Technology-first travel management company TripActions today announced $275 million in Series F growth funding led by Greenoaks with participation from investor Elad Gil, Base Partners and “all key existing financial investors,” according to the company. The new funding follows $155 million TripActions raised in January, which company executives characterized as a signal that the managed travel industry was on the verge of recovery.
TripActions, for one, has realized that recovery, according to co-founder and CEO Ariel Cohen, with booking volume exceeding pre-Covid levels. He said the company is experiencing “massive growth” as the pandemic pushed corporates to “recognize the imperative for consumer-grade tech tools and efficiency that comes from real-time, contextual data” of a single unified travel and expense solution.
The company claims to have more than doubled its aggregate travel budget under management during the period of Feb. 1, 2020, to July 31, 2021. TripActions added expense management to its Liquid product in October 2020 and now says it has grown that business by a multiplier of 14, from what was presumably a small start.
That said, TripActions boasts some large customers. Recent enterprise wins have included Heineken, Crate & Barrel, data warehousing company Snowflake and U.K.-based retailer Primark. The company claims that 68 percent of its “end-to-end” customers—which include both travel and expense products—have migrated from legacy T&E systems. The company brought in a large cohort of customers with its acquisition of U.K.-headquartered Reed & Mackay, which generated £588 million in U.K. sales in 2019. TripActions said Europe-based clients now represent more than 30 percent of the company’s spend under management.
TripActions said it would continue to invest in technology features for its core travel product as the industry changes to incorporate the future of work and focus more intently on traveler health, duty of care and sustainability. The company will also pour funds into support, product and sales teams, and plans to add 150 headcount in the U.K., Israel and across Europe during this fiscal year.
The company will also scale its personal travel booking offering, Lemonade, which has grown by a multiplier of 10 this year, according to the company, as lines blur between corporate and leisure trips.
Founder and managing partner of Greenoaks Neil Mehta in a statement put it this way:
“A sea change is underway in the corporate travel and spend industries as companies look for powerful and streamlined travel solutions in the post-pandemic economy.”