Mastercard and Expedia Launch Loyalty Points Redemption Solution

Mastercard and Expedia Group have partnered to launch a new loyalty points redemption solution.

With the new Travel with Rewards program, Mastercard cardholders can redeem their points for travel bookings powered by Expedia, the companies said in a Tuesday (May 9) press release.

The solution is available to issuers in North America now and will be expanded to other markets soon, according to the press release.

“Our companies are uniquely positioned to deliver a more effective point redemption experience that’s easy to activate for issuers and allows cardholders to transform points they’ve already earned from everyday spending into the ultimate reward: their next adventure,” Mastercard Executive Vice President of Global Loyalty Stephanie Meltzer-Paul said in the release.

PYMNTS research has found that whether they’re paying with a traditional credit card, stored payment credentials or cash, consumers love points and rewards.

For example, when it comes to online bank transfers, 38% of consumers who rewards offerings would sway said they would be very or extremely likely to use the payment method for both online purchases and recurring bills if offered rewards, according to “New Payment Options: Building Stronger Customer Ties with Pay by Bank Transfer,” a PYMNTS and Nuvei collaboration.

In addition, Mastercard’s earnings show that U.S. consumers continue to embrace credit cards for everyday spending.

As PYMNTS reported on April 27, the payment network saw its gross dollar volumes increase by 15%.

Cardholders using the new Travel with Rewards program can go to a participating issuer’s website, see the points-to-dollars conversion, and book the travel using their choice of points, Mastercard credit card or a combination of the two, according to the press release.

The cardholders will also have access to Expedia Group’s customer service, including both live agents and self-service tools, as they arrange to access the properties, airlines, car rental companies and activities available through Expedia, the release said.

“Our template technology will power Mastercard’s global network of issuers, giving their customers access to a broad choice of hotels, flights, car rentals and activities, all backed by our deep customer service expertise,” Ariane Gorin, president of Expedia for Business at Expedia Group, said in the release. “This partnership will also bring more valuable travel demand to our global supply partners.”