Payment Processing for Travel Merchants
Travel merchant accounts are available for domestic and international businesses.
Accepting card payments is vital for travel companies. The addition of alternative payment options such as bank transfers can increase sales up to 40% by providing your customers another way to purchase from you..
The World Travel and Tourism Council estimates that travel contributed 9.5% to the global economy in 2013. Opportunities for travel companies abound with payment processing accounts giving you the way to capture the money.
Card Payment Processing for Travel Merchants
Certainly, merchants need to accept credit and debit card payments. If your market is international, consider using an international bank network.
A single plug into the network gives you access to banks located throughout the world. Multiple accounts can be established to help you take advantage of lower in-country rates and avoid the costs of cross-border transactions. And all accounts are managed through a single login, streamlining operations and administrative functions.
Multicurrency processing is a standard feature on all international merchant accounts. Offering payments in local currencies keeps buyers focused on completing the sale while creating trust and confidence.
Multicurrency settlements are also available allowing you to receive your money in any currency desired. This saves you money on foreign exchange.
Travel Classified as High Risk for Card Payments
Travel is classified as high risk industry for several reasons. First, there is often an extended time between the time travel is booked and a trip actually taken. If travel plans change, some consumers will attempt not to pay for the booking by charging back a card transaction. Increased risk of chargebacks creates unknown contingent liabilities for processors and acquiring banks.
Secondly, travel purchases are frequently high value transactions. Higher ticket items create greater risk due to the amount of money that can potentially be charged back.
Thirdly, there has been instability in the travel industry over the last few years. For example, several airlines have declared bankruptcy, which had the potential for the processors and acquiring banks to be stuck with losses from chargebacks.
Alternative Payments for Travel Merchants
One of the easiest ways for merchants to increase sales from international travelers while eliminating the risk of chargebacks is to offer local bank transfers. In Europe and many other parts of the world, local bank transfers are the preferred method of payment
Local bank transfers “push” payments to merchants through the buyer’s online bank account.
Local bank transfers are similar to a cash payment. Once the payment is received, it is virtually impossible for a buyer to revoke the transaction.
Travel is the biggest industry world-wide for internet sales. Hundreds of millions of customers world-wide pay for travel and related services online.
Payment processing that meets the needs of your targeted market is vital to increasing orders from travelers. And gives you an competitive edge.
Travel business are wise to consider both domestic and international merchant accounts for card payments. Establishing multiple travel merchant accounts in different jurisdictions decreases your operating expenses while increasing your sales.
Add alternative payment methods such as local bank transfers, echecks, and popular localized payment options to your checkout page. The more ways travelers can purchase from you, the more orders you receive.
Interested in a travel merchant account?
Contact email@example.com today.