

AMEX’s Long-Term Commitment

Understanding that brand loyalty is built over time, AMEX transformed SBS from a one-time campaign into an enduring initiative:

1. Shop Small Resource Hub: Year-round online platform offering marketing tools.
2. Digital Expansion: AMEX partnered with TikTok in 2022 to help small businesses engage Gen Z and Millennial audiences.
3. Partnerships with FedEx & Indeed: Providing logistics and staffing solutions to sustain small business growth.

Key Takeaways for MBA Students & Business Professionals

1. Impact Beyond Profit

Successful branding is not just about sales; it’s about fostering relationships. AMEX’s focus on community support created an emotional connection with consumers.

2. The Power of Community-Centric Marketing

AMEX positioned itself as a small business ally, rather than just a financial service provider, exemplifying the value of purpose-driven marketing.

3. Leveraging Social Proof for Virality

Endorsements from public figures, influencer engagement, and grassroots advocacy were instrumental in scaling the campaign.

4. Adaptation & Sustained Momentum

Rather than treating SBS as a one-off initiative, AMEX continuously evolved the campaign, ensuring its relevance in a shifting economic landscape.

Conclusion

AMEX’s Small Business Saturday demonstrates how businesses can align social impact with corporate strategy to drive sustainable growth. By strategically combining financial incentives, social media virality, and community engagement, AMEX transformed a PR campaign into a national movement—one that continues to create value for small businesses and consumers alike.