Airlines lose $20 billion annually—3 percent of their annual revenue—in costs related to payments from airline booking transactions, largely due to the high use of credit cards. A recent report by McKinsey partner Riccardo Boin and coauthors highlights how innovation in payments could help airlines to improve customer experience, grow an additional $14 billion in value, and decrease costs.
![Payments could create an additional $14 billion in value, while achieving the full potential of $40 billion from airline retailing.](/~/media/mckinsey/featured%20insights/charting%20the%20path%20to%20the%20next%20normal/2022/nov/gifs/cod-payments-ex1-v2-st-shrunk-timed.gif)
To read the report, see “Airline retailing: How payment innovation can improve the bottom line,” September 9, 2022.