Skift Take
Grasping the shift to digital payments in Asia would be a game-changer for the travel industry. Cashless is the future — think convenience and cool perks!
Nearly 80% of people across Asia don't want to travel with any cash to their destination, according to Prateek Sanghi, head of Visa Consulting and Analytics for Asia Pacific.
Safety, security, and speed are driving this shift. "Digital payments offer convenience and specific rewards tailored for travelers," according to Sanghi.
Visa's latest study highlights this trend. It shows that 97% of travelers in the region prefer digital payments. Only 31% carried cash in 2023, down sharply from 79% in 2020.
Visa has responded by partnering with local payment giants in China, such as WeChat and Alipay. This allows international travelers to use Visa cards within these platforms, addressing the need for cashless transactions in a market dominated by local methods. "While there's competition across payment methods, a lot of cash displacement still needs to happen," Sanghi said speaking to Skift. "Travelers need to use the instruments they have, and we're seeing new partnership models emerge."
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