Payments in the travel industry, much like everything else, will have to evolve with the demands of the new generation of travelers or risk being out out to pasture. Today’s new breed of travelers are becoming overwhelmingly overtaken by Millennials (yes, that word again).
No matter how tired you are of hearing about them, the fact is that Millennial travelers want their travel and payments to be as flexible and adaptable as their lifestyles. When making payment for their travel plans, whether for business or for pleasure, it is imperative that the methods of paying for airline or rail tickets must be convenient, fast and easy.
Payment service providers are beginning to recognize the importance of providing a flexible and reliable payment method in order to stay in the game. With the rise of Fintech startups, travelers now have access to many forms of payments like mobile payments for travel tickets, online ticket purchase etc.
Many incumbent payment providers are making efforts to update their services. For example, Uplift and UATP recently partnered up to allow installment payments in the travel industry.
Recent trends show that personalized services and affordable pricing are the key to success in this industry. Read more here: The Changing Face of Travel: A Payments Perspective
Mobile payments when traveling can be very useful because you don’t have to rely on slow payment methods when you need money immediately. The travel industry spends $75 billion annually on payments but has still been extremely reluctant to tap into developing its own payments system.
The PYMNTS-Amadeus research found that only 15 percent of all travel companies have attempted new payment innovations over the last three years, let alone succeeded. PAymnts
Countries like Finland are already offering Chinese tourists the promise of a totally cashless experience by incorporating AliPay into their shopping outlets. With more and more options for digital payments being available worldwide, the travel industry will have to do more to offer mobile payments and other easy options for travelling individuals.
Read more here: Room for trendy, foolproof travel payment systems as consumer payments landscape evolves.