JPMorgan Chase bank has introduced a groundbreaking approach to advertising, unveiling Chase Media Solutions, a unit designed to allow marketers to entice customers with targeted ads and discounts tailored to their spending data. This initiative, stemming from the firm’s acquisition of marketing platform Figg in 2022, aims to provide Chase customers access to exclusive deals on the Chase app or website, thereby enhancing the appeal of the bank’s credit cards.

Unlike traditional media networks, Chase’s innovative ad platform doesn’t involve selling advertisement spots on its app or in its branches. Instead, it charges merchants a fee only when a customer uses a deal to make a purchase. Chase Media Solutions will work closely with advertisers to create targeted ads delivered to Chase customers most likely to convert, as determined by their spending history.

All deals and discounts will be activated via Chase’s app or website, ensuring a seamless customer experience. This move aligns with recent efforts by other companies like Best Buy and Uber, which have begun selling ad space on their apps and websites, leveraging customer data to generate additional revenue.

Despite concerns about privacy, a spokesperson for Chase reassured that the bank cannot share customer data with advertisers due to security and regulatory measures. Instead, Chase Media Solutions collaborates with brands to create targeted offers based on specific goals, such as acquiring new customers or increasing basket size.

This model benefits both businesses and Chase, allowing companies to attribute results to their spending with Chase and helping marketers demonstrate the effectiveness of their campaigns. Chase has already tested the effectiveness of targeted ads through a pilot campaign with Air Canada, resulting in significant sales growth and new customer acquisitions.

With the launch of Chase Media Solutions, JPMorgan Chase aims to solidify its position as the nation’s largest credit card issuer while providing value to both customers and advertisers in an increasingly digital marketplace.