3 Reasons Virtual Credit Cards Will Become a Leading Corporate Travel Payment Option in 2016

As corporate travel programs globalize—or otherwise become more strategic and complex—travel managers seek universal payment solutions that are convenient, flexible, and secure. More traditional payment methods like corporate credit card programs and central corporate billing arrangements tend to pose challenges as business travel priorities shift to accommodate organizational growth. What once worked well to control travel spend and drive revenue now falls short of expectations, leaving room for new solutions.

Digital Innovation For Today’s Corporate Travel Manager

Enter the virtual credit card, a progressive corporate payment method picking up speed worldwide. Its adoption has been spurred along by business’ increasing demand for process automation and enhanced data—both required to support and simplify a strategic travel program.

Virtual credit cards are an electronic B2B payment solution designed to pay suppliers across the travel spectrum, and they complement an existing commercial card program or work well as a standalone solution. Here are three top reasons corporate travel managers will give virtual cards a place in their payments mix in 2016:

1. Virtual Payments Reduce Fraud

Evidence of costly credit card fraud makes its way into the headlines often enough—that’s because physical, plastic cards can be easily lost or stolen. And credit card numbers themselves can be copied during a security breach and used to make unauthorized purchases. A virtual card number, on the other hand, is valid for a single purchase and becomes invalid after use. What’s more, only approved charges can be billed to the virtual card number. This gives travel managers more control over when and how their virtual card account is accessed and removes the risks associated with travelers carrying cards or cash.

2. They’re Perfect for Infrequent Travelers

It’s unlikely that every employee in a company has access to a corporate credit card. Consider new hires, interns, contractors, and even clients who are sent out of town on company business. Rather than asking them to use a personal credit card or dealing with the hassles of invoice-based travel payments, travel managers can make their travel arrangements using a virtual credit card. This helps limit the number of corporate cards floating around the world and makes travel payments and expensing more convenient for employees who may (or may not) be accustomed to working away from the office.

3. Virtual Cards Offer Next-Level Control

With the ability to set comprehensive controls for each virtual credit card number, travel managers enjoy an unprecedented level of payments-related customization. They can specify spend amount, merchant or merchant category, and even specific payment date. Aside from ensuring compliance with T&E policies, the detail makes it easier for administrators to match payments to original booking, reconcile travel expenses, and evaluate travel spend.

For deeper insights into virtual cards’ strategy-boosting power, read Book Hotels Smarter with Virtual Cards and Introducing a New and Unique Solution to Maximize Per Booking Profitability.