Checkout.com, the global payment service provider, has joined forces with payments giant Mastercard, in a move to make virtual cards available to online travel agents. This partnership with Mastercard will enable Checkout.com customers to pay their suppliers more easily and benefit from higher conversion rates by issuing virtual cards. The collaboration enables customers of Checkout.com to access the Mastercard Wholesale Program, which reduces costs for travel businesses through virtual card technology and an innovative pricing model – ultimately unlocking reduced costs and higher conversion rates.
The partnership supports Online Travel Agencies (OTAs) and other travel sector businesses that use cards to make B2B payments, with the market also forecast to reach $ 1.5 trillion in revenues by 2027.
George Simon, EVP of market development at Mastercard Europe, said: “Mastercard remains committed to powering the travel economy with digital payment solutions that provide greater flexibility, visibility, as well as protection. Over 400,000 travel providers worldwide already rely on us to enable payments through the Mastercard Wholesale Program, and we’re thrilled to be collaborating with Checkout.com to support their customers to embrace the next generation of payment solutions for B2B travel.”
The partnership follows Checkout.com’s launch last year of Issuing in the UK and Europe, enabling brands to issue, process, and manage card programs, and combine with acquiring to fund cards efficiently
Meron Colbeci, chief product officer at Checkout.com, also discussed the partnership: “Together we’ll offer higher payment performance to travel merchants by combining the Mastercard Wholesale Program with our single integration connecting acquired sales to issued cards, which unifies acquiring and issuing, for better cash flow management.”
By combining acquiring and issuing, Checkout.com helps Online Travel Agents easily move from receiving customer payments to paying suppliers. Traditionally, Online Travel Agents had to manage these two sides of their business separately, which could lead to inefficiencies, as well as increased potential for error. Checkout.com’s integrated solution ensures a seamless flow from customer payment acquisition to supplier payouts, turning what used to be a cumbersome process into a cohesive, streamlined operation.