Using payments to power growth

Across the world, the global hospitality industry is worth trillions of dollars and growing. In the UK alone, the Government estimates the sector was worth £69.5 billion in 2025, with more than 170,000 businesses employing 2.6 million people.

And while there are plenty of reasons to be cheerful and optimistic, there are warning signs.

“The are definite headwinds for the hospitality sector,” says Paul Ferguson, Head of Enterprise Hospitality at Elavon Europe.

The advent of AI

“The cost of labour, supplies and more is having an impact on everyone’s bottom line.

“Now is the time of offering great experiences. The cost-of-living crisis has resulted in a shift in consumer spending behaviour.

“Many people feel they have less to spend on day-to-day expenses but still want to enjoy a night out.

“There’s a trend for having fewer but higher-quality experiences. That’s a challenge but one that presents opportunities for everyone in the hospitality sector.

“The emergence of generative AI is going to unlock significant new opportunities for the sector. Some already apparent and others that will only become clear as the technology continues to improve.”

Maintaining standards and offering an unforgettable experience all while protecting your profits is the challenge. At Elavon we call it optimisation.

Payments sit at the heart of almost every guest interaction, from booking a room to buying a drink, check-in to check-out. So how can you use that to your advantage?

Modern payment terminals now do far more than accept cards. They integrate with point-of-sale and property management systems, support contactless and mobile wallets, and enable real-time reporting. This means fewer errors, faster transactions and better visibility into what’s happening on the shop floor.

Reduce friction, gain insights

Remove one of your pain points with automatic reconciliation. Integrated payment solutions allow for real-time logging of transactions, matched up to receipts and reported back to head office without any manual input.

Not only does this save time; it reduces risk. When payments are processed and settled quickly, cashflow improves. When reporting is accurate, compliance becomes easier. And when staff aren’t bogged down by administration, they can focus on what matters: serving guests.

Another often-overlooked benefit of modern payments is the data they generate.

Want to know which times of day are busiest in your bar? Which products and services are most popular with American visitors? Payments data can answer these questions and more.

Bringing your online payment gateway, and in-person acquiring, under one roof, brings this rich pool of data together, allowing for even better insights.

Frictionless payments reduces those moments of hesitation, encouraging both impulse purchases and repeat visits. In a market where differentiation is hard to come by, offering a seamless way to pay can be a real competitive edge.

But optimisation is also a balancing act. Approve too many risky transactions and you’ll see an increase in fraud rates and costly chargebacks. Decline too many genuine payments you run the risk of losing sales and upsetting loyal guests.

Making the most of your payments system offers a practical way to reduce costs, at a time when margins are being squeezed.

Ultimately, it’s not just about speed – it’s about efficiency and insights. It’s about turning a routine transaction into a moment of value. So, the next time you’re reviewing your operations, don’t overlook the checkout. It might just be the smartest place to start.

To help hotels and restaurants, Elavon has produced the Ultimate guide to hospitality. Download your free report now to better understand how you can get the most out of payments.

U.S. Bank Europe DAC, trading as Elavon Merchant Services, is a credit institution authorised and regulated by the Central Bank of Ireland. Authorised by the Prudential Regulation Authority. Subject to regulation by the Financial Conduct Authority and limited regulation by the Prudential Regulation Authority. Details about the extent of our regulation by the Prudential Regulation Authority are available from us on request.