As banks continue to expand their influence in travel, the industry is undergoing a major transformation – one that could challenge the dominance of OTAs
Mar 4, 2025
Skift Research’s latest report explores how banks and credit card companies are disrupting the travel industry by launching their own booking platforms. As loyalty programs lose their appeal, financial institutions are seizing the opportunity to grab market share, moving from co-branded partnerships to direct competition with traditional online travel agencies. Here are three key takeaways from the report:
Key takeaways
Banks and credit cards are entering the travel market independently
- Traditional travel loyalty programs are losing effectiveness as consumers prioritize discounts and perks over brand loyalty;
- Banks and credit card companies are launching their own travel booking platforms, becoming direct players in the industry rather than simply supporting co-branded travel rewards;
- JP Morgan Chase, for example, saw an opportunity to control its own travel offerings and launched Chase Travel as a direct booking platform.
Banks are rapidly gaining market share
- Chase Travel grew from $8 billion in gross bookings in 2022 to $10 billion in 2023, with projections of $15 billion in 2024;
- The addressable spend for travel on Chase cards is approximately $140 billion, and Chase Travel has already captured 7% of that market in 2023, with a goal of 11% in 2024;
- If trends continue, Chase Travel could become the third largest online leisure travel agency in the U.S., behind Booking Holdings and Expedia.
B2B partnerships fuel growth but reshape competition
- Online travel agencies (OTAs) such as Expedia, Booking and Hopper are adopting a business-to-business (B2B) model, providing travel inventory to banks and credit card platforms;
- While this strategy expands their customer reach and revenue, it also strengthens financial institutions as direct competitors in the online travel market;
- Customer satisfaction with bank-led travel booking platforms is particularly high among Gen Z and Millennials, accelerating the shift away from traditional OTAs.
Get the full story at Skift and purchase the report at Skift Research
