Chase will launch a consumer travel portal; Claims top 5 US tour operators with $8 billion in sales

Skift take

Chase is doubling down on travel as an up-and-coming commercial category for its customers, and the gargantuan numbers confirm its ambition. Expect some more M&A trips from these banks.

Rafat Ali

Chase plans to launch later this year as a consumer portal for its cardholders and bank customers, a total of 66 million US households, a big upgrade to its travel sector ambitions.

He also reveals details about the size of his travel business for the first time: sales are expected to reach about $8 billion this year and $15 billion by 2025.. It also states that in terms of US holiday travel, $1 out of every $4 spent is for a Chase card, and $1 out of every $3 spent is for a Chase customer. He also revealed that he has now identified and plans to launch eight Chase Sapphire airport lounges, up from the previously reported four.

All of these details were revealed at parent company JP Morgan Chase’s 2022 Annual Investor Meeting a day earlier in May, hidden in hundreds of slide presentations, and presented by Marianne Lake, co-CEO of Consumer and Community Banking at JPMC on Investor Day.

According to Lake: “During the pandemic, we saw an opportunity to control our travel destiny and we acquired cxLoyalty, a proprietary two-way travel platform, and Frosch, which is a top 10 travel agency in its own right. providing us now with a booking engine, content, superior service and concierge capabilities what our customers should expect. And today, we estimate that we are one of the top 5 travel providers in the United States. “

The move to expand its travel ambitions and take control of its destiny—versus banks and credit card companies that typically work with third-party travel agencies—was the result of the pandemic acquisition of a loyalty and rewards provider in travel by cxLoyalty; and corporate and luxury travel agency Frosch. Chase has already transitioned its cardholders who use its Ultimate Rewards platform to the cxLoyalty platform and has moved away from Expedia as its sole travel provider as a result.

It’s also because financial rival Capital One has also been active in travel during the pandemic, acquiring companies like Freebird, Lola and investing in Hopper, and recently relaunching its Hopper-powered travel site. Another competitor, US Bancorp, bought Will Smith-backed travel platform TravelBank last November for $200 million.

From JPMC’s investor day presentation, these three slides below show the state of its current travel business, as well as expansion plans.

From the transcript of the presentation, the description presented on the day of the investor should be extracted in full:

“Travel has been the focus of our Ultimate Rewards program for over a decade and remains the most compelling lifestyle category for many of our clients. And we partner…

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