Travel and expense management software is primarily used by large organizations and travel management companies to manage and audit business travel expenses. Rising end-user demand for travel and expense management software is one of the most prominent factors, ensuring incremental market growth in the coming years. Travel and expense management through mobile apps is one of the recent trends observed in the T&E management software market. This trend can probably create security risks due to improper handling of devices.
Integration of travel and expense management Software increases the efficiency of an organization by eliminating errors and allowing smooth tracking of expenses through a streamlined reporting process. Automated expense recording and controlling features are a few more advantages offered by T&E management software. An increasing number of large organizations and travel companies are looking for better and more efficient management of their expenses and business tours. Additionally, mid-sized organizations are more welcoming towards T&E management software due to their higher inclination towards cost savings and enhanced operational efficiency.
The T&E management software market is segmented by deployment type into on-premise and cloud-based. Because of the lower cost of cloud-based services, the cloud-based segment is expected to lead the overall T&E management software market. Numerous companies are rapidly moving their data to the cloud, which has increased the growth of the cloud segment worldwide. However, the requirement of a high up-front cost, along with a complex setup and data security concerns, are some of the factors hampering the on-premises T&E management software market.
North America is expected to hold the largest market share in the global travel and expenses management software market due to the higher penetration of effective and automated back-office solutions in the region. The consistently increasing popularity of mobile devices for T&E management software, coupled with the presence of major players such as Apptricity Corporation and Coupa Software, Inc., is another prominent factor supporting market growth. Furthermore, an increasing number of startups in countries such as China, India, and South Korea, among others, is projected to ensure high market growth in Asia Pacific over the forecast period.
Major drivers of the T&E management software market:
- The emergence of Software as a Service
- universal demand for a cost-effective solution
- rising need to reduce operational costs and expenses in organizations
- Pricing strategies of vendors
- T&E management software is available as a mobile app.
- Transparency in operation
Major challenges in the T&E management software market:
High implementation and maintenance costs Installation of cloud-based travel and expense management software is found to be challenging in many organizations due to security and privacy concerns. In addition, a lack of skills impedes the installation of travel and expense management software in businesses and travel agencies.
The global T&E management software market is segmented on the following basis:
By Deployment Model
By organization size
- Small and medium-sized businesses
- Large-Sized Enterprises
- Banking, Financial Services, and Insurance (BFSI)
- Aerospace & Defense
- Public Sector
- IT & Telecom
- Retail and logistics
- Other (Manufacturing, Energy, Utilities, etc.)
- North America
- Rest of Europe
- Rest of Asia-Pacific
- Latin America
- Rest of Latin America
- Middle East and Africa
- GCC Countries
- South Africa
- Rest of Middle East and Africa
Key players identified in the T&E management software market:
Apptricity Corporation, Ariett Business Solutions, Inc., BasWare, Inc., Coupa Software, Inc., DATABASICS, Inc., Expense8, 8common Ltd., Fraedom UK Ltd., Insperity Payroll Services, LLC, Interplx, Inc., Oracle Corporation, Replicon, Inc., TriNet Group, Inc., Ellucian Company LP, and KDS, Inc., among others.