Fintech is expanding rapidly, and many companies around the world have wised up to the fact that they need to be more accepting of modern payment methods and technologies. We’re seeing some great developments in this regard, and it’s clear that this trend is going to continue with full force in the next years. Those who take full advantage of it are going to find themselves in a very good position not too long from now.

The State of Tourism in China

There’s a huge potential to leverage Chinese tourism in the current situation, considering that 20% of Chinese social media users take regular vacations abroad, and they frequently attempt to use their native payment methods on those occasions. As can be expected, the disappointment that they experience from the inability to conveniently make payments abroad is something that needs to be addressed by many companies across the board. Enabling Chinese users to make payments through their own methods is something that can bring significant profits to many.

The Approach of Western Banks

Similar developments are occurring in the West right now too, although the focus isn’t exactly on mobile payments as in China. Various banks have started to integrate mobile payments more tightly into their services, and they seem to be specifically targeting travel as well. Millennials appear to be an attractive target for many, and they are a major point for consideration for many businesses. Combining this with attractive deals such as the removal of spending fees for in-store payments abroad is a very powerful move that has drawn many people over to the side of fintech.

Various studies have shown that millennials traveling abroad are more likely to buy foreign exchange services, at least compared to other segments of tourists. There seem to be some contradicting reports on that front, but it’s definitely noticeable that millennials are also quite far of everyone else in terms of buying things like travel insurance and other packages.

What the Future Holds

It’s hard to predict how this is going to pan out in the near future, but it’s likely that both China and the West are going to tackle the problems they’re facing in this area in their own unique ways. The current situation is very consumer-centric though, and there is a lot more transparency and confidence across the board in all transactions at the moment. It’s also a situation driven by companies of all sizes – both small and large alike – and this is important for diversifying the market and ensuring that everyone is included. Check cool hotels in Austin if you are traveling Texas, USA. 

It’s very likely that fintech is not only here to stay, but that its influence is going to keep growing stronger in many fields. There are many benefits to reap from the integration of fintech practices into various areas – like travel – and those who put enough effort into this from an early stage are going to benefit a lot in the future. Hopefully these changes are going to impact everyone in a positive way, rather than leading to further market segmentation.