Conferma launches hotel virtual card performance index

Conferma has launched a global benchmark for hotel virtual card payment performance. The index ranks payment reliability at the hotel level using transaction data.

The Virtual Card Performance Index gives each eligible hotel a score from one to 10 based on how consistently it processes virtual card payments. It uses aggregated transaction activity from across Conferma's network rather than surveys or stated hotel policies.

Conferma has also published its first benchmark report based on the index, offering an industry-wide view of how hotels handle virtual card payments in practice. It is intended to show differences between hotels and brands, and to highlight the gap between claiming to accept virtual cards and processing them reliably.

Virtual cards are widely used in corporate travel, where payment problems can disrupt travellers, travel agents and company buyers. The new index is intended to provide a common measure for travel management companies, corporate travel programmes and hotel groups when assessing supplier performance.

Early adopters include BCD Travel, Clarity and CTM, which are using the index in sourcing, booking and servicing workflows. That means the benchmark is being applied in operational travel settings from launch, rather than serving only as a reporting tool.

Neil Fyfe, Vice President, Payment and Expense Solutions at BCD, said the index builds on Conferma's earlier work on virtual card acceptance ratings.

"As an early adopter of Conferma's virtual card innovations, BCD is excited to bring customers the next evolution with VPI. We've learned and improved from the initial launch of the Virtual Card Acceptance Rating last year, and the industry's understanding of virtual card payments has evolved considerably in recent years as well. With VPI, we now have a shared benchmark to help the industry measure and improve payment experiences at scale," Fyfe said.

Clarity said the benchmark changes how suppliers can be assessed in corporate travel, framing the data as a way to compare hotel performance against a single market-wide standard.

"This is the first time the industry has had a shared benchmark for payment performance. That changes how we evaluate suppliers, and how we deliver value to corporate travel programmes," said Pat McDonagh, Chief Executive Officer at Clarity.

CTM highlighted the impact of payment failures on service teams and travellers. Greater visibility into how hotels handle payments can help identify problems before they escalate and support hotel sourcing decisions.

"Payment reliability directly affects traveler confidence, service efficiency, and the overall performance of a travel program. The VPI gives us objective data to identify friction before it becomes an escalation, make more informed hotel sourcing decisions and help our customers build more consistent, efficient programs," said Ken Augustine, Regional Head of Technology, North America at CTM.

How it works

According to Conferma, a hotel must have at least five virtual card transactions within the measurement window to be included. Each score combines two elements: payment delivery performance, which tracks how reliably payment details are delivered to and handled by the hotel, and payment completion consistency, which measures how consistently those payments are completed successfully.

Scores are calculated at the property level, with parent group views layered on top. They are updated monthly using a rolling performance window, so the ratings are intended to reflect changes in hotel performance over time rather than a fixed historical snapshot.

That property-level focus is significant because payment performance can vary within the same hotel group. For buyers and travel managers, a brand-wide acceptance policy may not reflect the experience at an individual property.

Market signal

Conferma, based in Manchester, provides virtual payment technology to banks, travel management companies and businesses. Its move into benchmarking suggests growing demand for more detailed operational data in corporate travel payments, particularly as virtual cards become more common in hotel bookings.

Mark Ledsham, Chief Executive Officer at Conferma, said the index shifts attention from nominal acceptance to actual payment outcomes.

"The industry has focused on acceptance. But acceptance doesn't equal performance," said Mark Ledsham, Chief Executive Officer at Conferma. "Visibility is the key to unlocking the real impact of reliable payments - and Conferma's VPI gives the industry a clear, objective benchmark."