Report: Outsiders Now Partnering with OTAs to Sell Travel  

Photo source: You, me and the machine conference.

Brands and companies not active in travel including financial institutions, retailers and loyalty clubs are teaming up with online travel agencies (OTAs) to sell travel, found a new report released by travel market research provider Phocuswright ahead of its “You, Me & the Machine” conference to be held Ft Lauderdale, Florida, during November 13-16.

According to the report, an increasing number of companies from outside the travel industry are entering the online travel company platforms with the aim of driving loyalty, offering customers new experiences and lastly, to generate revenue.

“These companies now really want to get into the travel business – and technology is enabling them to do so. Over the past two years, several have launched travel booking platforms or announced ambitious plans to do so, even though the online travel agency market is already near saturation and uber competitive,” said Lorraine Sileo, senior analyst at Phocuswright.

Photo source: You, me and the machine conference.

The trend, analysts say, will benefit the big brands entering the OTA space, as many “outside” companies will simply be tapping into their various plug-and-play models without needing much tourism and travel experience.

One brand doing this is Citi, which launched Citi Travel in collaboration with Booking.com and Rocket Travel using Agoda’s technology. Citi ThankYou card members can access inventory on the bank’s website or app and have the option to pay for travel with their Citi credit card, ThankYou Points, or with both.

Photo source: Citi Travel.

Another is Personal finance – Capital One, which used Hopper Cloud to power its booking platform for travel rewards customers.

And lastly, JPMorgan Chase co-branded credit card ties with airlines and hotels. Aiming to develop an end-to-end travel solution, the company also acquired travel platform cxLoyalty and travel agency FROSCH.

“The advantages for banks, rewards programs, retailers and other membership organizations to offer additional value with little upfront cost are obvious. And we anticipate more offerings to launch in the coming months and years – particularly as AI advances and opens new possibilities,” said Sileo.

This year’s Phocuswright Conference, titled ‘You, Me & the Machine’, will be held during November 13-16 at The Diplomat Beach Resort in Ft. Lauderdale, Florida, and will center around the massive implications of artificial intelligence for every aspect of travel – including how generative AI is infiltrating the traveler trip, and the early results travel leaders are seeing between AI and the travel journey.