Chase Bank Plays the Ecommerce Card: Offers $100 Bonus for its "Instant Storefront" Solution

image Chase Bank is aggressively pushing its latest small biz initiative, Instant Storefront, billed as a way for old-school “9 to 5” businesses to sell online 24/7. Here’s where I ran across it last week: 

  • A radio ad a few days ago (in Seattle)
  • Full-page ad in the San Francisco Business Times (p. 24 of March 25-31 issue)
  • On the main account management page within online banking
  • Small ad on Chase’s business banking public page today (see last screenshot, note 1)
  • Email yesterday offering a $100 bonus to give it a try (see first screenshot, note 2). 

The email is short and sweet with a good subject line and appealing design. The green button leads to a landing page with more info (second screenshot). The page includes an old-school, and very effective lead-gen technique, offering to email the $100 coupon to interested visitors (third screenshot).

The cost is $30 per month, and the bank throws in a $350 POS terminal and waives $150 in startup fees for new Chase Paymentech merchant customers.

To redeem the offer, customers must visit with a business banking specialist in a Chase Branch. Ecommerce website development seems like a bit of a stretch for a business banker to be conversant with, but hopefully it’s very turn-key. And I like how the service positions Chase as an online partner to small biz, so it may be a brilliant branding tool.

Using a browser with cookies removed (note 1), I don’t see any mention of the new service on Chase’s website and searching for “storefront” in its site search returns nothing (note 3). So Instant Storefront may be a western market test.

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Chase Bank email to business customers about Instant Storefront (30 March 2011)

Chase Bank email to business customers about Instant Storefront (30 March 2011)

Landing page for Instant Storefront (link)

Landing page for Instant Storefronts

Lead-gen page where users enter their email address to get the $100 coupon

Chase Lead-gen page where users enter their email address to get the $100 coupon

Chase public business banking site (with Washington state customer cookie)

Chase public business banking site (with Washington state customer cookie)

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Notes:
1. The ad appears only on the browser I use to access my Chase account. On browser with cookies disabled, I do not see the Instant Storefront ad.
2. The print and radio ads also offer the $100 bonus.
3. The bank uses the URL: chase.com/storefront in its radio ad.
4. For more info, see Online Banking Report: Micro- and Small Business Online Banking (published Oct. 2009)

Western Union Spin Off May Do Little for First Data

Last week’s news that First Data Corp. will spin off its Western Union operations to First Data shareholders and create a company worth an estimated $20 billion is probably good news for Western Union. Noting that the parent company will be keeping its card processing, card services, and international business lines, observers were asking what had otherwise changed.

The answer: Nothing. “The bottom line for me is that this doesn’t change the realities, which are that even though they’re going to reconstitute what First Data will be, it doesn’t change the facts that Western Union, while it’s a good business, is facing increasing competition around the world, that the card business is struggling mightily, and that merchant processing is a commoditized business,” says Scott Kessler, who follows First Data for Standard & Poor’s.

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