This week American Express released an updated version of its iPhone app that will provide shoppers with daily deals to be redeemed at nearby businesses.

AmEx is using cardholders’ purchase histories and location to determine the most relevant offer. Merchants can use My Offers as an opportunity to reach new customers, or you can extend the offer to everyone. Additionally, you’re able to create loyalty-based offers for repeat customers.

Staff training is not required since AmEx handles the processing of discounts. Your customers just need to swipe their card to pay; there’s no coupon required.

Currently AmEx is focused on attracting “as many small businesses as possible” and will not charge to participate. The company is focusing on New York and Los Angeles right now, and didn’t mention when it plans on expanding.

Considering the daily deals space is very crowded, it will be interesting to see how successful AmEx’s My Offers will be. The credit card company is no stranger to local initiatives as it has teamed up with social networks like Twitter and Foursquare in the past to support small businesses.

[Via: The Next Web, Image credit: Andres Rueda]