REPORT: 2024 Business Spending Trends

With 85 million users globally, SAP Concur processes billions in spending each year and sponsors numerous ongoing research studies. This gives us a special ability to spot and track spending trends across a wide range of businesses, no matter their size or industry.

Below you’ll find some key insights we’ve drawn from early 2024 spend data and research. Use the insights as a handy reference point when evaluating your own company's spending habits and trends.

Let's take a look

Top 7 employee spending categories

Although many businesses around the world made a confident return to travel in 2023, the top expense categories have not changed in 2024 with only minor upward and downward trends identified for most. Of note, Miscellaneous/Other is still firmly positioned at the top of the list by a wide margin.

Consider:

• How does your own employee spending compare?
• Are you seeing shifts in your employee spend behavior that may require further analysis?

Average expense transaction costs

While the top expense categories noted above haven’t changed, the money spent in each has shifted, with some showing significant changes. Although some costs, such as Air and Lodging, may be explained by rising inflation, the real surprise is with the leap in Other and Miscellaneous spend.

Since 2019, the average transaction cost for ‘Other’ has jumped by 57%, and ‘Miscellaneous’ by 47%.

Suggested action steps:

1. Review your Miscellaneous and Other expenses – Are new expense categories needed and/or do your employees understand how to claim new types of expenses? Learn more about common expense categories.
2. Check your expense policy – Does your policy meet the needs of today’s ever-changing work and travel environment? Update your policy with our 2024 Expense Policy Template.

6th Annual Global Business Travelers Research Report

In an environment fraught with concerns over safety, costs, and sustainability, both companies and travelers must redefine flexibility and harness it to achieve their respective objectives.

Download Here

Business travel spending trends

As businesses continue to tighten spending in response to market uncertainty, business travelers are feeling the squeeze. A recent global business traveler study² sponsored by SAP Concur and conducted by Wakefield Research found that:

• 90% of employees have noticed their company cutting back on authorizing flexible travel options
• 25% have seen their company put a halt to adding personal travel to a business trip
• 64% have seen an increased focus on pre-travel approval

Read the full report.

Manual spend management risks

Has your company fully automated its expense, travel, and invoice management, and tapped into the advantages of artificial intelligence and machine learning? In addition to the impact of tighter travel spending on employee wellbeing, the Wakefield Research study identified three trends that may leave businesses with manual spend management processes exposed to greater risk.

2023 spending data shows:

• 17% increase in number of claims with missing receipts
• 29% increase in the amount of spend for claims with missing receipts
• 10% increase in the number of expense reports with exceptions

Consider:

1. Have you looked at your missing receipt and exception numbers lately? Learn about four types of expense report fraud to look out for.
2. Could automation, powered by artificial intelligence, help streamline processes while mitigating errors and unidentified fraud? Get the Comprehensive Guide to Expense Management with AI.

Make the best choice for your business

With SAP Concur’s AI-driven spend management ecosystem, investment in research, and extensive partner network, your business can stay ahead of unseen risks while ensuring every employee is able to do their best work.

See a demo to discover what’s possible for your team.