EXECUTIVE SUMMARY
Hotels are losing up to 6% or more of monthly revenue due to payment inefficiencies and security risks, as uncovered in Flywire’s new survey of 300+ general managers and event directors, signaling an opportunity to transform payment processes for properties and guests.
79% worry they’re losing customers because of how inefficient their payment processes are, and 83% are concerned about the security of their customers’ information when they make payments. Plus, with more time going toward chasing down payments, less time is available to take care of customers’ needs.
These overly complicated processes are causing payment delays and revenue loss, with 28% saying up to half of deposits go unpaid or get delayed. A lack of integration also means nearly two thirds of staff are still manually entering payment information across systems, leaving room for payment errors and security risks. Respondents note greater automation, security, flexibility, and fee transparency are payment-related improvements they’d find most valuable.
As prime targets for payment fraud, most hotels are also losing hard-earned revenue to chargebacks, with properties averaging 16 chargebacks and nearly $5,000 in revenue lost to chargebacks each month. The influx of chargebacks is also leading to greater inefficiency, significant time loss, and even a higher rate of staff turnover.
Hotel leaders believe it’s possible to improve their payment habits to better serve their business and customers. 97% say digitizing these processes would raise their customers’ experience, while staff can save up to 10 hours per week by automating processes. By simplifying steps, staff will be happier, curbing the pain of knowledge loss and lack of resourcing that comes with higher turnover – and ultimately creating space to take better care of customers.