Worldpay has looked at traveller payment preferences in six major markets and has found that the Chinese are now more likely to fund a trip on credit than Americans.
It found that 72% of Chinese respondents paid for their last holiday using a credit option.
It says that “Chinese spending habits are now much more closely related to those of their counterparts in the US than in other BRIC nations.”
By contrast, 67% of Indian travellers paid for their last trip from their savings.
Other headline findings from its “Why Do They Pay That Way” study found that 36-45-year-olds in China and the US were more likely to go into debt to travel than 26-35-year-olds, with the Chinese fortysomethings less credit averse than their US peers.
Worldpay also noted that Chinese are looking at alternative credit options – such as loans – with only 44% opting to use their card to pay for their next trip. Nearly nine out of ten Americans (88%) will pay using a credit card.
One in three Chinese would rather use online service Alipay, often referred to as “the Paypal of China” to pay for their trip, with one-in-ten opting for a domestic, pre-authorised debit card from UnionPay.
Elsewhere, three out of four Australians said they would be interested in paying in installments.
Phil Pomford, its APAC general manager for global ecommerce, said:
“While everyone wants to go on holiday, the way they pay for it varies remarkably from country to country. This is especially true in APAC where markets such as China and India have long preferred to use alternative payment methods, as opposed to traditional debit and credit cards.”
NB Image by tkacchuk/BigStock.com