Are banks the new travel agents?

With cus­tomers in­creas­ingly book­ing travel prod­ucts on­line, ma­jor banks across In­dia are tap­ping on the op­por­tu­nity by ty­ing up with ma­jor travel ser­vice providers, such as, OTAS, ho­tels, air­lines.

TravTalk - India - - News -

Even travel in­sur­ance is be­com­ing one of the key prod­ucts booked on­line by cus­tomers. In a bid to tap this

Credit/debit card hold­ers from met­ros and mini metro cities are now book­ing travel and life­style prod­ucts on­line more fre­quently

grow­ing seg­ment of travel prod­uct buy­ers, In­dia’s sec­ond largest pri­vate sec­tor bank – HDFC Bank is now ag­gres­sively work­ing on var- ious busi­ness strate­gies. To start with, the bank has tied up with mul­ti­ple OTAs and ho­tels to pro­vide cash-back, dis­counts and ben­e­fits for HDFC credit/debit card hold­ers. Fur­ther­more, the re­cently launched HDFC Bank Din­ers Club In­ter­na­tional Credit Card for pre­mium cus­tomers is fo­cussed on travel and life­style prod­ucts.

Talk­ing ex­clu­sively to Travtalk, Parag Rao, Se­nior Ex­ec­u­tive VP – Busi­ness Head – Credit Cards and Mer­chant Ac­quir­ing Ser­vices, HDFC Bank said, “The credit/ debit card hold­ers from metro and mini metro cities are now book­ing travel and life­style prod­ucts on­line more fre­quently while the small city cus­tomers are still skep­ti­cal about the on­line card us­age. Slowly the trend is chang­ing as banks are com­ing up with more se­cured on­line pay­ment so­lu­tions. In­ter­est­ingly, book­ing for travel prod­ucts is in­creas­ing on­line, es­pe­cially do­mes­tic air tick­ets. To give out the fig­ures, close to 20 per cent of our to­tal on­line transactions (amount­ing ` 50,000 crore) con­sists of travel prod­ucts. Through unique tie- ups with air­lines and ho­tels, we work out a so­lu­tion where all the par­tic­i­pat­ing par­ties (ser­vice provider, bank and cus­tomer) ben­e­fits out of the deal.”

Parag Rao

Se­nior Ex­ec­u­tive VP – Busi­ness Head – Credit Cards and Mer­chant Ac­quir­ing Ser­vices, HDFC Bank

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