Southeast Asia's No.1 Travel App Launches Credit Card with Visa and BRI
The startup backed by Expedia Group Inc. and JD.com Inc. issued a credit card with Indonesia’s PT Bank Rakyat Indonesia Persero (BRI) Tbk linked to its booking services. According to Tribunnews.com, Traveloka and BRI launch the credit card in Indonesian Embassy Singapore on Thursday (26/9/19) with Indonesian Ambassador to Singapore I Gede Ngurah Swajaya and Chief Financial Officer Visa Asia Pacific Andrew Tan were present at the launch.
The no.1 travel app in Southeast Asia according to Bloomberg is targeting many users across the Indonesian archipelago who have little or no access to traditional banking or reliable internet.
Apart from being able to pay for all Traveloka products and services, customers can also use PayLater Card for online and offline transactions at more than 53 million merchants worldwide that accept payments by Visa, according to a statement by the firms as reported by Tech in Asia.
Founded by three engineers in 2012, Traveloka -- said to be valued at around $2 billion in 2017 -- has expanded across Southeast Asia by making it easier for consumers to book flights and hotels within the region.
It’s raised at least $500 million from investors including Hillhouse Capital and Sequoia. Henry Hendrawan, president of Traveloka operations, said the card was one facet of building a fintech business to complement its travel, accommodation and lifestyle services.
“As a bank with the largest network and established digital platform support, this collaboration is expected to give added value to alternate payment to people,” said Director of Consumer Bank BRI to Tribunnews.com.
“In anything we do in financial services, we will always look to go with strong partners,” said Henry Hendrawan, president of Traveloka operation ssaid in an interview with Bloomberg, adding that he expects to unveil more products and partners in the near future. “This is a perfect example.”
According to Hendrawan, Traveloka and Bank BRI would process application and verification to prospective costumers together so the process could be done in less than an hour to one day.
“It can be done in Traveloka app and the process will be the fastest in Indonesia,” said Hendrawan as quoted by Detikcom.
With a population of more than 620 million and growing middle class, Southeast Asia is expected to see its online travel market almost triple from about $30 billion in 2018 to $78 billion in 2025, according to Google and Temasek Holdings Pte. By 2025, 57% of bookings will be made online, up from 34% in 2015.
Traveloka operates in Indonesia, Malaysia, the Philippines, Thailand, Singapore and Vietnam. Customers will be able to use its card in Indonesia and around the world for both online and offline transactions via Visa Inc.’s network.