KLST has completed a few feasibility studies and proof-of-concept projects related to using Blockchain technology for payment reconciliation services. Find below a recent case study where KLST was engaged to conduct a feasibility study for a large online travel company (we have changed the name and industry of the client case study to protect its privacy)
Case Study – Online Travel Booking looks at Blockchain to reduce losses associated with online travel booking transaction disputes
Key Client challenge
- An online travel booking for hotels, flights, cars, etc may involve multiple entities as intermediary parties. Usually, many of the parties are unaware of each other within the transaction chain, and some may be direct competitors.
- Car reservations and/or Hotel Rooms may be double booked.
- Suppliers and brokers often reconcile disputes for up to 7 percent of the total invoice amount, which can add up to billions of dollars or more.
- Smart contracts powered by Blockchain create independent transaction records and alerts any company participating in the chain as and when transaction disputes occur.
- If a dispute arises then it will get resolved by service agents within their normal workflow, at or near the time of the original transaction, and most importantly before anybody suffers a loss.
- Significant reduction in disputed transactions and associated out-of-pocket losses.
- Single platform for existing and new suppliers to join without worrying about out-of-pocket losses and focus on business growth.
- Everyone involved in the travel booking transaction chain can benefit from significant ongoing cost savings.