Ramp, a leading expense management company with a valuation of $7.65 billion, has made a strategic move by partnering with Booking Holdings’ Priceline to enter the business travel sector. This new venture, known as Ramp Travel, leverages AI and automation to simplify the process of booking and managing expenses for corporate travel. With Priceline providing Ramp users access to airlines, hotels, and other travel services, this collaboration aims to revolutionize the way businesses handle their travel needs.
According to Ramp CEO Eric Glyman, there has been a significant increase in businesses using Ramp’s platform for travel expenses. In fact, travel-related spending now accounts for 20% of annual card spend on the platform, a notable rise from the 10% reported in 2021. This surge in demand for travel management services prompted Ramp to partner with Priceline and introduce the Ramp Travel feature. Glyman emphasized the importance of consolidating travel expenses with overall spending to provide a seamless experience for users.
Redefining Expense Management
Ramp, a two-time CNBC Disruptor 50 company, distinguishes itself from other expense management vendors by not only tracking spending but also focusing on cost-saving strategies. The platform helps businesses identify duplicated expenses and optimize savings through contract negotiations. With the extension into travel management, Ramp aims to disrupt the traditional corporate travel model characterized by high fees and limited supplier options. Priceline CEO Brett Keller echoed the sentiment, highlighting the need for broader inventory and competitive pricing in the modern travel landscape.
Expanding Service Offerings
In addition to Ramp Travel, the company has introduced new features like Ramp Intelligence and Ramp Plus to enhance its value proposition. Ramp Intelligence provides actionable insights for finance teams and recommends cost-saving measures, while Ramp Plus offers premium services tailored for enterprise clients such as Shopify. These strategic expansions align with Ramp’s mission to cater to a diverse range of businesses and position itself as a leader in the spend management industry.
The expense management sector is becoming increasingly competitive, with rising players like Brex, Navan, Expensify, and others vying for market share alongside established providers like SAP’s Concur. By diversifying its offerings and venturing into business travel, Ramp aims to accelerate its client acquisition and retention. Despite most Ramp customers not raising venture capital, the platform has witnessed a substantial growth in the size and scale of companies utilizing its services. Glyman emphasized that the expansion into travel and other new features would not only strengthen Ramp’s existing client relationships but also attract new clients seeking innovative solutions.
The partnership between Ramp and Priceline represents a significant step towards reshaping the business travel landscape. By leveraging technology, automation, and strategic insights, these two industry disruptors are poised to deliver a seamless and cost-effective travel experience for businesses of all sizes. With a focus on innovation and customer-centric solutions, Ramp continues to solidify its position as a trailblazer in the realm of expense management and corporate travel.
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