Unlocking the hidden potential of hotel payments: 6 key challenges & best practices

What you’ll get in this guide:
- A deep dive into the biggest challenges in hotel payments
- An exploration of key best practices for hotels and travel technology providers to optimize their payment strategies
- Expert guidance on how to turn payments from a cost center into a growth driver.
The hospitality industry has made a strong comeback after the COVID-19 downturn, surpassing pre-pandemic revenue levels in 2023. In 2024, the industry generated $975 billion in revenue, with steady growth projected at 3.7% annually through 2029.
But while the industry is thriving, outdated hotel payment systems are creating major roadblocks. Hotels, property management systems (PMS), and travel platforms often rely on disconnected payment processes that lead to high costs, inefficiencies, and lost revenue opportunities.
Beyond the financial impact, poor payment experiences impact guests directly. 1 in 4 travelers faces booking difficulties due to payment issues, leading them to abandon reservations or switch to competitors. So while payments are often seen as a back-office function, they can be a strategic differentiator in boosting revenue, improving guest satisfaction, and staying competitive.