At the BayPay Forum, we continue to work hard to bring you more benefits associated with your membership. After the APSI event on Alternative Payments last week and the i7 Summit in France on Technology Innovations & Entrepreneurship, this time, thanks to the organizers, we have a 25% discount for the Airline & Travel Payments Summit 2010. This conference is highly regarded in the travel industry and we are fortunate we could obtain a 25% discount for the BayPay members.
Registration fees vary from $699 for Airline & Hotel professionals to $1,299 for Suppliers & Consultants without the discount so your fee as a BayPay member will be $525 or $975.
Here is more information about this event and if you are interested, you can register here to get your voucher for the conference. Looking forward to seeing you there. Here is the full agenda of the conference.
Airlines & Payments: forging a rationalized payments strategy
What happens when different parts of a business focus on different
priorities? This is often the case in the airline business where organizational
silos can be so focused on their own KPI's that they miss the bigger revenue
picture for the airline as a whole. One area where this proves true is payments.
Treasury, Finance, e-Commerce, Airports, Onboard, Procurement, Revenue Accounting, Financial Partnerships, Loyalty, Distribution, and Risk Management are just some of the departments within an airline dealing with payments. Many of these departments also have different or even directly opposing agendas when it comes to getting paid. For example, one part of the business may push to sell tickets via lower cost payment options (like PayPal, Envoy Services, UseMyServices, Moneta, among many others) whilst another part of the business pushes for payment of tickets via the airline's own co-branded credit card. The co-branded credit card may also have a higher cost of acceptance, as the issuing bank has to pay for the frequent flyer miles. (But, co-brands also generate huge revenues for airlines!)
For the last 24 months, credit card acceptance costs and credit card fraud have been at the top of airlines' list of cost-cutting items. The airlines have little room to reduce their "big 3" costs of Labor, Fuel, and Equipment. They also largely fixed their fourth biggest cost - Distribution - via full content deals with the Global Distribution Systems (GDS). This has left payment costs (i.e. credit card costs), which when fraud is included can be more than 5% of an airline's sales, as their largest area for cost-cutting. But, reducing airline payment costs is made more difficult due to entrenched silos within airlines and the complexity of airline sales.
One often over-looked payments-related issue that demonstrates the conflicts that exist between airline silos is the credit cards issued to the airlines' own employees for travel. Many (if not most) legacy airlines in North America and Western Europe issue American Express to their employees for company business. Yet American Express is often not these airlines' co-branded credit card partner. As a result, these airlines are sending a mixed branding message to their customers -
"Use our co-branded credit card, but we don't believe in the value of our own co-brand for our employees."
This is just one of many conflicts between airline departments - in this case between Procurement & Loyalty - when it comes payments. And, when you add-in items like accepting payments via travel agents, overseas distribution and foreign exchange risk, payments become a very potent mix for airlines! The opportunities not only to save money, but increase sales conversion (alternative forms of payments can help do this!) by having a clear payments strategy are easy to see, but only a handful of airlines have one.
Join us at the go-to event for all payments-related issues for airlines- The Airline & Travel Payment Summit (ATPS) on 30 November or 01 December 2010 in San Francisco. Reduced price registration is available for ATPS through Friday, 23 October 2010.
We hope to see you at ATPS in San Francisco!
When & Where
The BayPay Forum
If you are a member of the payment industry, you are invited to join BayPay, a networking group of the Silicon Valley focused on payments and composed exclusively of members in the payment community or investors in this area. If you are not yet a member and would like to join, reply to this email to get your free membership with a quick description on how you fit in the payment industry. Even after all these years, the payments industry is still expanding in both mature and emerging markets worldwide as the industry adapts to new market opportunities. New technologies including contactless cards, cell phone integration, biometrics, RFID and strong authentication are emerging and potentially creating new challenges for both financial institutions and their customers. Prepaid cards, gift cards, new forms of payment like PayPal, are all vivid demonstrations of the vibrancy of new thinking in the payments industry. With wireless ubiquity now essentially a reality, transaction aggregation and micro payments become a necessity. As the financial industry and merchants provide more and more services online, phishing emerges as a problem that requires more education and communication with consumers.
Objective BayPay's primary goal is to provide a face-to-face professional networking forum for the regular exchange of views on these issues among active professionals within the payments industry who are located in the San Francisco Bay Area. An online BayPay group on Yahoo! provides opportunities for members to interact among themselves between regular face-to-face meetings.
BayPay Is a joint initiative of Glenbrook, Edgar Dunn & Company and Daniel Chatelain from QSecure, Inc. that is open to other companies or individuals contributions.
Membership To ensure an appropriate level of professional participation, membership in BayPay group is by invitation only. BayPay members invite others to join based upon their own judgment as to who could best contribute to the group. To subscribe please go here.
Code of Conduct All information shared by BayPay members is considered their own personal opinion and does not represent the official position of any company. All member comments are not for attribution in any form whatsoever outside of the BayPay membership. While we would like any information exchanged in this forum or in our events remain private, members must understand that this is a semi-public group and there can be no assurance of confidentiality.