Leveraging Fintech in Travel

Nima Vaez, Director Key Accounts, Hopper, HSMAI Marketing Advisory Board Member

Financial technology (fintech) in hospitality has generally been used to reduce processing costs, provide traveler flexibility, or minimize friction in expense reimbursement for business travelers. The need for simplifying booking, rebooking, and payment processes for travelers has been highlighted post-pandemic. There is a high potential for growth within the industry if tech solutions are properly understood and applied appropriately. In a recent gathering of the HSMAI Marketing Advisory Board, I brought this topic for discussion. This article delves into our discussion, offering insights into how fintech could shape the future of hospitality.

The meeting highlighted fintech’s potential to revolutionize the sector, and AB members noted its increasing significance at both strategic and operational levels. The integration of fintech solutions is seen as a vital component in enhancing customer engagement and operational efficiency, from small boutique hotels to large chains.

We also discussed the challenges in adopting fintech solutions. Issues were raised such as selecting the right fintech tools, ensuring seamless integration with existing systems, and maintaining high-quality operational service delivery are central concerns. Overcoming these obstacles is essential for companies to fully benefit from fintech advancements. Some raised questions about whether fintech is more attainable for larger hotel chains, or if smaller enterprises can also effectively leverage these technologies. One challenge is the scalability and adaptability of fintech solutions – businesses of all sizes can benefit from these innovations.

Innovation in fintech, driven by consumer feedback and market research, was a key point of emphasis. The discussion highlighted how consumer insights play a crucial role in shaping fintech solutions. Customer surveys and market analysis can drive innovation in fintech, tailoring solutions to meet evolving consumer needs and preferences. As the industry continues to embrace digital transformation, understanding and leveraging fintech will be key to staying competitive and meeting the changing demands of travelers.

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Questions For Your Team

How familiar are you with fintech?
Do you see your own companies using fintech solutions in the near future?
What fears/obstacles/challenges need to be overcome when implementing fintech solutions?
What other ways are you combating the need for more flexibility and ease of travel planning for travelers?