Fliggy has launched a payment by installment plan with zero down payment, significantly lowering the financial threshold for young people to travel the world. The longest repayment period is up to 12 months.
As the summer vacation high season approaches, airfare that usually constitutes the bulk of travel expenses may force many young people to hold their travel plans.
Fliggy, a comprehensive travel service platform under Alibaba, has launched a new service allowing people to purchase air tickets by installment with zero down payment, which helps to lower the financial threshold for young people to travel the world.
On Fliggy, people can select repayment duration through Huabei (Ant Credit Pay), a virtual credit card type of product under Alibaba Group’s affiliate Alipay that facilitates credit payments. There will be zero down payment and repayment can be set for 12 installments.
Fliggy’s new service is closely linked to the rising travel enthusiasm of young Chinese people living in small towns and the people born after 1995.
According to a 2018 travel report released by Fliggy, the platform’s users aged 24 and above increased by 42% year-on-year last year, and increase in outbound travel by this group was 39% higher than that of their domestic travel, and higher than the overall outbound travel growth of all age groups.
Thanks to more convenient visa process and added international flights, outbound travel from China’s third- and fourth-tier cities grew at a rate of 15% higher than outbound travel from all of China.
The handling fees for Fliggy’s payment by installment service is 15%-30% lower than similar rates in the market, according to the head of Fliggy’s transport business.