A new study from Juniper Research has found that the total volume of virtual card transactions will reach 175 billion by 2028; rising from 36 billion in 2023. Growing by a significant 388%, the market will be accelerated by the adoption of API (Application Programming Interface) virtual card issuing platforms.
A virtual card uses a randomly generated and generally temporary card number linked to a payment account, which is used to process payments in lieu of genuine payment details. Virtual cards provide a secure and fast way to distribute funds, while effectively managing spending limits.
The report identified easy-to-use API platforms, which allow businesses to establish a virtual card programme that they can deploy easily and scale alongside their needs, as a key development driving virtual card growth.
Research author Daniel Bedford commented: “By offering Banking-as-a-Service APIs featuring virtual cards, vendors such as Stripe empower businesses to launch their own virtual card programmes. We recommend that virtual card vendors focus on API-enabled models, to maximise the flexibility virtual cards provide.”
Another key success factor identified by the report was the readiness of a virtual card platform to easily integrate within an organisation’s own software and established infrastructure. For example, procurement-focused virtual cards need to integrate with accounts payable software in order to automate renewals, log payments and generate digital receipts. Virtual card vendors must therefore integrate with a wide range of third-party software systems across key verticals of interest, in order to maximise their success.
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Find out more about the new report, Global Virtual Cards Market 2023-2028, or download a free sample.
Banking 4.0 – „how was the experience for you”
„So many people are coming here to Bucharest, people that I see and interact on linkedin and now I get the change to meet them in person. It was like being to the Football World Cup but this was the World Cup on linkedin in payments and open banking.”
Many more interesting quotes in the video below:
