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HomeAirlinesQatar AirwaysAmadeus Research Looks at Importance of Transparent Pricing for Airlines

Amadeus Research Looks at Importance of Transparent Pricing for Airlines

(24 Nov 2021)
New research suggests travelers begin to abandon
bookings when FX fees reach 5% of the cost of a flight, with 14%
of travelers saying they have paid more than 10% of a flight’s
total cost in FX fees, often resulting from opaque fees levied by
financial intermediaries.

When booking flights, 89% of travelers would be
more likely to choose one airline over another if given the option
to pay in their preferred currency, highlighting the importance
attached to transparent pricing.

However, a new study from Amadeus reveals that
hidden charges often levied by financial intermediaries mean
travelers can face high charges for the privilege of paying in a
currency they understand.

More than a third of respondents have paid between
3-10% of the total cost of a flight to make the payment in their
own currency, with 14% having been charged more than 10% of the
total flight cost. The vast majority of travelers (76%) reported
unexpected FX charges when purchasing a flight.

Thai AirAsia Airbus A320 reg: HS-ABN departing DMK on 20 November 2021. Picture by Steven Howard of

Using a dummy airline website, Amadeus worked with
psychological research firm Innovationbubble to study travelers’
conscious and subconscious reactions to different levels of FX
fees. According to the research, travelers begin to notice FX fees
when they reach 3% of the total ticket price, with ‘alarm bells’
beginning to ring as the fee approaches the psychologically
important threshold of 5%. However, the overall cost of the flight
still remains the most important factor for securing a booking.

The survey results for this global study of 5,500
regular flyers includes respondents from India, China and Japan,
and has…

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