Mastercard announces the establishment of a Tourism Innovation Center in Spain

Mastercard announced the establishment of a new Center for Tourism Innovation (Tourism Innovation Hub) in Spain, with the support of the Spanish government. The center, which will be based in Madrid and open in the second quarter of 2022, will develop solutions to support a sustainable and inclusive recovery of the global tourism sector through innovation, research and collaboration across the entire ecosystem.

The initiative was ratified at the International Tourism Fair FITUR by Reyes Maroto, Spanish Minister of Industry, Trade and Tourism, and Mark Barnett, President of Mastercard Europe.

In 2019, travel and tourism represented 10,4% of global GDP, but it almost halved in 2020, and a similar situation occurred with international visitors who spent 1.691,5 billion USD in 2019, and the amount fell to 517,6 billion in 2020. According to the latest estimates from the World Tourism Organization (UNWTO), international tourist arrivals remained 70 to 75% below 2019 levels.

The significance of these changes is not only important for GDP, but also for industry, with industry playing a vital role in creating jobs and creating opportunities for micro and small businesses around the world.

The future of tourism lies in new ideas

Despite the clear challenges, Mastercard's data shows that there is potential for a strong recovery in the relatively near future. Many consumers are thinking about how to spend their share of five billion US dollars in total saved since the beginning of the pandemic, and travel is, after eating out, the second most missed activity during lockdown. 

Mastercard is committed to enabling innovation and ensuring that technology is used for a more inclusive, fair and sustainable recovery, he said. Mark Barnett, President of Mastercard Europe, and added: "The Tourism Innovation Center will foster programs and build partnerships that will help the industry recover and drive more inclusive and sustainable tourism growth. Being located in Spain, it will allow us to leverage the expertise of a country that is truly connected to tourism and is the second most visited destination in the world.. "

UNWTO Secretary-General Zurab Pololikashvili he pointed out that the future of tourism will be driven by new ideas, new business methods and joint solutions to overcome challenges and fulfill the enormous potential of our sector. UNWTO welcomes the creation of the new Tourism Innovation Center and looks forward to working closely with Mastercard to harness the power of data and creativity to build a more inclusive and sustainable sector.

The Tourism Innovation Center will act as a global platform for industry research, tourism strategy development, and the creation of tailor-made products and solutions, through partnerships and initiatives such as:

• Thought Leadership: using data insights and collecting characteristics of target consumers to identify trends and inform decision-making
• Development Center: co-creation of new products and services, codification of best practices and serving as a platform for gathering partners from the public and private sectors for the joint introduction of innovations,
• Labs as a Service: Designing, developing and testing new products and platforms that deliver industry-first digital, sustainable and inclusive solutions that address shared business and consumer priorities.

Supporting the global tourism industry

Through its trusted network and leading technology, Mastercard stands at the center of the global travel industry by: 

• Makes payments easier so tourists can spend safely and easily when traveling abroad
• Enables digital payment acceptance for small businesses to enable them to benefit from tourism
• Collaborates with travel agencies, airlines, hospitality providers and many others across the ecosystem
• Builds loyalty through the platform Priceless.com, giving tourists tailored access to the best and most exciting opportunities when exploring or returning to their desired destinations
• Builds partnerships with travel agencies to support businesses in the tourism industry and encourage inbound tourism through digital vouchers and incentive schemes
• Provides data insights to governments and travel agencies to identify trends and inform strategies, including Mastercard Economics Institute Insights Reports

As one of the tools, Mastercard's platform Tourism Insights It analyzes the entire consumer journey, before, during and after the trip, thus enabling users – organizations in the tourism sector – to better understand visitors' plans, interests and preferences, which helps them shape their offerings and direct marketing investments.

This solution helps tourism boards and government agencies at local and national levels to plan their tourism recovery programs, from launching international marketing campaigns to awarding subsidies to citizens to encourage local spending in the tourism sector. This tool is used by, among others, London, Paris, Madrid, New York and the Greek tourist board. 

Uplift.hr –  platform for education and inspiration for domestic small entrepreneurs

To help micro, small and medium-sized entrepreneurs involved in tourism in Croatia, Mastercard has launched a platform Uplift.hr, intended for that sector.

It is a unique project that brings together news, information and educational content intended for small entrepreneurs in one place to facilitate the growth and development of their businesses. In the first, currently ongoing season, the project is largely focused on entrepreneurs in tourism and related industries, as this is the sector of the economy that has been hit hardest by the pandemic, and since it is a long-term platform, the direction itself will be adjusted depending on the needs of the local community.

As part of the Uplift platform, a special educational program has been designed, the Uplift Academy, the only education of its kind in Croatia that bases its program on a modern approach, taking into account current market trends, but also the specificities of the tourism sector. The online program, lasting 20 weeks and a total of 210 hours, is conducted by Algebra, the first generation consists of 40 scholarship holders, started in October 2021, and will last until April this year.