Nuvei report key takeaways – the last mile of conversion

Irina Ionescu, Senior Editor at The Paypers, uncovers the most important findings from Nuvei’s latest report, ‘The Last Mile of Conversion – How seamless payments drive revenue from high-intent travelers’. 

The global airline industry is still recovering a few years after the COVID-19 pandemic, with passenger revenues projected to reach USD 693 billion by the end of 2025. However, payment friction appears to remain a barrier when trying to maximise conversion rates and customer satisfaction.

The latest report released by Nuvei in partnership with  consultancy Edgar, Dunn & Company, ‘The Last Mile of Conversion – How seamless payments drive revenue from high-intent travelers’, explores how seamless payment processes can drive revenue for the global airline industry. To dive deeper into travellers’ needs in a post-pandemic world, the companies surveyed over 1,000 travellers across five key markets – the UK, the US, Brazil, Hong Kong, and Spain. The main topic revolved around customers’ payment experience when purchasing online air travelling services, based on two pillars directly related to sales performance – convenience and flexibility. 

Key  takeaways from the report

1. Convenience

According to the survey findings, 92% of travellers rate ease of payment as important, yet 17% experience card declines during online bookings, risking USD 117 billion in transactions.

At the same time, there are significant regional differences in payment ease, suggesting an urgent need for localised strategies. ​For example, UK travellers find payments easier than those in Spain, with 11% of Spain customers describing the payment process as ‘neither easy nor difficult’. However, these differences may also reflect varying cultural expectations when it comes the overall payment experience, as the report outlines.

As for failed transactions, they lead to customer drop-off, with 18% of consumers willingly abandoning purchases or switching to competitors. ​

2. Flexibility

The survey also shows that offering alternative payment methods is critical, as 59% of travellers would abandon bookings if their preferred method is unavailable. ​

Card payments continue to be the default payment method for travel across all five regions, totalling between 72-79% of transactions. However, regional preferences also play an important role, so payment providers should focus on localisation to ensure customers don’t abandon the booking. Depending on the region/country, payment methods vary – PIX is dominant in Brazil (71%), AliPayHK in Hong Kong (29%), and Bizum in Spain (23%). 

In a recent webinar showcasing the key data from the study, Jacqueline Ulrich, Senior Vice President Commercial – Global Travel Strategy & Partners at Nuvei said, ‘currency is often overlooked, yet it’s the very first hurdle in a traveller’s payment journey. If the display currency doesn’t feel familiar, you’ve already introduced doubt before checkout. Add to that the absence of local payment methods or the frustration of a decline, and the risk of losing the booking rises sharply. Getting currency right — at both display and payment — is fundamental to building trust and securing conversion.’

As ticket prices continue to spike post-pandemic, split payments (e.g., combining credit cards and bonuses) remain a viable option for customers. However, Buy Now, Pay Later (BNPL) providers like Klarna, Afterpay, or Laybuy only count for approximately 3% of travel transactions, despite these companies’ segment diversification and the global expansion of ecommerce .

Overall, payment flexibility is highly important in maintaining high conversion rates and remaining competitive for travel and booking agencies.

3. Payment optimisation

Airlines and OTAs can reduce friction by adopting Alternative Payment Methods (APMs), enhancing fraud prevention, and leveraging payment orchestration platforms to offer localised payment options and multi-currency capabilities. ​

Payment orchestration platforms streamline integration, optimise costs, and boost customer retention. According to the internal survey conducted by Nuvei and EDC, 92% of respondents  claim they prefer to view prices in their national currency, which further highlights the importance of a localised payment experience throughout the booking journey.

Moreover, ‘[payment orchestration] offers a plug-and-play system that allows travel businesses—whether airlines or hotels — to expand quickly without the burden of manual integrations or waiting on a payment service provider to add new methods. The rapid rise of alternative payment methods has added significant complexity to cross-border payments, and orchestration is increasingly essential to manage that complexity efficiently,’ according to Louis Wapler, manager at Edgar, Dunn & Company.

Payment friction often results in lost revenue, reduced conversion rates, and diminished loyalty. ​In fact, card declines and unavailable payment methods lead to billions in lost transactions annually, a statement backed by the findings of this report, as 17% of travellers report experiencing card declines during online bookings, further creating friction in the payment process. This leads to customer frustration, with 18% of consumers either abandoning purchases or switching to competitors, which affect not only a brand’s revenues but also its customer base loyalty.

