What Travel Management Is All About

Mobile Payment -

How It Will Transform Corporate
Travel and Expense Management

Benefits

Knowledge about MP is very low. Only 5% of respondents say they would use MP on a regular basis. But expectations are high and opportunities are huge!

Advantage

When asked what the main advantage of MP will be for travelers, the most popular answer was that it offers a more convenient form of payment during a trip.

Expert View

Experts say MP will make travel management harder if it is not integrated into the travel program, but easier if it is integrated.

Future Payment

What will happen to plastic cards? ACTE buyer members were asked which payment methods they believe their travelers will be using in five years.

Will mobile payment make life easier for travelers in your organization?

43%
It will make
life easier
6%
Life will stay
the same
9%
It will make
life harder
42%
I don't know
Please tap chart for more information.

Benefits for Travelers

High Expectations,
Huge Opportunities!

High Expectations, Huge Opportunities!

Knowledge about mobile payment is very low. Only 5% of respondents say they would use mobile payment on a regular basis. But expectations are high and opportunities are huge!

Will mobile payment make life easier for travelers in your organization?

43%
It will make
life easier
6%
Life will stay
the same
9%
It will make
life harder
42%
I don't know
Please tap chart for more information.

Positive expectations

Will payment make life easier for travelers?
The expectations related to the traveler are relatively positive – despite the low level of knowledge. Nearly 43% think that MP will make life easier for travelers.

All the experts interviewed for this white paper are convinced that the new applications made possible by MP will produce significant benefits for travelers and travel managers alike.

For travelers, payment and expense management processes will be quicker and easier, and will lead to smarter decision-making. Perhaps even more importantly for travel managers, the attractiveness of MP should lead travelers to make more intelligent and compliant buying decisions without even realizing it.

What do you think will be the biggest advantage of mobile payment for corporate travelers?

57%
32%
11%
It will be
a more
convenient
form of
payment
during a trip
It will be
less work
to complete
expense reports
after a trip
It will be
easier to
comply with
corporate
guidelines
Please tap chart for more information.

Advantage for Travelers

Improved Convenience During the Trip!

All the interviewed experts are convinced that the new applications made possible by mobile payment will produce significant benefits for travelers and travel managers alike. For travelers, payment and expense management processes will be quicker and easier, and will lead to smarter decision-making.

What do you think will be the biggest advantage of mobile payment for corporate travelers?

57%
32%
11%
It will be
a more
convenient
form of
payment
during a trip
It will be
less work
to complete
expense reports
after a trip
It will be
easier to
comply with
corporate
guidelines
Please tap chart for more information.

Comfort

When asked what the main advantage of MP will be for travelers, the most popular answer among the buyer respondents was that it offers a more convenient form of payment during a trip (54%), followed by less work to complete expense reports after a trip (38%). "If security can be guaranteed, then it’s an easy decision to switch to mobile payments," commented one respondent. "The less manual paperwork the better for my travelers."
 
Just one example: Easier expense reporting – more flexibility
Data on a payment made through a plastic corporate card typically takes 24-48 hours to flow into an automated expense report.

An MP transaction can appear in a report in real time. As a result, travelers can manage their expenses immediately after paying for them, for example to assign different expenses to different project codes, or to indicate whether expenses are professional or personal.

Will mobile payment make it easier for companies to manage their corporate travel programs?

37%
I don't know
23%
Mobile payment
will make it harder
22%
It will stay
the same
18%
Mobile payment
will make it easier
Please tap chart for more information.

Expert View on
Mobile Payment

Expert View on Mobile Payment

Great for Travelers, Great for Travel Managers

Experts interviewed for the white paper say mobile payment will make travel management harder if it is not integrated into the travel program, but easier if it is integrated.

Will mobile payment make it easier for companies to manage their corporate travel programs?

37%
I don't know
23%
Mobile payment
will make it harder
22%
It will stay
the same
18%
Mobile payment
will make it easier
Please tap chart for more information.

Convincing

MP experts predict major benefits but buyers are worried. In a survey of ACTE buyer members commissioned for this white paper, 18% of respondents think MP will make travel management easier, while 23% think it will be harder, 22% think it will be the same and the rest don’t know.
 
Experts interviewed for the white paper say MP will make travel management harder if it is not integrated into the travel program, but easier if it is integrated.
Since the technology improves the experience of travelers, they will inevitably adopt it, bringing the advantages listed above for travel managers too. However, because MP is so attractive, travelers will adopt it whether it is part of the corporate process or not.

Nevertheless, MP will come along with so many technical opportunities – that are not seen by most of the people at the moment – but soon they will convince more and more people.

Which of the following payment methods do you think travelers in your organization will be using during business trips five years from now?

61%
89%
36%
26%
15%
Mobile
payment
Plastic
Corporate
Card
Plastic
Personal
Card
Cash
Hotel
billback
(invoicing)
Please tap chart for more information.

Payment of the Future

Corporate Cards and
Mobile Payment

Corporate Cards and Mobile Payment

What will happen to plastic cards? ACTE buyer members were asked which payment methods they believe their travelers will be using in five years.

Which of the following payment methods do you think travelers in your organization will be using during business trips five years from now?

61%
89%
36%
26%
15%
Mobile
payment
Plastic
Corporate
Card
Plastic
Personal
Card
Cash
Hotel
billback
(invoicing)
Please tap chart for more information.

Plastic will stay

The results clearly show that buyers fully expect travelers still to be carrying plastic cards. On this point, the experts agree. Plastic will continue to be important, if only for reassurance purposes and as a back-up in case the traveler’s phone fails. Some experts think plastic may disappear eventually, but only once consumers are fully comfortable with MP and all merchants are equipped with NFC terminals.

No one is prepared to put a date on that figure, but it is likely to be several years, if at all, before plastic cards disappear from travelers’ wallets and purses.

Imprint

Lufthansa AirPlus Servicekarten GmbH
Hans-Böckler-Str. 7
63263 Neu-Isenburg
Deutschland

Tel: +49 (0) 61 02 204 0
Fax: +49 (0) 61 02 204 349
E-Mail: info@airplus.com

Geschäftsführung: Patrick W. Diemer (Vorsitz), Klaus Busch
Vorsitzender des Aufsichtsrates: Stephan Gemkow
Handelsregister: Amtsgericht Offenbach/Main, HRB 8119
USt.-ID-Nummer: DE 811163358

Lufthansa AirPlus unterliegt der Aufsicht durch die
Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin)
Graurheindorfer Straße 108
53117 Bonn
Telefon: +49 (0)228 410 - 0
Telefax: +49 (0)228 410 - 81550

Lufthansa AirPlus Servicekarten GmbH
Hans-Böckler-Str. 7
63263 Neu-Isenburg
Deutschland

Tel: +49 (0) 61 02 204 0
Fax: +49 (0) 61 02 204 349
E-Mail: info@airplus.com

Geschäftsführung: Patrick W. Diemer (Vorsitz),
Klaus Busch
Vorsitzender des Aufsichtsrates: Stephan Gemkow
Handelsregister: Amtsgericht Offenbach/Main,
HRB 8119
USt.-ID-Nummer: DE 811163358

Lufthansa AirPlus unterliegt der Aufsicht durch die
Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin)
Graurheindorfer Straße 108
53117 Bonn
Telefon: +49 (0)228 410 - 0
Telefax: +49 (0)228 410 - 81550