Alternative online payment: it doesn’t need to be complicated.
The rise in electronic payments –growing 50% in the travel industry from 2013-2015 – shows that consumers are embracing different ways to pay for goods and services online; retailers and providers can no longer just offer credit and debit cards as a means of payment.
It is estimated that alternative payments will account for 59% of all online transactions in 2017, up from 43% in 2012.
As the payment market is quite complex and fragmented – with more than 300 alternative payment schemes in operation around the world – it’s always easy to identify which ones are best to offer, depending on where travellers are located, what services they are being sold and in which markets.
Getting the right strategy is essential to maximise acceptance and expand global reach.
Although online payments are a must in today’s world, there are some challenges. Reducing the impact of fraud to acceptable levels is key and is at the forefront of everyone’s mind (revenue loss can reach up to 2% of gross sales - a significant portion*). Other challenges include: optimising financial fees and operational costs; growing internationally which is complex and expensive due to multiple platforms; increasing sales conversion through offering alternative methods of payment and increasing card acceptance rates; offering multi-channel consistency accessible through different points of sale with uncompromised levels of security; travel industry-specific standards with integration into the travel selling flow and changing payment regulations (SEPA), to name but a few.
One link to a world of payments.
At Amadeus, we’re working to integrate both the travel and payment worlds to make payment in the industry easier. The Amadeus Payment Platform is a unified platform that can be accessed from any point of sale (online, face-to-face and call-centre sales channels) and reaches various payment providers all from one single connection. It also complies with the high security standards (PCI DSS) payment needed and is tailored to address your own specific challenges.