Around 85% of Chinese consumers take at least one leisure trip per year.
Credit cards (36%) and debit cards (29%) are the top payment choices for travel worldwide. PayPal is also popular (17%) across various countries and age groups.
Electronic payments are prevalent in China, with 78% favoring Alipay.
Seven out of ten Chinese travelers report experiencing fraud.
A recent global survey* of 7,400 consumers by YouGov and ACI Worldwide, a provider of electronic payment solutions, found that over a third (36%) of respondents from Britain, America, China, France, and Germany are dissatisfied with limited online payment choices for booking vacations.
Opaque pricing is another significant concern. Globally, 66% believe online travel bookings involve excessive hidden fees and add-ons, leading to final prices different from advertised rates.
“The global travel market, a vast industry valued at US$2.2 trillion annually, is experiencing roughly 10% yearly growth. Driven largely by digitalization over the past decade, digital platforms have opened new marketing avenues for travel providers. Travelers can now research options online and choose how to book and pay for trips,” said Peter Moedlhammer, ACI Worldwide’s Head of Global eCommerce Solutions.
“However, it’s striking that many consumers remain dissatisfied with aspects of their online booking journey, whether it’s price transparency, booking flexibility, or payment method limitations. Travel companies need to urgently address these issues to remain competitive.”
Other key takeaways:
Around 85% of Chinese consumers vacation at least once yearly, leading other surveyed countries. France and the UK follow at 78%.
Globally, nearly two in five (37%) travel once or twice annually, while over 22% travel three to five times.
Almost two-thirds (65%) of global travelers spend between US$320 and US$3,800 per year on leisure travel. One-third (33%) shell out more than US$1,300 annually.
Globally, 74% prefer booking travel on digital devices, with only 10% opting for in-person bookings.
Travel comparison websites hold a considerable market share, with 30% favoring this booking channel.
Payment Preferences:
Three out of ten travelers globally seek diverse payment choices. 36% are frustrated when unable to use their preferred method.
Credit and debit cards remain the most popular payment methods for trips worldwide (36% and 29% respectively). PayPal holds a strong market share (17%) across most countries and age groups.
Local payment methods are significant. Alipay is preferred by 78% in China, while direct bank transfers are favored by 33% in Germany.
Transparency and Data Security:
Two-thirds are bothered by a lack of transparent pricing.
Nearly a third (32%) worry about how travel companies handle personal data. 34% want greater transparency regarding data practices.
One-third of global travelers have encountered fraud during booking or travel. Chinese travelers report the highest incidence, with seven in ten experiencing fraud.
“Our findings highlight several key service trends valued by travelers booking trips online. Local and alternative payment preferences, fraud, and security impact both the purchase and travel experiences. These factors influence travelers’ choice of providers and their likelihood of repeat business,” Moedlhammer noted.
“With cost pressures and competition mounting for travel companies, understanding customer preferences and motivations is crucial.”
ACI Worldwide, which processes electronic payments for over 5,100 organizations globally, advises online travel companies to:
Understand local and regional payment preferences in target markets. With over 300 online payment methods worldwide, a one-size-fits-all approach is insufficient.
Explore current and emerging alternative payment options to enhance conversion rates for high-value travel bookings. Lost opportunities due to limited payment choices can hinder revenue and future business.
Implement an integrated approach to payment processing and fraud prevention. Travelers want to feel confident and secure when transacting with travel providers.
*All data, unless specified otherwise, comes from YouGov. The total sample size was 7,433 adults (including 1,004 Chinese adults), of whom 5,283 are travelers. Fieldwork took place online between July 4th and 17th, 2018. Data is weighted to be representative of all adults (aged 18+) in their respective countries.