Study industry left behind in the technoworld

first_imgOutdated payment methods costing the travel sector. The travel industry will likely be left behind in the growing technological world, according to a new study, which found hidden fees from use of out-dated payment systems and methods to be costing the sector.Payment solutions group, eNett and PhoCusWright found agents, wholesalers and tour operators are facing several challenges in their ability to compete because many are yet to fully embrace new payment methods.According to the group’s research, hidden costs behind manual processing, reconciliation and reporting, foreign exchange, delayed cash-flow and supplier default are creating burdens for the industry, at a time where many are under pressure to cut costs and increase margins.“One such example is the cost of reconciliation, with agencies turning over $1million and $5million requiring one part time staff member to manage reconciliation, fraud, chargebacks and related functions,” the study reported.Additionally, research found using outdated systems could cause agents to miss out on unpaid commissions.eNett managing director Anthony Hynes said a business’ ability to succeed in the current environment was dependent on how “well-placed it is to control costs, minimise risk, utilise its data and ultimately enhance revenue”.Source = e-Travel Blackboard: NJlast_img read more