Consumers are ready to travel in the next 12 months, according to a new study commissioned by Amadeus. Using a panel of 4,500 consumers in France, Germany, the UK, the US and Singapore, the study explored discretionary spending preferences over the next 12 months, with international travel (43%) being the highest priority. , ahead of online subscriptions (38%) and domestic travel. Travel (35%). According to the survey, a person traveling from the United States expects to spend $3,268 on international travel over the next 12 months. But what interests us is how consumers expect to pay for their trips. Is BNPL optional?
The study shows that a whopping 84% of consumers are more likely to use an installment payment option such as ‘Buy Now, Pay Later’ (BNPL) to pay for travel. On checkout pages, popular travel sites like Carnival and Expedia[Buy Now, Pay Later]We offer a solution that allows consumers to split their payments over a period of time. Klarna works with suppliers like his Expedia.com and Booking.com, and Affirm currently works with providers like Delta Vacation, Priceline and StubHub. His BNPL vendor specializing in travel, Uplift, works with over 140 travel partners. BNPL options typically allow consumers to extend the term of their loans over credit cards, but at the cost of lower rewards. It’s no surprise that his use of BNPL for travel is on the rise, especially given how frenzied the BNPL industry is right now, but with a potential recession, BNPL providers are You will be taking a higher level of risk in an already risky business. For more information on our thoughts on BNPL, please see the following resources from our analyst team.
BNPL: Was it all a dream? Waking up to the smell of coffee
Overview Ben DannerMercator Advisory Group Research Analyst