But as the global credit card giant continues to make inroads with reluctant retailers, it’s betting on sweeping up young customers with the help of the world’s biggest pop stars.

Amex’s chief marketing officer Elizabeth Rutledge told Fortune that Gen Z and millennials were now acquiring 68% of its cards outside the U.S. 

Those younger shoppers are hooked on lifestyle perks like entertainment, dining, and travel. Amex now caters to those needs with a big focus on the entertainment sector.

“It’s experiencing the excitement of a Formula One race, or it’s getting access to some exclusive dining experiences,” Rutledge said.

In the U.K., Amex has targeted young Brits with partnerships at London festivals like British Summer Time and All Points East. Cardholders can benefit from early access to tickets and receive perks on-site.

The group partnered with Gen Z pop superstar Olivia Rodrigo last year on her successful second album, Guts, and a corresponding sell-out global tour.

Amex hosted a special event in Berlin following Rodrigo’s concert there, where card members and other fans enjoyed local artists and DJs at an after-party. Fans also got access to dedicated checkout lines for limited-edition merchandise. 

The fact that reportedly nearly 60% of Gen Zs describe themselves as “super fans” of their favorite artists, Rutledge says, increases the appeal of these perks.

In addition, Amex offers card members the chance to attend exclusive dining events, including new restaurant openings, including Great British Menu winner Dan McGeorge’s new spot Vetch in Liverpool. 

The hope is that getting a younger audience into Amex means they will stay with the card as their incomes grow into their later years.

“They’re really representing a strong potential lifetime value for us, given that we can be with them through all their different life cycles as their needs evolve and change.”

Amex’s playbook is the same in the U.S., where the group realized Gen Z and millennials’ universal demand for experiences and began adjusting their rewards.

It marks a pivot from a historic focus on points-based rewards and other benefits, which continue to in maintaining spend among members. Partnerships with certain products, like Disney+, allow users to benefit from discounted subscriptions. Shopping with other retailers, like RayBan, gives Amex customers cashback opportunities. 

Amex has tried several strategies in the past to woo young customers, but it’s proved to be a learning curve.

“Until about 10 to 15 years ago, we thought that no-fee cards were the entry point to bring in younger customers to the franchise,” Howard Grosfield, president of U.S. consumer services at American Express, told Fortune in June. 

“We’ve learned that that’s not the right strategy for millennials and Gen Zs. They like the brand affiliation. They like to travel and eat out, and they like the special access and experiences that come with our premium cards.”

Amex still expects its young shoppers to make better use of its traditional rewards system as they age. In the meantime, though, getting Gen Z and millennials hooked on experiences is proving a successful gateway to them holding down Amex cards.

However, Europe continues to pose unique challenges to the company’s continued growth.

European inroads

Amex has historically been less popular in Europe compared with its presence in the U.S. Retailers and food vendors, particularly small ones, have in the past been reluctant to accept the card in their stores owing to high transaction fees. They have instead opted to accept Amex’s arch-rivals Visa and Mastercard. 

Amex is growing in popularity with vendors in Europe, helping the group to grab 23 million new ones globally since 2021. It has added 1.5 million locations in Europe in 2022 and 2023.

The group is using third-party partnerships, including a deal with PayPal, to allow shoppers to use their Amex on the continent. 

“We’re focused on expanding acceptance in key cities where our card members live, work, and travel,” Rutledge said.

The strategy seems to be working. Over the past three years, Amex has grown its presence in U.K. outlets by 46%.

Amex’s rewards programs have long been its USP against other credit card suppliers, and as Gen Z and millennials get hooked on Buy-now, pay-later companies like Klarna, Amex is leaning into perks the interest-free lender can’t compete with.

The company is bullish about its continued growth outside the U.S.

“It’s the fastest-growing part that we have right now,” Stephen Squeri, Chairman and CEO of American Express, said in May. “It was the fastest-growing part of our business pre-pandemic, both from a small business perspective and for a consumer perspective.”

However, Amex’s fees continue to pose obstacles to the group’s continued expansion.

In June, eBay banned the use of Amex on its site, citing “unacceptably high fees,” creating a risk that other retailers may follow suit in an ongoing war over credit card fees. Customers are still able to use their Amex on eBay through PayPal.

“We’re definitely disappointed that eBay made the decision to stop accepting American Express cards,” Rutledge said.

“By doing so, I think they’re going to limit customers’ payment choices and take away that service and that security.”

Rutledge added that eBay only represents 0.2% of its total network volume.