Pax2pay’s Data & Analytics Manager, Ibrahim Basmer, weighs in on the incoming future of travel.
Business and leisure travel are evolving fast. What was once predictable has now turned dynamic, shaped by flexible work, digitalisation, and rapidly advancing tech. At the heart of it all is smarter infrastructure, intelligent payments, and the growing role of agentic AI.
We spoke to a data leader driving innovation in the space, and here’s what OTAs, travel tech firms and payment providers should be watching closely.
Bleisure, Digital Nomads and the Rise of Work-from-Anywhere
In the short to medium term, the line between business and leisure travel will continue to blur. Demand is rising for packages that support digital nomads, remote workers, and those who mix business with downtime. Destinations outside major hubs are gaining traction as travellers seek longer stays in more flexible environments.
Areas that will show the most growth will likely come from digitally connected regions offering seamless infrastructure for remote working and extended travel, places that support the lifestyle shift as much as the logistics.
AI Will Continue to Dominate Strategy and Boardroom Talk
Expect a much deeper role for automation and AI. We’re heading into a situation where AI doesn’t just assist, it acts. From consumer-facing virtual travel assistants to B2B agentic AI that autonomously handles bookings, compliance, and spend management, travel is about to get faster, more personalised and far more efficient.
AI will increasingly profile travellers to deliver hyper-personalised experiences. Biometric check-ins, real-time itinerary updates, and AI-driven travel planning could be the new standard.
On the back end, agentic AI systems could handle everything from flight and hotel bookings to uploading sensitive visa documents securely to government platforms via encrypted API connections. That level of trust and security is no longer a ‘nice to have’, it’s a necessity.
How Tech Is Rebuilding B2B Travel Payment Infrastructure
Legacy systems are quickly falling away. Prepaid physical cards? Making a comeback in the B2C Travel space, but has fallen to the wayside in B2B payments. Modern travel runs on virtual cards, open banking, real-time data, and integrated platforms that connect finance and booking tools.
Expect more end-to-end platforms that blend booking and payments, powered by API ecosystems and embedded finance. Travel brands will increasingly unify expense, compliance and reconciliation processes in a single flow, removing the inefficiencies that once slowed everything down.
Partnerships and Ecosystems Are Driving Change
No single provider can modernise the full stack alone. Strategic partnerships are now the backbone of innovation in B2B travel. APIs, SaaS solutions and real-time data sharing are breaking down silos and enabling the free flow of information between teams, suppliers and systems.
The result? Faster operations, better fraud controls, and lower costs. Virtual cards play a key role here, giving OTAs more control, transparency and flexibility with supplier payments.
Payments: What Still Needs Fixing
Even in 2025, many workflows are still clunky. Manual invoicing and reconciliation remain common, slowing down teams and introducing risk. Disconnected systems add overhead and delay payment cycles.
The shift is moving towards automated, embedded payments and intelligent reconciliation. That’s where the real gains are: cutting out errors, boosting speed, and allowing travel brands to focus on growth, not admin.
Virtual Cards, FX Automation and Real-Time Payments
Virtual cards are no longer a trend; they’re standard. Single-use cards improve security and reconciliation. Multi-currency accounts reduce Foreign exchange (FX) exposure. Real-time payments and FX transparency are helping agencies and suppliers manage cash flows with greater confidence.
Knowing the exact conversion rate at the moment of payment helps eliminate uncertainty, reduce risk, and boost financial predictability.
Key KPIs to Track Payment Performance
To optimise payments, OTAs should be tracking:
- Cost per transaction
- Reconciliation time
- Virtual card adoption rates
- Chargeback rates
- Days payable outstanding
These benchmarks help uncover inefficiencies and give clarity on what’s working and what’s not in your payment process.
What OTAs Want from Payment Partners in 2025
OTAs are asking for better analytics. There’s a huge gap in the market for tools that show where money’s being spent, with which merchants, and what value is being returned.
A real opportunity lies in aggregated merchant data, automated payouts and smarter buy now, pay later (BNPL) integration. But the core remains the same: real-time reconciliation must be the foundation.
Future of Travel: Stay Flexible, Stay Smart
In the short term, political and economic pressure will push OTAs to tighten cost controls. Every pound or euro spent must deliver ROI. That means understanding where inefficiencies lie, minimising FX exposure and choosing localised payment systems where possible.
In the long run, AI will take over many routine processes. Expect full spend optimisation, automated fraud detection, and compliance systems that don’t just react, they predict.
To stay competitive, travel companies need flexibility and the right digital infrastructure. The winners will be those who build for tomorrow, not just today.
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