Good morning from Skift. It’s Friday, July 26, and here’s what you need to know about the business of travel today.
15.07.2024 - 01:42 / skift.com / Peden Doma Bhutia
Pelago, the travel experiences arm of Singapore Airlines Group, on Monday announced a partnership with Primer, a global payments-infrastructure provider.
Payments are an important piece of Pelago’s expansion strategy as it hopes to provide access to local payment methods, which reduces processing costs, and have better fraud prevention.
“As a platform offering activities and tours in over 150 countries, we need a payment system that can cater to the varied preferences of travelers across Asia and beyond,” Chief Product Officer Altaf Dhamani told Skift. “The rise of digital wallets and real-time payments in this region has made it crucial for us to offer these options.”
Dhamani said that Singapore alone boasts of numerous alternative payment options, including PayNow, Kris+, GrabPay, ShopBack, and Atome. “This variety is typical across Asia. Our goal is to build a robust payment setup that can navigate the complexities of cross-border transactions and adapt to the different payment ecosystems across various Asian markets.”
Projections indicate that revenue from travel and tourism in Asia will hit $326 billion by 2024, with an annual growth rate of over 5% between 2024 and 2028. But travel providers must address Asia’s diverse and fragmented payments landscape.
McKinsey & Company estimates that Asia’s digital payments will reach 65% of total payments in 2024 (versus an average of 52% globally).
Kailash Madan, head of global sales at Primer, noted the importance of cross-border transaction security. “The diverse and fragmented payments landscape in Asia can be a challenge. We can support Pelago’s smooth transition to tap into multiple payment systems, hence reducing processing costs and improving operational efficiency through safety nets with fraud prevention integrations.”
Primer has been enabling payments for Pelago through a new processor and is testing performance with U.S. dollar and euro transactions. The company has also developed tools like UpliftAI, which uses AI to predict the ideal payment route for each transaction, in real-time.
Dhamani said Primer is instrumental in preparing Pelago for this expansion. “Their unified infrastructure allows us to quickly integrate with multiple payment methods, which is essential as we enter new markets. This solution helps us achieve efficient scaling without significantly expanding our team size. Consequently, we can focus on our core business while Primer handles the complexities of our expanding payment needs.”
An earlier Skift article had reported that Southeast Asia’s experiences sector is decades behind the hotel industry in terms of technology adoption.
The shift to multiple payment systems through Primer has been helpful for Pelago’s operations.
Good morning from Skift. It’s Friday, July 26, and here’s what you need to know about the business of travel today.
In a shift in global mobility rankings, Singapore has claimed the top spot in the 2024 Henley Passport Index released on Wednesday, granting its citizens visa-free access to 195 countries.
It's not every day that a chef gets a chance to open a restaurant in a cave.
ITB Berlin’s new Travel & Tourism Radar, set up in partnership with Ostfalia Hochschule, analyses the business outlook in the travel industry and reveals external factors as the main forces driving digitalisation and sustainability efforts. The actions of global travel companies are driven more by external influences than economics where important aspects of the transition are concerned. The Travel & Tourism Radar survey shows that the approximately 330 travel companies interviewed worldwide offer a generally positive economic outlook. It also gives an insight into their investment plans and how they see their ability to compete.
Qatar Airways was declared the best airline in the world at the 2024 Airline Awards in London on June 24. Qatar beat out Singapore Airlines, last year’s winner, who slipped to the number two spot this year. Emirates, ANA All Nippon Airways, and Cathay Pacific Airways completed the top five. No North American airline made the top twenty, with Delta narrowly missing out at 21. Other North American airlines that made the top 50 are Air Canada (29) and United Airlines (42). In fact, those three airlines are the only North American airlines to receive any Airline Awards. Other popular North American airlines like American, JetBlue, and Southwest failed to even be mentioned for any individual award.
Singapore Airlines (SIA) has reported a big rise in passenger traffic. On Monday, the carrier said customer numbers were up 13.9% in June compared to the same month last year.
International air travel from China is recovering, but set to remain at a fraction of what it was in 2019, according to data platform OAG.
The demand for alternative accommodations in India is at an early stage but continues to grow.
Jul 12, 2024 • 11 min read
American Airlines seeks to offer the only nonstop service between San Antonio International Airport and Washington Reagan National Airport, enhancing connectivity for the military and Hispanic majority city.
Travelex has expanded its Travelex Money Card to include seven additional currencies, responding to increased demand and enhancing its digital transformation efforts in the foreign exchange market.
Traveling in a golf cart encourages people to stop and connect on a more private level. These carts have a friendly note that will help travelers strike up discussions and casual encounters with people from all walks of life, no matter where they travel.