Visa, ACTE Study: T&E Spending Soars

Annual spending on corporate travel and entertainment cards increased by more than 20 percent worldwide last year, with particularly strong growth of card spending in Asia, according to an Aberdeen Group study released this week of 263 business organizations.

The Global Commercial Payment Cards Survey—underwritten by Visa International and the Association of Corporate Travel Executives—showed corporate T&E card spending was up 44 percent in the Asia/Pacific region in 2006 compared with 2005. Spending in North America was up 22 percent and up 24 percent in Europe. Latin America's spending increase was 17.5 percent.

Two-thirds of companies surveyed indicated a stronger mandate for their corporate card programs was the key driver in increasing spending. Larger travel budgets and more cards issued to employees also drove up spend in Europe and Latin America, according to the study.

About one-third of North American companies surveyed said their card program has been in place for more than a decade, and 63 percent have had programs in place for more than six years.