# Contactless Technology: A Revolution in Travel
Author:  Pal Sinha, Barnali 
Author URL: https://financedigest.com/author/pal-sinha-barnali
Published: 2022-12-21
Category: TECHNOLOGY
Category URL: https://financedigest.com/category/technology
Meta Title: Building a Resilient Travel Sector: Innovative Payment
Meta Description: Discover how cutting-edge technology is transforming the travel sector's payment processes, enhancing security, convenience, and customer satisfaction.
URL: https://financedigest.com/contactless-technology-a-revolution-in-travelhtml

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![Craig Brightly, Head of Sales at Trust Payments](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/craig-brightly-450x468-1736814699904-compressed.jpg)

_By_ **_Craig Brightly,_** _Head of Sales at Trust Payments_

The modern travel and [tourism sector](https://www.financedigest.com/uk-tourism-sector-already-reaping-the-benefits-of-brexit.html "UK TOURISM SECTOR ALREADY REAPING THE BENEFITS OF BREXIT") is facing a significant labour shortage. Covid-19 had a significant impact on the airline industry, with monthly air passenger arrivals in the UK plummeting [from 6,804,900 in February 2020 to 112,300 in April 2020, resulting in a 98.3% decline](https://www.ons.gov.uk/businessindustryandtrade/tourismindustry/articles/coronavirusandtheimpactontheuktravelandtourismindustry/2021-02-15#:~:text=1.-,Main%20points,the%20same%20month%20in%202019). According to the ONS, the hotel and [travel agency industries](https://www.financedigest.com/5-business-ideas-influencing-the-travel-industry.html "5 business ideas influencing the travel industry") had the greatest drop in turnover during the first nationwide lockdown, falling to 9.3% of their February levels in May 2020.

Now, after years of delaying travel decisions, a sense of normalcy has returned, with global foreign visitor numbers more than [doubling (+130%) in January 2022 compared to 2021](https://www.unwto.org/news/tourism-enjoys-strong-start-to-2022-while-facing-new-uncertainties). Nonetheless, businesses  in the industry cite [supply chain](https://www.financedigest.com/how-to-bring-immediacy-back-to-the-supply-chain-with-faster-payments.html "How to Bring Immediacy Back to the Supply Chain With Faster Payments") capacity, closely followed by recruitment and retention of staff as their largest impediments to recovery.

In the [face of changing](https://www.financedigest.com/the-changing-face-of-peer-to-peer.html "THE CHANGING FACE OF PEER-TO-PEER") demand dynamics and future opportunities and threats, a more sustainable and resilient travel and tourism sector can and must be built. To provide operators with a solid, reliable system, [innovative technology](https://www.financedigest.com/latam-airlines-reduces-cost-per-user-by-83-thanks-to-innovative-ad-technology.html "LATAM Airlines reduces Cost Per User by 83% thanks to innovative ad technology") solutions aimed at automating payment procedures, cutting costs, and saving time are vital.

So how can this be done?

**[Secure end-to-end payment](https://www.financedigest.com/allpay-signs-with-eckoh-to-secure-telephone-payments.html "allpay signs with Eckoh to secure telephone payments") solutions**

Payments in the travel industry are rapidly becoming increasingly digitised in response to consumer needs for ease and choice. These innovative payment systems aim to provide the highest level of consumer convenience and satisfaction by receiving and [processing](https://www.financedigest.com/are-your-payment-processes-in-cheque-for-the-new-legislation.html "ARE YOUR PAYMENT PROCESSES IN CHEQUE FOR THE NEW LEGISLATION?") payments via various methods, including online, in-store and smartphones

End-to-end encryption is the process of encrypting card-holder data for the duration of the payment transaction. This means the [data is protected](https://www.financedigest.com/4-steps-you-should-be-taking-to-protect-data.html "4 Steps You Should Be Taking To Protect Data") as soon as the card is touched or inserted into a payment terminal. Using end-to-end [systems in your business provides your customers with an extra layer of security and a secure payment terminal for travellers during their booking process](https://www.financedigest.com/solvency-ii-pushing-existing-systems-and-processes-harder-is-not-enough-for-compliance.html "Solvency II: pushing existing systems and processes harder is not enough for compliance"). By connecting the entire booking journey through mobile transactions, [businesses will be able to implement customised traveller engagement plans using geo-locational targeting](https://www.financedigest.com/schneider-and-greenyellow-target-smaller-businesses-with-energy-saving-technology.html "Schneider and GreenYellow target smaller businesses with energy saving technology") tools.

Using [safe and encrypted payment methods when processing holiday bookings or for last-minute bookings and cancellations reduces the risk and exposure to data](https://www.financedigest.com/your-money-is-safe-but-your-data-might-not-be.html "YOUR MONEY IS SAFE, BUT YOUR DATA MIGHT NOT BE") breaches and fraud. According to UK Finance data, non-cash payment methods account for more than a [quarter of all UK payments](https://www.ukfinance.org.uk/press/press-releases/contactless-now-accounts-more-quarter-all-uk-payments#:~:text=During%202020%20the%20number%20of,cent)%20of%20all%20UK%20payments.).