Card declines rates also vary considerably between markets, according to the survey. For instance, UK respondents encounter a card decline rate of approximately 13% during online travel bookings, compared to 20% for that in Brazil. When a transaction is declined, most customers choose to abandon their cart, while 13% decide to go for a competitor. Card declines also fuel significant market share redistribution, as around USD 15.2 billion worth of transactions are shifted between airlines and their travel partners, according to IATA’s 2025 revenue forecast.

To further optimise payment systems, travel providers must conduct comprehensive payment diagnostics and invest in robust payment engines and fraud prevention strategies. 

4. Security concerns related to payment methods

Fraud prevention

Diversifying payment methods increases the risk of fraud. ​Travel providers must strengthen fraud prevention measures to address evolving fraud patterns. ​

False declines

While imposing strict fraud rules can reduce fraud risks, applying these rules aggressively can lead to false declines, rejecting legitimate transactions and eroding customer trust. ​Thus, for travel merchants, it is fundamental to optimise payment acceptance through strategic risk management. Rejecting legitimate transactions can prove as costly as accepting fraudulent ones, especially for high-value travel bookings. These concerns underscore the need for robust fraud management systems and strategic risk mitigation to ensure secure and seamless payment experiences.

As Peny Rizou from eTraveli Group said in a recent webinar co-hosted by The Paypers and Nuvei, ‘in travel, the biggest monetary impact of fraud isn’t chargebacks — in most cases it’s profit lost to false declines. With high-value, digital, cross-border tickets, reducing false positives is essential. That requires deep product and risk understanding and industry-specific strategies. Performance means balancing approval rates, fraud prevention, and cost across every KPI.’

Enhancing payment security

• Users can enhance their payment security by following these practices:
• Use secure payment methods: opt for trusted payment methods like cards (Visa, Mastercard, or Amex) or consider secure digital wallets (e.g., Apple Pay, Google Pay) that offer extra layers of security through encryption and tokenization. 
• Enable two-factor authentication (2FA): Two-factor authentication can significantly reduce fraudulent uses of cards in online transactions, especially for card-not-present (CNP) payments, as it adds an extra layer of security. Often, the second layer of security includes biometric authentication, which is almost impossible to bypass.
• Monitor transactions: regularly check bank statements and transaction history to identify any unauthorised activity, suspicious payments, and recurring payments. 

Conclusions

The global air travel industry continues to grow post-COVID-19, with revenues and passenger volumes on the rise in most regions. Delivering a seamless, localised, and flexible payment experience is vital for airlines and OTAs to protect revenue, improve customer satisfaction, and remain competitive in the evolving digital economy. ​However, with 17% of customers still experiencing card declines and nearly 60% abandoning a purchase if their preferred payment method is not available at checkout, airlines must enhance their payment processes, adopt a clear direction, and try to reduce friction by adopting high payment security standards and fraud prevention tools.

To find out more information on the impact of payments flexibility in converting customers in the airline industry, make sure to download Nuvei’s report, ‘The Last Mile of Conversion – How seamless payments drive revenue from high-intent travelers’.

We also recently co-hosted a panel with Nuvei, where industry experts showed how travel brands can convert more high-intent travellers by mastering payment optimisation, emphasising on adopting Alternative Payment Methods (APM) to drive sales. Read the webinar’s recap here or watch the full webinar on demand here.

 

About the author

Irina is a Senior Editor at The Paypers, primarily specialising in online payments and fraud prevention. She has a Ph.D. in Economics and a strong economic academic background, with interests in fraud prevention, chargebacks, fintech, AI, ecommerce, and online payments. Reach out to her via LinkedIn or email at irina@thepaypers.com.

 

About Nuvei

 

Nuvei is a Canadian fintech company accelerating the business of clients worldwide. Nuvei’s technology allows companies to accept next-gen payments and benefit from card issuing, banking, and risk and fraud management services. Connecting businesses to their customers in more than 200 markets, with local acquiring in 50 markets, 150 currencies, and 720 APMs, Nuvei provides the technology and insights for customers and partners to succeed locally and globally with one integration.