Mastercard has teamed up with Agoda to introduce a flexible travel redemption solution, assisting financial institutions in updating their loyalty programs and enhancing benefits for their customers.

Under the agreement, Agoda’s extensive travel inventory is incorporated into Mastercard’s Global Redemption Suite, providing cardholders with real-time access to diverse travel rewards. As personalization becomes increasingly important in loyalty programs, this collaboration highlights a trend towards ecosystems that offer broader value than traditional rewards, giving clients more choices and flexibility.

Travel Rewards for Loyal Customers

The Skift State of Travel 2025 report indicates that travelers join loyalty schemes primarily for practical advantages such as discounted travel, easy earning and redemption, and premium access. These factors significantly impact booking decisions and increase engagement. Moreover, Arrivia’s 2025 Loyalty Landscape Report reveals that 84% of loyalty programs plan to expand their travel benefits this year, driven by consumers’ growing preference for meaningful, experience-driven rewards.

Through the partnership, banks linked to Mastercard’s rewards network can seamlessly integrate Agoda’s travel redemption solution into their own programs, allowing them to offer a branded experience quickly. Points will be redeemed instantly and applied directly to Agoda’s flight and accommodation inventory. For cardholders, this results in a seamless digital travel experience with personalized rewards suited to various lifestyles.

Agoda contends that many loyalty points go unused because customers see little value or flexibility in the redemption process. To address this, the company has partnered with Mastercard to enable banks to offer immediate and intuitive rewards. With the launch, users can utilize their points on flexible terms, while banks gain a scalable method for modernizing loyalty programs and boosting engagement.

Mastercard’s objective is to reshape the loyalty industry into a highly personalized, digital experience that ensures effortless redemption and provides genuine value at every step. In partnership with Agoda, they share the goal of creating data-driven, easily integrated loyalty programs.