{"id":301881,"date":"2021-07-18T02:25:00","date_gmt":"2021-07-17T23:25:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/why-online-travel-giant-booking-is-getting-into-the-fintech-game\/"},"modified":"2021-07-18T02:25:00","modified_gmt":"2021-07-17T23:25:00","slug":"why-online-travel-giant-booking-is-getting-into-the-fintech-game","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/why-online-travel-giant-booking-is-getting-into-the-fintech-game\/","title":{"rendered":"#: Why online-travel giant Booking is getting into the fintech game"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3dbda4318ef\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3dbda4318ef\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/why-online-travel-giant-booking-is-getting-into-the-fintech-game\/#Company_is_targeting_400_employees_for_new_fintech_unit_with_goal_of_simplifying_international_travel_purchases%E2%80%94and_growing_revenue_opportunities_in_the_process\" >Company is targeting 400+ employees for new fintech unit with goal of simplifying international travel purchases\u2014and growing revenue opportunities in the process<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/why-online-travel-giant-booking-is-getting-into-the-fintech-game\/#Emily_Bary\" >Emily Bary<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong>#: Why online-<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/trip-and-travel\/\" data-internallinksmanager029f6b8e52c=\"10\" title=\"Trip &amp; Travel\" target=\"_blank\" rel=\"noopener\">travel<\/a> giant Booking is getting into the fintech <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/game\/\" data-internallinksmanager029f6b8e52c=\"7\" title=\"Game\" target=\"_blank\" rel=\"noopener\">game<\/a><\/strong>&#8221;<\/p>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Company_is_targeting_400_employees_for_new_fintech_unit_with_goal_of_simplifying_international_travel_purchases%E2%80%94and_growing_revenue_opportunities_in_the_process\"><\/span>\n  Company is targeting 400+ employees for new fintech unit with goal of simplifying international travel purchases\u2014and growing revenue opportunities in the process<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div class=\"article__side\">\n<div class=\"container--sticky not-active\">\n<div id=\"cx-next\" data-nosnippet>\n              <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000333708\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div data-layout=\"\n                inline\" data-layout-mobile=\"\" class=\"\n          media-object\n          type-InsetArticleReader\n              \n              inline\n  article__inset\n          article__inset--type-InsetArticleReader\n              article__inset--inline\n  \"><\/p>\n<div class=\"media-object-article-reader\">\n<div class=\"audioplayer\" data-sbid=\"WP-MKTW-0000333708\" role=\"region\" aria-label=\"Listen to Article\" tabindex=\"-1\" id=\"articlereader\" data-show-title=\"false\" data-theme=\"wsj-article-reader\" data-show-header=\"false\" data-show-subscribe=\"false\" data-ads-enabled=\"true\" data-save-publication=\"false\">\n        <\/div>\n<\/p><\/div>\n<\/p><\/div>\n<p>       Add Booking Holdings Inc. to the list of e-commerce companies betting that a tighter control over the payments process will create a better experience for consumers\u2014and a new revenue stream. <\/p>\n<p> The online-travel company announced earlier this month that it was launching a financial <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> unit that would aim to simplify some of the monetary hurdles of international travel, from booking a room at a hotel where there\u2019s a different local currency to making a purchase commitment for a trip that won\u2019t take place for a few months. <\/p>\n<div class=\"paywall\">\n       Fintech represents \u201cthe last great mountain\u201d for Booking<br \/>\n        BKNG,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/203576210\/composite\" class=\"negative\">-1.14%<\/bg-quote><br \/>\n       to conquer as it aims to cut the \u201cfriction\u201d out of booking overseas trips, said Daniel Marovitz, a senior vice president who will be leading the new group at the company, which houses brands like Booking.com, Kayak, and Priceline. <\/p>\n<p>After initially operating in an \u201cagency\u201d model in which hotels would take the payments for rooms booked by customers, Booking has spent the past few years trying to get involved in the payment flow itself. Last year, 22% of bookings went through the company\u2019s own payments platform, compared with less than 4% in 2017, and Marovitz expects continued growth going forward. <\/p>\n<p>Chief Financial Officer David Goulden said at a March investor conference that Booking\u2019s payments platform was \u201cno longer a drag on profitability\u201d and helped the company in its efforts to connect more elements of particular trip so that consumers could pay one provider for different parts of their travel. <\/p>\n<p>Booking already offers a way for its supply partners, like hotels, to expand the payment options they offer to consumers. A hotel in Kansas may not want to go through the work of setting up Alipay acceptance on its own to better cater to Chinese travelers, for example, but Booking has done work on the back end to enable its suppliers to offer such local-wallet payment options without its partners having to manage them all individually. U.S.