American Express is striking a deal with Facebook, similar to the one that it has already inked with Foursquare on the daily deals business.
Through a new Facebook app called "Link, Like, Love," AmEx cardholders can link their cards to their Facebook accounts just like they can already link their cards to their Foursquare accounts. Once they do so they will get a dashboard of deals from brands such as Whole Foods, Dunkin' Donuts, Virgin America, and Sports Authority. These offers are different than Facebook Deals, which Facebook sources itself.
The Facebook deals you see are influenced by what you and your friends "like" on the Web using the Facebook like button.
"You and your friends like and share many things on Facebook. Now, American Express has deals and experiences for you based on those likes and interests. And once you sign up and choose your deals, all you have to do is use your American Express Card and statement credits will be sent directly to your Card account.
No coupons. No hassles. Just a credit on your statement, and savings in your pocket," stated AMEX.
Although many of the deals at launch are with national brands, AmEx is also leveraging its relationships with smaller local merchants with a new program "Go Social," which allows merchants to manage deals across both Facebook and Foursquare, with other social networks to be added in the future. Business owners will be able to create their own coupon-less deals in a self-serve manner that're triggered whenever someone with a linked account buys a deal item. Self-serve has been a challenge so far with local merchants, but AMEX can market to them through its existing channels.
Go Social will also allow merchants to put their locations on social networks like Facebook and Foursquare, and track their deal campaigns across those networks. Since AMEX has all the payment information, it can track deal redemption fairly easily. Closing the offer to redemption loop is the singel biggest challenge in the daily deals space. Even Groupon Now, Groupon's mobile app with instant deals, requires participating merchants to have iPhones and train staff on how to redeem the offers. AMEX doesn't try to change the behavior of the consumer or the merchant, other than give them an incentive to pay with AMEX versus cash or a credit card.