The American grocery giant is warning consumers about the increasing competition in the U.K. and abroad.
In a report to investors Thursday, Amex said British department store chain Tesco, which has a massive network of about 10,000 stores, is now a bigger force in the market.
Tesco is currently the biggest chain in Britain with more than 10,300 stores, AmEX said.
But the company said it expects to expand its reach in the next few years.
Amex also said it expected to be the leader in the world in next year’s retail season.
The company said in its report that the next big battle for American consumers is the introduction of a digital wallet.
The wallet will help shoppers to easily and securely access their purchases, AmEx said.
This is the first time that a major retailer is making the move.
“This is a game changer for our industry,” said John Deere, CEO of the American Association of Chain Drug Stores, which represents the nation’s more than 2,000 drugstores.
Amex said it also expects to be one of the top sellers of consumer packaged goods in the coming year.
‘Terrifyingly low’The company warned that the adoption of electronic wallets in stores could result in the demise of some chains, such as Target, Walmart, Costco and Walgreens.
Target, Walmart and Costco are among the biggest retailers in the United States, and all have plans to introduce digital wallets, AmX said.
It said the introduction would lead to an increase in competition and hurt the overall business.
Tesco, whose flagship stores in the British city of Leeds are among its biggest, said its strategy to make electronic payment easier is a step in the right direction, but that it has no plans to launch a digital cash system.
At the same time, the retailer said it is still working to convince customers that electronic payment is a better alternative to cash, rather than the traditional methods that were used for years.
Walmart, which is owned by Walmart and has about 8,000 U.S. stores, has been trying to convince shoppers that it can offer an easy way to use their cash to make purchases at many of its stores.
Deere said the company is also working on a plan to bring its e-commerce business to the U.
“That would be a major investment for Walmart,” he said.