The transformative impact of payments orchestration on airline growth and profitability

Thursday 23 May 2024 11:23 CET | Editor: Irina Ionescu | Interview

We interviewed Kristian Gjerding, CEO at CellPoint Digital, about the transformative impact of payments orchestration on airline growth and how to overcome the main challenges in this industry.

Given the complexity of payments in our times, what are the main challenges the airline industry currently faces?

The airline industry is navigating a labyrinth of complexities in the payment landscape. These challenges include managing diverse fare rules, ticket types, and refund policies, which are further complicated by varying governmental regulations. The industry also grapples with a multifaceted payment ecosystem, incorporating a myriad of payment forms such as credit cards, digital wallets, and alternative payment methods like Apple Pay. 

The heavy reliance on manual processing for refunds and other transactions leads to inefficiencies, dissatisfied customers, and revenue leakage. Additionally, reconciling these payments across different systems and channels presents a formidable challenge due to the involvement of multiple payment service providers and acquirers.

With the competitive landscape intensifying, what opportunities does payment orchestration unlock for airline companies in terms of enhancing operational efficiency, customer experience, and expanding revenue streams?

Payment orchestration is a game-changer for airlines, unlocking unprecedented opportunities for operational efficiency, superior customer experience, and new revenue streams. By automating and streamlining payment processes, airlines can eliminate manual interventions, thereby boosting efficiency and ensuring data integrity across multiple systems. This creates a seamless, traveller-centric environment where self-service options are readily available on mobile devices, enhancing customer satisfaction.

Moreover, payment orchestration enables smart routing of transactions, optimising costs, and increasing acceptance rates by leveraging the best payment providers based on dynamic criteria. This capability is crucial for airlines expanding into new markets, allowing them to support local payment methods and currencies effortlessly.

By delivering a frictionless payment experience, airlines can drive higher booking volumes and ancillary sales, transforming payments from a mere utility into a powerful revenue driver.

How do you envision the role of payment orchestration evolving as airlines increasingly prioritise payments as a strategic capability rather than just a cost centre?

Payment orchestration is poised to evolve into a cornerstone of airline strategy, shifting from a cost-centre to a strategic enabler of growth and innovation. As airlines increasingly prioritise payments as a critical component of their business models, payment orchestration will provide the infrastructure needed to harness real-time data and analytics, driving smarter, data-informed decisions.

Airlines will leverage these insights to optimise pricing strategies, personalise offers, and enhance customer loyalty by catering to individual payment preferences. The ability to seamlessly integrate multiple acquirers and payment methods will also facilitate rapid market expansion and improve customer experiences globally. 

Thus, payment orchestration will empower airlines to build resilient, adaptable payment ecosystems that not only meet current demands but anticipate future needs and regulatory changes.

Finally, how can Cellpoint Digital make payments a strategic advantage for airline companies?

At CellPoint Digital, we are redefining what it means to manage airline payments. Our advanced Payment Orchestration Platform transforms payments into a strategic advantage, optimising digital transactions and ensuring seamless integration with a vast array of payment service providers and acquirers. This capability allows airlines to offer diverse payment options, increase acceptance rates, and significantly reduce transaction costs.

Our platform centralises and automates payment processes, enhancing operational efficiency and providing real-time visibility into payment data. This empowers airlines to make informed decisions, prevent fraud, and streamline their financial operations. The flexibility and scalability of our solution ensure it can grow and adapt with the airline, supporting their strategic goals and market expansion plans.

Furthermore, by future-proofing payment operations, we ensure that airlines remain at the forefront of technological advancements and industry trends. Our commitment to innovation and excellence turns payment systems into a competitive edge, driving superior customer experiences and sustainable revenue growth.

About Kristian Gjerding

Kristian is a visionary entrepreneur and esteemed leader at the forefront of digital transformation and payment solutions. With an extensive background in enterprise business, including notable positions at Amdahl, Network Appliance, and Sun Microsystems, he co-founded CellPoint Digital in 2007. As CEO, Kristian's strategic acumen and operational expertise drive the company's innovation and unwavering commitment to supporting customers in the travel sector. His profound understanding of the payments landscape and ability to navigate complex challenges have positioned CellPoint Digital as a differentiator in the industry.

About CellPoint Digital

CellPoint Digital, the inventor and leader of Payment Orchestration, is a pioneer in shaping the future of payments, with a focus on the airline and travel industry, using it’s cutting-edge Payment Orchestration Platform to enable customers to cut costs and grow revenues by streamlining payments between borders and using different payment methods – making payments work for them across all channels and markets.

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Keywords: online payments, payments orchestration, travel payments, merchant, transactions , digital payments, fraud prevention, financial services, expansion, checkout optimisation , customer experience, payment gateway, payments infrastructure, payments
Categories: Payments & Commerce
Companies: Cellpoint Digital
Countries: World
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Payments & Commerce

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