-based suppliers still ultimately receive their payments in U.S. dollars. <\/p>\n<p>The company sees revenue opportunities in enhancing the payment experience through a variety of options for suppliers. \u201cWe want to make the pricing incredibly competitive because we\u2019re doing it at great scale,\u201d Marovitz said<\/p>\n<p>Booking\u2019s \u201cgoal over time is to offer a diverse menu of services in the fintech space,\u201d  he told MarketWatch. The company would explicitly charge for some of these services, and suppliers would get flexibility over which \u201csuite\u201d of offerings best meets their needs.   <\/p>\n<p>Future areas of exploration for the fintech group include buy-now pay-later options and foreign-exchange benefits. Booking is running a \u201cpretty small-scale\u201d pilot with buy-now pay-later functions that let people spread out payments through installments.<\/p>\n<p><strong>The buy now, pay later wave: Klarna, Affirm and rivals hope to take U.S. by storm<\/strong><\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>Marovitz said that while the company has built out a lot of its own fintech infrastructure in its <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/general\/\" data-internallinksmanager029f6b8e52c=\"3\" title=\"General\" target=\"_blank\" rel=\"noopener\">general<\/a> efforts to involve itself more in the payments process, it\u2019s also open to partnerships that can help the company take on functions more efficiently. <\/p>\n<p>In terms of foreign-exchange, Marovitz is intrigued by ways that Booking can serve travelers from emerging markets with volatile local currencies. When people travel, they may make commitments to pay for trips that won\u2019t take place for several months and they\u2019re usually buying the trips in the currency of the hotel. \u201cFour months from today, the trip could be 25% more expensive\u201d for someone coming from an area with a volatile currency, Marovitz explained. <\/p>\n<p>Fintech is a hot area for e-commerce companies, and Booking isn\u2019t the only online-shopping player seeking a deeper involvement in the world of payments. EBay Inc.<br \/>\n        EBAY,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/204653455\/composite\" class=\"positive\">+0.06%<\/bg-quote><br \/>\n       is several years into its managed-payments initiative, which also seeks to provide more local-wallet options that the company says create a better shopping experience for international buyers. Shopify Inc.<br \/>\n        SHOP,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/209033712\/composite\" class=\"positive\">+0.08%<\/bg-quote><span>,<\/span><br \/>\n       which helps businesses build online shops, has also made big bets on payments and recently launched an installment-pay offering in partnership with Affirm Holdings Inc.<br \/>\n        AFRM,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/223715966\/composite\" class=\"positive\">+0.09%<\/bg-quote>\n       <\/p>\n<p>Booking argues that its intersection with payments is among the most complex in the world of online selling because of the global nature of travel. \u201cEven big global e-commerce brands tend to be quite local,\u201d Marovitz said, giving the example of Amazon.com Inc.<br \/>\n        AMZN,<br \/>\n        <bg-quote field=\"percentchange\" format=\"0,000.00%\" channel=\"\/zigman2\/quotes\/210331248\/composite\" class=\"negative\">-1.59%<\/bg-quote><span>,<\/span><br \/>\n       which runs a U.S. site that sells goods in U.S. dollars primarily from U.S. merchants or overseas merchants that present themselves as U.S. merchants. Booking offers products in 210 countries and territories and \u201cevery possible currency pair you could imagine shows up in our business,\u201d he continued.<\/p>\n<p>The company has set out to have more than 400 employees in the fintech unit by the end of the year. While Marovitz didn\u2019t give a specific count for the total number of employees currently working on such efforts, he said that the team was \u201cgrowing into\u201d the 400-plus target with an engineering-heavy focus and strong demand for designers, copywriters, and engineers. <\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>      <span>By<\/span><\/p>\n<div class=\"author  hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Emily Bary\",\"subhead\":\"The Wall Street Journal\",\"list\":[]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Emily_Bary\"><\/span><a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/marketwatch.com\/author\/emily-bary?mod=MW_author_byline\">Emily Bary<\/a><span class=\"ez-toc-section-end\"><\/span><\/h4>\n<\/p><\/div>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B20C05575-04D4-B545-7517-8C3471FA3B38%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;#: Why online-travel giant Booking is getting into the fintech game&#8221; Company is targeting 400+ employees for new fintech unit with goal of simplifying international travel purchases\u2014and growing revenue opportunities in the process Add Booking Holdings Inc. to the list of e-commerce companies betting that a tighter control over the payments process will create a&#8230;<\/p>\n","protected":false},"author":1,"featured_media":301882,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-301881","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/301881","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=301881"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/301881\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/301882"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=301881"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=301881"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=301881"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}