by Donald Wood
Last updated: 9:02 AM ET, Mon November 22, 2021
A new study found that global business travel spending is expected to make a full return in 2024 when the sector returns to pre-pandemic totals.
According to a report from the Global Business Travel Association (GBTA), the business travel industry declined by 53.8 percent in 2020 to $661 billion, but started to bounce back in 2021 by jumping 14 percent to $754 billion.
While 2021 saw the restart process slowly kick into gear, the GBTA is predicting a year-over-year surge of 38 percent and an increase in business travel spending to around $1 trillion. In 2023, officials said global spending is expected to rise 23 percent year-over-year.
Finally in 2024, the GBTA is forecasting global business travel making a full recovery and ending the year at $1.48 trillion or just above the 2019 pre-pandemic spend of $1.4 trillion. The industry will follow the success up with a forecasted $1.5 trillion in spending for 2025.
"Of any year we've issued the BTI Outlook forecast, this one was the most anticipated and it's no surprise," GBTA CEO Suzanne Neufang said. "The business travel industry recognizes there are factors, related to COVID-19 and beyond, that could impact the road ahead over the coming years."
"However, there is optimism overall as the industry, companies and travelers worldwide lean into recovery and the much-needed return to business travel," Neufang continued.
The GBTA also found several major hurdles left for the global business travel sector to overcome, including COVID-related threats and disruptions, supply chain strains, labor shortages, long-term cuts or elimination of business trips and travel volume and more.
Of all the regions leading the charge in business travel, North America rebounded 27 percent in 2021, while business travel markets in Latin America, the Middle East and Africa (MEA) and Asia-Pacific (APAC) all picked up 15-20 percent growth this year.
The study also found that 86 percent of respondents reported they need travel to accomplish their business goals, with 54 percent saying they miss traveling and hope to hit the road more often in the future.
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