Alternative B2B Travel Payment Solutions Answer Industry Call for More Flexibility

Players across the global travel industry are grappling with stricter supplier payment terms. Not only is the marketplace becoming more regulated, but TMCs are under pressure to remain profitable amidst decreasing per-booking margins and increased competition. It all makes achieving operational efficiencies and maximizing cash flow more important than ever—and drives the demand for innovative solutions that make a bottom-line impact.

Fortunately, technology is enabling travel companies to satisfy time-sensitive payment terms while delivering incredible organizational value in the process. Alternative payment solutions are helping TMCs rise to their biggest challenges by empowering them to:

• Make Immediate Payments While Maintaining Cash Flow

Alternative solutions that incorporate a credit account can be used to pay suppliers at intervals as required—without draining cash resources. As such, this credit facility helps travel companies maintain positive working capital.

• Offer Competitive Prices

Price-conscious travelers in both the leisure and business markets are becoming more adept at finding the best flight deals. This puts pressure on suppliers and intermediaries, whose hands might be tied by squeezed margins, to serve up competitive price points. Virtual payment options can cut the 2% European surcharge for organizations looking to improve cash flow and per-booking profitability.

• Settle in the Supplier’s Home Currency

Leveraging an alternative payment solution, travel professionals can be billed in their own currency while settling the transaction in the supplier’s home currency—without FX of conversion fees. That means fewer errors, and a less-costly reconciliation process, for both sides of the accounting equation.

Improve Cash Flow and Save Money with WEX

The signal is out for more flexible payment options. WEX customers can improve financial efficiency using credit, debit and prepaid solutions which are either pre-funded or come with a credit line. Aside from providing secure, immediate and multi-currency capabilities, the solutions lead to even more savings through data analytics, better visibility, and automated transaction reconciliation and reporting. Learn more about WEX’s Travel Payment Solutions, and how we can help your organization.