Travellers demand modern airport payment solutions: report

A new report titled 'Retailing Ready: Towards a Traveler-Centric Airport Payment Experience' has highlighted the significant issues travellers face with outdated payment systems at airports.

The study, commissioned by Outpayce from Amadeus and Worldline, involved qualitative research from Innovationbubble and a multi-market survey by Opinium.

It emphasises the challenges travelers encounter in airport payment systems when accessing airline services. Findings from the report show that 54% of travelers have been required to change locations and re-queue to make payments for services. Additionally, more than half of these customers, 56%, have experienced fee waivers for ancillary services due to the airlines' inability to process payments effectively.

This outdated payment experience presents a critical issue for airlines aiming to position airports as retail hotspots. With modern retail concepts in mind, it becomes crucial for airports to improve payment systems to enhance the overall traveler experience.

There is an indication that a quarter of travelers purchase ancillary services at airports most times they travel, viewing these hubs as potential retail goldmines.

The report notes that improving payment systems could unlock potentially valuable revenue streams. More than 10% of travelers spend over GBP £500 at airports, and 45% indicate they would be inclined to spend more if they could use their preferred payment methods.

Jean Christophe Lacour, SVP & Global Head of Products at Outpayce, commented on the findings: "Through the research, travelers expressed frustration at having to walk to another desk to pay and needing to search through their bag for a payment method the airline can accept. As airlines transform to become modern retailers, we have a great opportunity to ensure passengers can pay easily using a card or a digital wallet anywhere in the terminal."

Furthermore, Ifan Batey, Senior Business Psychologist at Innovationbubble, added: "Our research shows that travelers find the airport payments experience to be unpredictable. In a high-stress environment like the airport, regular instances of unpredictability can reduce engagement, discourage future purchases and contribute to negative brand perceptions."

"For several of the frequent flyers we interviewed, being asked to change location to pay was frustrating enough for them to switch airline."

The report underscores the importance of airlines adopting modern payment solutions to eliminate friction points.

Biljana Bosnjak, VP Travel & Hospitality at Worldline, underscored this need by stating: "Air travel can be stressful, and airlines have an opportunity to make it easier for passengers."

"By providing frictionless, flexible payment options at various locations in the terminal, airlines can significantly improve the travel experience. It's vital for the industry to modernize and ensure that every traveler can pay effortlessly, no matter where they are in their journey."

Currently, 46% of travelers prefer contactless card transactions for additional services at airports, marginally ahead of those using Chip & Pin methods at 44%.

Meanwhile, 35% prefer using digital wallets such as Apple Pay or Google Pay, highlighting the growing acceptance of digital solutions.

The research gathered insights from 4,500 travelers spanning five countries: France, Germany, the United Kingdom, the United States, and Singapore, during the fourth quarter of 2024.

The insights from this data are aimed at informing the push for a more unified and efficient payment system across airports.