Chase Travel is seeing positive growth in its sales, with numbers on par with Booking Holdings and ahead of Expedia Group. Despite being a newer player in the market, Chase Travel is attracting new customers and gaining market share from its more established competitors. The company reported that “macro travel headwinds” were impacting profit margins, with luxury-oriented travelers showing softness due to slowing discretionary spending.
In terms of gross bookings, Chase Travel saw a 25% increase in 2023, outpacing Booking Holdings at 24% and Expedia Group at 10%. Chase Travel, being essentially a travel startup, is growing at a similar pace to Booking Holdings despite being a fraction of their size. Expedia Group supplies a significant portion of Chase Travel’s hotel supply, so the growth in gross bookings at Chase Travel is beneficial for Expedia Group as well.
At JPMorgan’s investor day a year ago, Chase Travel set a target of $10 billion in sales for 2023, which it achieved, and a target of $15 billion in 2025. While the company did not explicitly reiterate the $15 billion target for its travel business, it may be included in a larger $30 billion target for all of its commerce platforms. Chase Travel also launched a national brand campaign in 2024, opened new airport lounges, and expanded its hotel offerings, including a premium hotel collection called The Edit.
In addition to its growth in sales and bookings, Chase Travel also saw other positive developments in 2023 and 2024. The company reported a 12% increase in bookings in the first quarter of the year, attracted 3.5 million unique customers (a 19% jump), and booked 9 million trips in 2023. Chase Travel also partnered with Southwest Airlines to allow cardholders to book leisure fares with points or cash, a unique offering that sets them apart from other credit card companies and online travel agencies.
Looking ahead, Chase Travel aims to continue growing its market share and attracting new customers in the competitive travel industry. Despite facing challenges from the current economic climate impacting luxury travelers’ spending, Chase Travel is optimistic about its long-term prospects. With a focus on premium trips and unique offerings like the ability to book Southwest Airlines leisure fares with points or cash, Chase Travel is positioning itself as a strong contender in the travel market.
