UATP Data Indicates Travel Industry Recovering Faster than Initial Projections
Accelerated rebound in passenger travel propels global economic growth
WASHINGTON, June 6, 2023 /PRNewswire/ -- New internal data from global payment network UATP indicates that business travel is well on its way to a full recovery, defying some predictions that it would take until at least 2024 for a complete comeback. Leisure travel has also regained its full strength, showcasing a robust resurgence in the sector.
"UATP has reached 95% of 2019 volume levels for corporate travel in 2023, while leisure travel, as indicated by our AFP volume levels, shows growth well over 100% within the same period," says UATP President and CEO Ralph Kaiser.
These insights into the state of travel were captured through UATP's proprietary technology, providing a comprehensive understanding of corporate travel demand through the company's global transaction processing system, ATCAN. As a leading provider of payment solutions for corporate travel, UATP holds a unique advantage in collecting and analyzing this data effectively.
Similarly, UATP's patented Ceptor® technology plays a crucial role in enabling airline merchants to seamlessly process alternative forms of payment (AFPs), such as PayPal, digital wallets, or Buy Now Pay Later options, transactions which are primarily used by leisure travelers. With UATP's widespread acceptance across the globe, its data serves as a reliable indicator of overall air travel volume and demand.
UATP's findings are well-supported by external sources, including IATA, which predicts that the industry will return to profit during 2023 and reports that as of March, global traffic is now already back at 88% of March 2019 levels. "This is fantastic news for the airline and broader travel industries, as well as overall economic growth, which relies on travel connectivity," added Kaiser.
Through its global payment network, UATP reaches 95% of available scheduled airline seat kilometers and is a key player in facilitating the growth of travel purchases globally, not only for core seat revenue but also ancillary revenue.
"Airlines that struggled during the pandemic are now facing inflationary challenges. To succeed, they need to expand their product base through new partnerships and revenue streams. Our payment solutions are an easy and cost-effective way for them to offer their customers a suite of convenient payment options for an almost limitless array of products related to the travel journey, thereby positioning them for success in the current travel boom," said Kaiser.
For more information about UATP and its payment network or to speak with a UATP company executive, please contact Wendy Ward, Chief Marketing Officer, at wward@uatp.com.