When it comes to the many facets of business travel, paying for everything has never been the most problem-free function. But while more progress is still needed, the growing sophistication of the latest solutions may be cause for some reasonable optimism.
“End-to-end payment solutions in travel are maturing rapidly,” says Ralph Kaiser, president and CEO of the global payment network UATP. “They are reshaping the entire airline distribution value chain, creating new efficiencies and revenue opportunities.”
Kaiser notes that with virtual cards and blockchain at the forefront, overall progress aligns with the industry’s push for seamless, personalized travel experiences from booking to settlement. As one example, he points to the recently announced collaboration between blockchain payments specialist Blockskye and United Airlines. In linking spending on consumer cards with business travel management, the platform allows travelers to use consumer credit cards to pay for business travel without compromising reporting or duty of care standards.
Amy Padgett, senior vice president, travel ecosystem at Center, the spend management software firm, agrees that modern booking trends are driving the need for innovative, end-to-end booking-to-settlement solutions. She says there is clearly a need to support all business travel bookings, regardless of where they originate, to achieve program savings and duty of care. “The rise of supplier-direct bookings continues to challenge the efficacy of managed travel programs, with blind-spend persisting despite traditional attempts to control it,” Padgett says. “Businesses that want to stay ahead are embracing connected travel solutions designed with payments at the core.”
The consequences of this shift are evident in Center’s Annual Expense Trends Survey. In this 2025 study, respondents indicated that more than 60 percent of employees bypass corporate booking tools and opt for consumer sites to book directly. “The rise in decentralized booking habits signals the need for modern travel management tools to support this evolving landscape,” Padgett advises.
Seamless Experience?
For business travelers, counting on a booking and payment experience comparable to what they find as consumers may not yet be a reality. But developments in this direction are changing the parameters.
“Digital-first automated solutions are consumerizing corporate travel, and business travelers now expect seamless experiences that mirror how they book and pay for travel in their personal lives,” says Lydie Charpin, senior vice president of corporate travel and B2B commercial card at Mastercard. “This shift is reshaping corporate policies and travel management systems, pushing businesses to adopt flexible, tech-driven approaches that enhance both efficiency and employee satisfaction.”
In fact, payment technology investments are driving innovation across the board, Kaiser maintains. In the case of blockchain technology, that means reshaping travel transactions through security, transparency and decentralized processing. “This technology will streamline global travel payments, support new loyalty programs, and establish a more efficient ecosystem for international travel transactions.”
Charpin singles out virtual cards as a great example of this transformation in action, with the adoption of mobile virtual cards (VCNs) surging. Mastercard research from 2023 showed 92 percent of travel decision-makers expressing interest in providing virtual corporate cards for employees within the next five years. On the plus side for virtual cards, Charpin says advantages include instant issuance, real-time spend tracking, and seamless integration with digital wallets. “These solutions are making corporate payments as effortless as tap-and-go transactions, all while ensuring compliance, security and greater visibility into spending,” Charpin notes.
Kaiser adds that virtual cards align with how businesses want to pay in today’s digital-first world, enabling faster settlements, improving fraud controls, and providing more transparent cross-border transactions. He points to the recent launch of UATP’s virtual credit card, which he indicates is seeing success in intermediary space while offering another option for payment with the latest technology.
The advantages offered by virtual cards are now being widely recognized, according to Duke Chung, co-founder of TravelBank, which U.S. Bancorp acquired in 2021. And these benefits apply to managers as well as travelers. “Virtual cards are game changers,” he says. “We’re seeing wide adoption for them, and that includes a lot of traction around business expenses. They really offer a safer and more efficient way to handle payments.”
Chung offers the example of creating recurring virtual credit numbers for employees to use during travel instead of general use credit cards, which travelers can spend in any number of ways. That means a greater level of control is established before the trip. Among other pluses, managers have the capacity to offer dynamic spending rules that can be built into the virtual card’s functionality.
The ultimate goal is a smoother experience for all concerned, Chung says. “We want to deliver a delightful end to end experience from booking to settlement to expense reimbursements,” he notes.
In addition to virtual cards, Charpin recognizes AI and automation as exceptionally exciting and important developments for business travel. “They are actively automating expense reconciliation, enforcing policy compliance in real-time, and providing intelligent recommendations for cost optimization,” she says. The shift is not only reducing manual processes and eliminating inefficiencies, it is also freeing up employees to be more productive, allowing them to focus their time on business priorities rather than tedious processes, Charpin adds.
Holding Back
Of course, plenty of work remains to be done, according to Padgett. “Adoption of corporate travel solutions has long been a challenge, driven by legacy systems that lack intuitive interfaces, comprehensive inventory selections and seamless agent support,” she says. To overcome this, she adds, companies need modern T&E tools that align with employees’ expectations for a consumer-grade experience.
“The biggest challenge we’ve always seen is that the systems are so fragmented,” Chung says. “You’ve got vendors out there just doing expense systems, and travel booking platforms and travel agencies that are sometimes together and sometimes separate, and then there are lots of different bank cards.”
He cites the example of a traveler having to log into several different systems to complete a trip. That could mean logging into one system to book travel, then using another app to do expense reporting and then another to look at accounting systems for reconciliation. “It’s just too much for the employee,” Chung says. “I think that the opportunity is there to develop one experience end-to-end that has all of this together in one place, making life easier not just for employees but also managers and procurement teams.”
An ongoing reality is the multi-dimensional nature of this whole area. “Travel payments have always been incredibly complex, and many newcomers in the market underestimate the technology and industry expertise needed to deliver fast, secure, and accurate solutions that integrate with other essential systems,” Kaiser says. He asserts that integrating new capabilities with existing infrastructure without disrupting operations requires a sophisticated payment technology provider with deep industry expertise. This would include the capacity to efficiently upgrade systems, balance innovation with practical constraints, and ensure seamless connectivity across payment networks. As one example, payment technology partners that automate data feeds can streamline billing and settlement, while secure integrations help businesses connect to any form of payment without adding operational friction.
Technology upgrades within the industry also need to be addressed, Kaiser adds. “Payment upgrades and options entering the IT queue as one of the last industry priorities can no longer be the norm,” Kaiser cautions. “The travel payment space is rapidly changing, and the industry needs to respond quickly.”
Moving Ahead
As the travel payment space of the future unfolds, it’s important to recognize that the definition of “program policy compliance” is evolving, Padgett notes. “Companies can now move beyond traditional solutions, securing corporate rates regardless of booking origin while achieving one hundred percent visibility across the entire managed travel ecosystem.”
Achieving that goal may mean placing a higher priority on engaging payment processes. “Business travel executives should prioritize scalable, API-driven platforms that support diverse payment methods and automate reconciliation,” Kaiser advises. “Partnering with payment experts who also understand the intricacies of travel technology can help travel businesses navigate complexities and optimize solutions.”
To this end, developing a dedicated payment strategy enhances broader objectives like cost reduction, efficiency, and solving distribution challenges. In turn, the strategy supports a focus on unlocking new revenue streams while improving operational performance and traveler experience.
“Looking ahead, we can expect technology to continue redefining corporate travel through automation, consumerization and integration,” Charpin says. She looks for digital payments, virtual cards, and AI-driven travel management to grow in importance, helping organizations strike the right balance between cost optimization and the traveler experience. “The future of business travel will be built upon smarter, more connected solutions that benefit everyone involved,” she says.
