As digital technologies continue to evolve and the demand for efficiency and convenience in business grows, the popularity of virtual cards is expected to rise. Jonathan Davis, Head of Travel and North America at Conferma, highlights the benefits of virtual currency in the travel industry.
THE FUTURE OF CORPORATE TRAVEL PAYMENTS
Corporate travel payments are undergoing a profound transformation. With businesses striving to optimize operations and achieve growth, financial decision-makers, and travel managers are increasingly turning to virtual card technologies to streamline processes and enhance security.
In a recent survey of 400 global decision-makers commissioned by virtual payments provider, Conferma, nearly nine in 10 (88 percent) reported that they are either already using or actively considering virtual cards for their business payments. This shift underscores a growing realization: traditional payment methods are no longer aligned with the demands of modern business.
What is driving this surge in adoption? How can suppliers like travel management companies (TMCs) and hotels align with evolving corporate expectations?

UNDERSTANDING THE SHIFT TO VIRTUAL PAYMENTS
Rising costs and operational inefficiencies are two of the biggest hurdles modern businesses face.
Almost half (44 percent) of survey respondents named spiraling costs as their greatest threat to growth, while one-third saw inefficiencies in day-to-day operations as another significant barrier. Enter virtual cards – an effective solution to both challenges.
Unlike traditional credit cards, virtual cards are designed for single-use or limited transactions. When a virtual card is created, a unique card number is generated with a preset spending limit and time constraints.
These features provide finance teams with greater control and transparency over expenditures, helping businesses evaluate and manage costs in real time.
Additionally, virtual cards simplify the often time-consuming and costly reconciliation process. When a booking is made, a virtual card is generated with all transaction details appended. This means that when the card is charged, the associated data follows seamlessly, creating a smoother, more efficient reconciliation process.
Furthermore, the benefits of adopting virtual cards extend far beyond the finance department. On average, employees currently spend over three hours each week on financial tasks such as expense reporting, diverting valuable time away from their core responsibilities.
With virtual cards, travelers no longer have to worry about being left out of pocket. Instead, they can enjoy a simple, low-touch payment process that removes the need for cumbersome reimbursement procedures, improving productivity across the board.
Security is also a fundamental driver behind the growing adoption of virtual cards. As there’s no physical card to lose or steal, and every transaction is closely tied to purchase data, virtual cards significantly reduce the risk of fraud. In fact, among existing users, enhanced security and fraud prevention were most widely recognized as the primary benefits of virtual cards.
Investing in advanced payment technologies is already a well-established strategy for many organizations. 57 percent of surveyed decision-makers said they are actively allocating resources here to foster growth. Additionally, more than half believe that instant payments are the technological advancement that could significantly impact efficiency.
Juniper Research predicts that the value of virtual cards will more than triple in five years, growing to $6.8 trillion by 2026. With the benefits of security, control, and efficiency mentioned above, it’s easy to see why more and more businesses are turning to these payment solutions.
WHY THE TRAVEL INDUSTRY MUST EMBRACE CHANGE
The travel industry is navigating a rapidly shifting landscape shaped by digital transformation, increasing corporate demands, and a heightened focus on efficiency. As businesses seek smarter, faster, and more transparent ways to manage travel, virtual cards represent an attractive solution – and they expect suppliers to be ready to accommodate this preference.
For hotels, integrating virtual payment capabilities into their property management and central reservation systems is a vital step. As virtual cards are generated for a specific purpose, the booking data is linked to a unique card number when a reservation is made. As well as a seamless check-in experience, this means that payment is automatically reconciled with the relevant invoice when a guest checks out, streamlining the entire journey.
As the popularity of virtual cards grows, it’s not just hotels that will be expected to accept them either. 82 percent of decision-makers plan to expand their virtual card usage in the next 12 months, and many are already recognizing how virtual cards could be used to optimize payments across all pre-booked travel, including flights, ground transportation, and car rental.
THE GROWING IMPORTANCE OF VIRTUAL PAYMENTS
The shift to virtual card payments reflects a broader evolution in business operations. Beyond their practical benefits, virtual cards represent a new standard in corporate efficiency, security, and adaptability.
As businesses face mounting pressure to reduce costs and streamline operations, these tools have moved from being “nice-to-have” to a necessity.
For the travel industry, this evolution presents an opportunity to align with the changing expectations of corporate clients and reap the rewards of smoother processes and enhanced customer experiences.