This week's Update again features a number of stories on fintech and its emerging influence on the travel and lodging industries. Enjoy.
Hopper Continues Its
Meteoric Rise
("Hopper Notches First Fintech Deal With an Online Travel
Agency," October 14, 2021 via Skift Travel News) (subscription
may be required)
Last week, Hopper (online travel app (B2C) and growing provider of
AI-enabled fintech products (B2B) announced its first partnership
with a rival online travel agency, India's MakeMyTrip. When
implemented, the partnership will allow MakeMyTrip to make use of
Hopper's predictive tools to better price its existing fare
lock functionality. Should a fare ultimately exceed a
traveler's locked fare, MakeMyTrip (and not Hopper) will bear
the financial risk. According to Hopper, 70 percent of its revenue
now comes through these types of ancillary products and services
(and not from its travel application). This latest deal comes only
a few months after Hopper's announced deal to provide its predictive
and financial products to global distribution system, Amadeus.
Accor Moves Group Bookings
Online
("Accor to Offer Groups360 Instant Meeting-Booking
Solution," October 12, 2021 via Business Travel
News)
Last week, Accor announced that it was replacing its current group
booking RFP website with Group360's Groupsync platform. As part
of its announcement, Accor also announced that beginning in 2022
the majority of its global portfolio (5,200 properties) would have
the ability to offer groups the opportunity to book rooms, meeting
and event space, food and beverage and other ancillary services
entirely online via Group360's GroupSync Engage product.
Capital One Grows Its Travel
Portfolio
("Lola Exits Travel With Acquisition by Capital One,"
October 8, 2021 via Skift) (subscription may be
required)
Weeks ago we featured a story detailing the demise of corporate
booking and expense management app, Lola. At the time, Lola
Co-Founders, Paul English and Mike Volpe, touted the app's next
phase, but provided little detail. Last week, with news that
Capital One was acquiring most of Lola's software, and that
approximately 50 of Lola's employees, including English and
Volpe, were relocating to Capital One's Virginia-based offices,
the next phase became a little clearer. This latest announced
purchase is only one of many travel-related announcements from
Capital One. In August of last year, Capital One acquired B2B
travel startup Freebird (whose predictive technologies allow agents
to better price and sell travel insurance and re-booking services)
and then in August of this year, Capital One led a $170 investment
round for Hopper (yes, the same Hopper), which now powers Capital
One's cardholder booking platform. Where is all this activity
leading? Anyone familiar with American Express?
Other news:
Where's the Fintech for Hoteliers and
Vacation Rental Managers?
October 14, 2021 via Skift Travel News (subscription may be
required)
The consumer side of travel has recently seen a lot of change in
financial technology, or "fintech." Adam Harris, the CEO
of travel startup Cloudbeds, is wise to ask why there isn't
more fintech for the operational side of travel.
What the Travel and Hospitality
Industry Can Learn From the Digital Retail Boom
October 13, 2021 via Skift Travel News (subscription may be
required)
The online retail explosion of the past year highlights just how
crucial digital, streamlined solutions are to hospitality and
travel businesses, as they strive to stay ahead in a rapidly
transforming landscape.
TripActions Raises $275 Million at $7.25
Billion Valuation
October 13, 2021 via Phocus Wire
In less than a year, TripActions has secured a second massive
funding round – this time $275 million in Series F growth
funding. The round was led by Greenoaks Capital with participation
from prior investors Elad Gil, Base Partners, and all key existing
financial investors, and values TripActions at $7.25 billion on a
post-money basis.
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