Traveloka, Bank BRI launch credit card targeting Indonesia’s underbanked

(From Left to Right) Visa Regional CFO APAC Andrew Tan, Traveloka Group of Operations President Henry Hendrawan, Bank Rakyat Indonesia Consumer Director Handayani, Ministry of Tourism Indonesia Priyantono Rudito, and Ambassador of the Republic of Indonesia to Singapore H.E. I Gede Ngurah Swajaya gather for the launch of the PayLater Card.

Traveloka, an Indonesia-based travel and lifestyle platform, is launching a credit card with Bank BRI aimed at bringing Indonesia’s underbanked online. Bank BRI is one of Indonesia’s largest banks.

The PayLater Card is one of several initiatives under Traveloka’s financial services arm – a growing division alongside its transportation, accommodation and lifestyle verticals. The Expedia-backed company is one of Indonesia’s most closely-watched unicorns, clinching investments from top-notch investors like JD.com, Sequoia Capital and Hillhouse Capital.

Speaking at a conference in Singapore, Traveloka Group of Operations President Henry Hendrawan said that the company wants to solve the “pain points” of Indonesians – one of which is the lack of credit access.

“Currently many Indonesian consumers are forced to book their flights and hotels last minute due to the lack of credit access typically provided via credit cards. Many of these users end up paying higher last-minute prices or sometimes are unable to find the airline seat or hotel rooms they want,” said Hendrawan.

The PayLater card hopes to bring some of Indonesia’s underbanked online by offering exclusive Traveloka deals across travel, lifestyle and even insurance products to its users. Both online and offline transactions will be supported under Visa’s global network, and may also be managed through Traveloka’s mobile app. The partnership aims to issue 5 million PayLater Cards by 2025.

Indonesia remains highly underbanked as a country.

Hendrawan noted that out of its 270 million people, only 17 million have credit cards, suggesting significant room for growth when it comes to credit access and financial inclusion. Assessing creditworthiness also remains a challenge for traditional banks like Bank BRI due to the lack of credit and personal data.

Traveloka, however, sees itself as being able to plug this gap with the consumer data accumulated over the years of hotel, flight and event booking transactions on its platform.

Hendrawan explained at our Asia PE-VC Summit 2019 that Traveloka’s users are less likely to fudge their personal information on the platform since they rely on it heavily for travel planning and transaction purposes. The reliability of its data thus makes it a highly valuable asset for the company.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.