Diners secures wider Government travel contract
A revival of sorts is underway for the Diners Club business in Australia. One key contract win is the choice by the Australian Government of the Citibank-owned Diners as the exclusive supplier of travel cards.As part of new Commonwealth procurement rules, which came into effect on Sunday, the Government is moving to a single travel service, with the aim of making official travel arrangements simpler and more efficient.Under the scheme, travel agent AOT Group will handle accommodation bookings, Thrifty and Europcar Australia will be the rental car providers and Diners will be the sole provider of travel cards.Head of cards at Citibank, Julian Potter, said Diners was already doing business with a number of government agencies. He did not say how many cards would be issued under the new contract or what the likely spend would be.Diners will be supplying a charge card (not a prepaid card).In May Citibank launched a companion card arrangement, offering Diners Club members a Citibank-issued MasterCard on the same account.Similar to the companion card arrangements between Amex and the major banks, the Diners deal offers the high points of a Diners card and the wider acceptance of a MasterCard.Potter said: "The dual card program is going really well. Our Diners customers were asking for more utility."Citibank has bought 25 per cent of Diners Club in 1982 and the remaining 75 per cent in 1999. Potter said that since moving the Diners business off an old legacy platform a couple of years ago, Citibank has been able to develop the business.