**Customer-first payments**

Businesses must ensure that the payment process is seamless. Whether ordering in a restaurant, booking a hotel room online, or using an app to pre-order a ticket for a tourist attraction, [customers should be reassured that they can pay](https://www.financedigest.com/shell-energy-to-pay-for-overcharging-price-cap-customers-ofgem.html "Shell Energy to pay for overcharging price cap customers -Ofgem") conveniently and safely.

According to statistics, [2 billion individuals chose digital payments in 2020 alone](https://www.statista.com/statistics/251666/number-of-digital-buyers-worldwide/), demonstrating that effective, safe, rapid, and reliable payment solutions are vital to the success of the tourism sector, which contributed to over [£133 billion to the UK economy in 2019.](https://www.thecaterer.com/news/hospitality-industry-loses-30-billion-sales-second-quarter-2020)

Implementing customer-first payment systems creates memorable experiences on and offline. However, a lack of customer payment choices may result in [lower sales](https://www.financedigest.com/germany-to-lower-sales-tax-on-gas-to-7-in-bid-to-relieve-consumers.html "Germany to lower sales tax on gas to 7% in bid to relieve consumers"), harm your business’s reputation and may cause your organisation to appear redundant, outdated, and reluctant to adapt to customer demand.

**All-in-one payments: Multi-currency and multi-language**

As e-payments are increasing faster than ever, global e-commerce merchants face a slew of potential concerns. With exchange rates rapidly changing and accelerating international markets, using a multi-currency payment system will not only [prevent chargebacks caused](https://www.financedigest.com/technology-preventing-minor-regulation-causing-major-problems-the-butterfly-effect.html "Technology Preventing Minor Regulation Causing Major Problems: The Butterfly effect") by cross-currency price disputes but will also save customers time and effort.

The nature of international [exchange rates](https://www.financedigest.com/currency-exchange-how-to-find-the-best-rates.html "Currency Exchange: How to Find the Best Rates") is one that constantly fluctuates, which can be incredibly frustrating for your customers if they aren’t paying or booking in their local currency or language. If you’re not offering your product or service in the [local currency of each region](https://www.financedigest.com/danich-local-and-regional-banks-launch-mobile-wallet-powered-by-nets-new-hce-and-tokenisation-platform.html "DANICH LOCAL AND REGIONAL BANKS LAUNCH MOBILE WALLET POWERED BY NET’S NEW HCE AND TOKENISATION PLATFORM") you’re selling in, you could miss out on a profound opportunity for growth.

The [importance of multi-currency lies in the ability to enable 100+ currencies and manage](https://www.financedigest.com/the-importance-of-strategic-human-resource-management.html "The Importance of Strategic Human Resource Management") all of your subscriptions from a single dashboard. When you [offer multi-currency prices](https://www.financedigest.com/twitter-shares-cruise-towards-musks-offer-price-as-deal-deadline-looms.html "Twitter shares cruise towards Musk’s offer price as deal deadline looms"), your customers don’t have to pay extra fees for currency conversion, which also has a positive impact on your sales.

**Customer retention management**

According to HubSpot, a [5% increase in customer retention can boost profits by 25% to 95%](https://blog.hubspot.com/service/customer-retention#:~:text=ROI%3A%20A%205%25%20increase%20in,coming%20back%2C%20again%20and%20again.), which demonstrates how important it is to the tourism business and should be prioritised in strategy. A thorough client retention plan can also help travel businesses survive and grow in the current climate, with enormous cost savings, [increased brand loyalty](https://www.financedigest.com/fintechs-how-to-increase-loyalty-through-user-experience-and-fraud-prevention.html "FinTechs: How to increase loyalty through user experience and fraud prevention"), and word-of-mouth referrals.

Using digital [payment methods](https://www.financedigest.com/freelancer-payments-methods-what-you-should-know.html "Freelancer Payments Methods: What You Should Know") to boost client retention and upsell prospects is recommended for an improved customer experience. Because it is so easy to become distracted and narrow your focus on [sales and acquiring new customers](https://www.financedigest.com/yum-beats-sales-estimates-as-customers-flock-to-kfc-taco-bell-deals.html "Yum beats sales estimates as customers flock to KFC, Taco Bell deals"), focusing on the loyalty of your existing clients is vital owing to the foundation of trust that has already been formed. The reality is that you are more than simply another company; you are one that is trusted with their money because of the value you provide.

**Digitising payments in tourism**

[Digital payments are a critical](https://www.financedigest.com/smarter-safer-stronger-cybersecurity-is-now-critical-to-digital-future.html "Smarter, safer, stronger cybersecurity is now critical to digital future") enabler of travel, cash flow preservation, and revenue growth.

Travel operators cannot afford to sit on their laurels if they want to capitalise on the travel boom we are currently experiencing. Rethinking payments will allow online travel businesses to [save money](https://www.financedigest.com/6-tips-to-save-money-on-your-next-used-car-purchase.html "6 Tips to Save Money on Your Next Used Car Purchase") and make the customer experience more frictionless.

Innovative [payment methods will provide customers more flexibility to pay in a way](https://www.financedigest.com/5-ways-to-maximise-the-value-of-instant-payments.html "5 ways to maximise the value of instant payments") that suits them and serve as a launchpad for new product offers that will generate new revenue streams and help your company become more resilient.


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