Travel and Expense Management Software Market Dynamics
Drivers: Rising demand for mobile devices
Due to the great demand and low cost of smartphones, their use has increased globally, which has led to an increase in multi-platform software. This software was created to function on several devices while synching the user's data. Numerous businesses provide smartphone applications with information about users, their history, tickets, and offers in the global travel and expense management software market. The same businesses provide websites or online services with identical features. Many businesses are also looking into mobile app technology, system integrations, and real-time solutions to help staff complete tasks more quickly and effectively in light of the development of mobile computing, the cloud, and the ability to connect to business systems worldwide. Additionally, employers and organizations can benefit from using mobile expense applications, which is also a major factor in the expansion of the travel and expense management software market.
Restraints: Concerns about data breach
An expense management program keeps track of employee names, contact information, corporate credit card information, business-related activities, transaction statements, and financial history. As a result, businesses now consider expense management a crucial component and take great care when choosing a solution. Because travel and expense management software contains such sensitive corporate information, businesses worldwide give it little thought. However, hackers or cybercriminals use phishing, malware, social engineering, or related techniques to steal information from businesses and travel and expense management software. The ongoing worry about data breaches is therefore expected to limit the market growth for travel and expense management software.
Opportunities: The increasing elderly population
Several factors, including the presence of military outposts and postings, international exercises, and U.N. peacekeeping forces, contribute to an increase in military movement, whether internally or within a country. The military can offer travel allowance (T.A.) to the soldiers because of the growing budget for military expenses in numerous countries worldwide. Furthermore, the availability of SAAS for travel expense analysis and travel and expense management software on smartphones has allowed these programs to be used in the military. The bilateral connections between nations, which are constantly changing, enable their armed forces to engage in training exercises that help soldiers feel more confident, gain experience and strengthen the bonds between two armies. Additionally, expanding various armies' military bases on foreign planets enables warriors to roam the world. Thus, these factors have started to act as a driver for expanding the travel and expense management software market as the movement of the army, and army personnel has increased across borders.
The cloud category is estimated to be the largest growth in the travel and expense management software market during the forecast period
The cloud category dominated the market. It is anticipated that this market will witness considerable growth in demand over the next several years. This large percentage can be attributed to small and medium-sized businesses' widespread adoption of cloud computing. However, the lack of knowledgeable personnel and technical awareness required for the installation of the cloud-based platform is projected to pose difficulties for the cloud-based deployment type. Similar data security and privacy issues are anticipated to impede the segment's growth in the market. It is simpler for users to access the application remotely from many devices with cloud-based software.
Large enterprise is estimated to be the largest growing market category during the forecast period
The large enterprise category is projected to grow the fastest during the forecast period because more employees are traveling for work, leading to the widespread use of management software in large organizations. The fact that travel and expense management software generates precise and effective expense reports, streamlines bookings, expedites reimbursements and facilitates financial reporting also contributes to its growing popularity in large organizations. Then, it is anticipated that this will gain a sizable profit share, hastening the growth of the global market.
The North American segment is estimated to be the largest growing market during the forecast period
North America is the largest travel and expense management software market and is projected to grow at the fastest rate during the forecast period due to the increasing trend and popularity of cloud technology and mobile among businesses and the region's growing preference for travel and expense management systems. Additionally, as large businesses become more prevalent, there is a chance that management software will offer a more straightforward platform for creating expense reports and authorizing reimbursements. In light of the current global situation, this is then anticipated to accelerate market growth. In addition, it is predicted that the U.S. and Canada will see a significant increase in the development of cutting-edge technologies like machine learning and artificial intelligence, as well as a rise in the number of product launches and partnership agreements, all of which will increase the use of expense management software in these nations.
Key Market Players
The travel and expense management software market is dominated by a few global players and comprises several regional players. Some key manufacturers operating in the market are Webexpenses Pty Ltd, Inc., Concur Technologies, Inc., TripActions, Empxtrack Inc(Saigun Technologies Pvt. Ltd), Expensify, Inc., SutiSoft, Inc., GBT Travel Services U.K. Limited, Oversight Systems, Inc., Infor, Oracle, Emburse, Inc., Zoho Corporation Pvt. Ltd., TravelPerk S.L.U, ExpensePoint, Rydoo, 8common, and Coupa Software Inc., among others.
- In 2022, to provide its clients with the advantages of the business' integrated time and expense management system, DATABASICS Inc. teamed up with ERP consulting company Alta Vista Technology.
- In 2021, a fully integrated system that may revolutionize the traveler's experience and provide real-time travel expenditure optimization was introduced by Coupa Software Inc. as Coupa Travel and Expense. The solution has a more user-friendly design and can produce insights using A.I. about a traveler's prescriptions, the potential for savings, and industry benchmarks.
Global Travel and Expense Management Software Market – By Deployment Model
- Medium Enterprise
- Large Enterprise
- North America
- Rest of Europe
- Asia Pacific
- South Korea
- South-east Asia
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
- GCC Countries
- South Africa
- Rest of Middle East and Africa