The payments ecosystem in Asia-Pacific is a coexistence of extremes. In some areas payments systems are among the most advanced in the world, facilitated by super apps, biometrics, and QR codes. On the other hand, a significant proportion of the population remains underserved by payments technology and rely heavily on cash. However, the tech takeover is rapidly swinging the balance in favour of digital payments. In Southeast Asia, around 50% transactions were completed with cash in 2019. The Bank of International Settlements reckons this figure will drop to 14% by 2027.
Aviation Festival Asia 2026 is fast approaching, and ahead of the event in Singapore we caught up with one of the moderators from our payments track, Kanika Mittal. A Partner at advisory firm Travel & Payments, Mittal is uniquely placed to offer insights on the dynamic payments landscape in this rapidly expanding region.
In aviation, all too often payments have been treated as a cost centre. But Mittal argues that it could be a key revenue lever as well, a useful tool in an industry that operates on narrow profit margins. Local payment methods, such as Indonesia’s GoPay or Thailand’s PromptPay, could be pushed by airlines far more effectively to improve decline rates.
The sale of ancillaries such as baggage and insurance could also be improved through payments. Mittal adds:
Payments-led ancillaries perform significantly better when the payment experience is more frictionless. Maybe you bought the ticket on a credit card, but local payment methods could be pushed with the ancillaries. Little things like these can start making a huge revenue uplift for airlines.
AI represents both a strategic advantage and a potential risk for the payments landscape. Mittal sees the greatest gains to be made in fraud prevention and personalisation — especially critical for attracting the younger generations who value tailored offers. Another function that could also be improved through AI is dynamic routing for a more seamless payments experience.
Dynamic routing processes a payment in the most cost-efficient and speed-efficient way. And that immediately increases your approval rates, and hence your revenue.
In today’s landscape, airlines must also implement effective payments across multiple channels beyond web storefronts. Travellers in mobile-savvy APAC are increasingly turning to apps to book their travel. As a judge at Aviation Festival Asia’s Battle of the Airline Apps, Mittal is on the lookout for an app that provides a seamless payment experience to rival retail giants such as Amazon.
I would also love to see an app that has local relevance. That could be through language, local payments, or local UX patterns.
Asia-Pacific is the world’s fastest growing aviation market. Airlines that adopt successful payments strategies and provide effective digital experiences will gain a significant advantage in this highly competitive region. Mittal concludes:
There are opportunities in plain sight for airlines, which could be key when even a 2% revenue increment is meaningful.
🎥 Watch the interview to hear Kanika Mittal’s full thoughts on the payments landscape in APAC.
Questions asked include:
- What is unique about the payments landscape in APAC?
- Are there any opportunities/quick wins in payments that you think the aviation industry is currently not taking advantage of?
- How do you see AI affecting payments? Will it be a help or a hindrance?
- What kind of product details do you think make for a winning airline app in APAC?
Join us at Aviation Festival Asia 2026, and don’t forget to cast your vote in our Battle of the Airline apps competition.
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