Bussiness
Global Business Travel Spending to Surpass 2019 Record
Global business travel spending is expected to reach a record high in 2024, exceeding the current record that was set in the pre-pandemic year of 2019.
The Global Business Travel Association (GBTA) said it expects global business travel spending to increase 11.1% in 2024, reaching $1.48 trillion by the end of the year and surpassing the record $1.43 trillion seen in 2019, according to a Monday (July 22) press release.
The association attributed the increase to relative stability in the global economy, lingering pent-up demand and recovery momentum, according to the release.
“We are witnessing the expected rebound in the sector, reflecting the resilience and adaptability of businesses and the value of business travel worldwide,” Suzanne Neufang, CEO of GBTA, said in the release. “With projected spending expected to continue to increase through 2028, the future of business travel looks promising.”
At the same time, Neufang cautioned that there are potential headwinds, including changing economic conditions, technological advancements and sustainability developments, per the release.
The GBTA also noted in the press release that when adjusted for inflation, spending levels are expected to lag pre-pandemic highs, meaning that business travel volumes are also below pre-pandemic levels.
The association also found that 76% of business travelers said they traveled as much or more than they did in 2019, that 81% said their most recent business trip was either very or moderately worthwhile in achieving business objectives, and that the most common purpose of business travel is attending seminars/training.
When it comes to payment methods for business travel, the GBTA found that 61% of global business travelers are given a corporate credit card and that 59% uploaded their corporate credit card to a mobile wallet.
“As business travel spending continues to expand, digital payments will continue to revolutionize the travel experience, making it effortless and secure to book and manage expenses,” Veronica Fernandez, head of commercial solutions for Visa, said in the release.
Delta Air Lines reported July 11 that business travel is surging, exceeding expectations with “mid-teens” growth.
“We expect the strong growth in business travel to continue, with 90% of companies in our recent corporate survey saying they intend to maintain or increase travel volumes in the back half of the year,” Delta President Glen Hauenstein said July 11 during the company’s quarterly earnings call.
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