Travel agencies and suppliers can easily track and reconcile payments, while benefiting from other virtual card benefits such as flexible pricing, financing options and card payment guarantees
The partnership will remove payment friction for travel partners. (Credit: Mastercard)
Mastercard announced it is strengthening its ongoing partnership with Booking.com, the world’s leading digital travel platform, to streamline B2B payment processes in the travel and tourism industry.
This enhanced partnership with Booking.com focuses specifically on accelerating the utilization of Mastercard Virtual Cards, aiming to simplify B2B payments and bring more flexibility, security, and convenience to the overall travel partner experience. Recognizing the inherent time lag and friction in B2B payments within the travel industry, often relying on time-consuming and manual processes, the use of Virtual Cards will not only help increase visibility for transactions between travel partners and their suppliers through an automated reconciliation, but also streamline business payments and introduce improved security. Virtual card technology has 30x lower fraud risk compared to traditional payment cards1.
Virtual cards provide a unique, traceable link between booking and associated payments to third-party suppliers. Travel agencies and suppliers can easily track and reconcile payments, while benefiting from other virtual card benefits such as flexible pricing, financing options and card payment guarantees. The result is a more streamlined and secure payment experience for travel agencies and their customers, as well as travel suppliers.
Additionally, this partnership will also extend beyond payments, offering value-added resources and services to deliver payment innovation and an enhanced digital experience to Booking.com’s travelers and travel partners. In the course of this transformative journey, key initiatives include:
Supporting Booking.com in the acceleration of its ‘Pay by Booking’ model to enhance travel partners’ payout experience by removing financial friction from travel payments and making them efficient and secure. Travel partners can easily track and reconcile payments, while benefiting from other virtual card benefits such as flexible pricing, financing options and card payment guarantees.
Driving new value-added financial services for travel partners such as leveraging card rails and new rails to deliver frictionless payments and providing data insights to support partners’ business strategy and deliver to the evolving needs of travelers.
Support the expansion of Booking.com’s marketplace by investing in innovation to address the needs of existing and new travel verticals (such as air, car rental, experiences etc.), and ultimately have a greater control over the consumer’s experience
“We are thrilled to embark on a stronger partnership with Booking.com to simplify the process of buying and selling travel-related products and services. This partnership confirms our commitment to advancing existing solutions that contribute to the seamless functioning of the travel ecosystem throughout Europe,” said Mark Barnett, President Mastercard Europe.
Source: Company Press Release