Global Business Travel Association (GBTA) announced the 2024
Business Travel Index Outlook, released this week at the GBTA Convention in
Atlanta which predicts business travel
spending will reach $1.48 trillion by the end of 2024 - up from the
prior record of $1.43 trillion in 2019.
Growth is projected to continue annually, with business
travel spending projected to surpass $2.0 trillion by 2028. The report is
based on data from 72 countries across 44 industries and includes a survey of
4,100 business travelers from 28 global markets providing insights on travel
frequency, preferences, corporate card use and more.
“We are witnessing the expected rebound in the sector,
reflecting the resilience and adaptability of businesses and the value of
business travel worldwide,” said Suzanne Neufang, CEO of GBTA, who also reported
that the data is not adjusted for inflation.
The association said the predicted, continued rise over the
next few years illustrates a robust path forward for the business travel
industry as a result of “relative stability” across the global economy, the
remnants of pent-up demand and a return to pre-pandemic business travel habits.
Neufang however, cautioned, “We must remain vigilant and
adaptive to potential headwinds in this period of stabilization, as factors
such as changing economic conditions, technological advancements and
sustainability developments will also shape the sector ahead.”
In GBTA's regional analysis, Asia Pacific will come out on
top as the biggest spender on business travel this year, accounting for more
than 41 percent of the global spend in 2024. North America is expected to be
second, making up 26.7 percent of global spend, with Europe a close third,
accounting for 26.4 percent. Latin America is predicted to account for 3.6
percent and the Middle East, 2 percent.
Veronica Fernandez, senior vice president and head of North
America for Visa Commercial Solutions said in Atlanta, "The acceleration
of all things digital has created opportunities for technology to anticipate
new customer expectations and enable seamless, secure and flexible business
travel experiences. Everything from digital ticketing to virtual cards designed
for business travel has been reimagined to meet customers’ needs in a
digital-first world."
Based on the results of the traveler survey, the report
states that more than half of business travelers have their corporate credit
card loaded in a mobile wallet. But it varies by region, with the greatest
adoption in Asia Pacific, where 69 percent of respondents said they use their
corporate card in a digital wallet.
"I think it’s the way of the future, we’re going to see
much more of it," Fernandez added.
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