Tag: m-payments

Airlines see a mere 13% of volume on mobile devices according to new report.

A recent report from Netherlands-based global multichannel payment company Adyen revealed that travel made up 15.5% of mobile transactions on its global payments network in Q1 2016. While m-payments made up 32% of overall online payments in this year’s first quarter, in the travel sector, the share plummets to 15%. According to Adyen, these findings show that there is opportunity to extend the reach of smartphones and tablets in the travel industry.

Compared to other industries, the travel sector sees significantly fewer mobile transactions.

The report – Mobile Payments Index 2016: Travel Edition – shows that while accommodation services see 17% of volume on mobile devices, airlines see only 13%. Also, tablets are the preferred choice among mobile devices when it comes to booking in the travel industry.

President of North America at Adyen, Kamran Zaki, stated that the travel sector is seeing notably fewer browser-based payments happen on mobile compared to other industries. Zaki added that “an average of only 15 percent of online payments take place on a mobile device, compared to over 30 percent across all verticals” among airline and accommodation merchants on the Adyen platform.

However, airlines investing in mobile offerings are seeing higher m-payments activity.

Even though only 13% of transactions for airlines are occurring on mobile, Adyen’s report also pointed out that the airlines investing in their mobile offerings are actually seeing higher than average activity in regard to mobile payments.

For instance, European airline Transavia has a share of mobile payments that is 65% higher than the average.

Adyen CCO Roelant Prins said “We are moving to a future where many loyal travel industry customers will make their entire journey in-app, from initial booking to final checkout, with payments as a key step in that journey.” He added that aside from in-app, travel merchants who invest in optimized experiences for web browsers across key types of devices are already seeing a significant increase in their mobile transaction volume.

Adyen believes that the travel industry has more opportunity to take a larger share of m-payments by branching into other mobile services like smartphone check-in among other convenient customer services.

Micromax smartphone manufacturer subsidiary, Yu Televentures, has announced its intentions.

Yu Televentures recently announced that it is coming close to reaching an agreement with TranServ, which will make it possible for the companies to jointly produce a mobile wallet that will be available on the latest Micromax smartphone, which will be called the Yutopia.

This agreement will be the first of its kind for the subsidiary of the India based smartphone manufacturer’s subsidiary.

A recent press release from Yu Televentures explained that it will be releasing its mobile wallet as a component of its Around Yu suite. Around You is a software suite that comes as a part of the original bundle that is already installed into the Yutopia smartphone. This ensures that the mobile payments app will be available to users who purchase the smartphone without requiring them to have to download it.

This could help to boost the use of the mobile wallet among the users of that model of the device.

According to Micromax co-founder, Rahul Sharma, “All these services will be deeply integrated and stitched with one payments system.” The goal is to make it as convenient, seamless and simple for device owners to use as possible. This will allow them to use it as a natural part of their device use, instead of being an awkward or clunky add-on that requires them to take too much action in order to take advantage of what it has to offer.

A statement from Yu Televentures pointed out that both the mobile wallet app that is being developed, and the mobile payments system upon which it will stand will assist in driving other apps within the Around Yu suite. There are several within the suite that have the potential to work quite smoothly with the digital transactions, such as a food ordering application, a mobile travel app that provides price comparisons, as well as a price comparison retail app that allows users to find the best price for the products and services they’re seeking. By incorporating the wallet app, when the user finds what he or she wants, it will be easier to simply purchase it digitally.