Out of the US$10 trillion contribution made by the travel and tourism industry, a good $1.10 trillion was contributed by business travel to the global economy in 2015, according to data published by Statista. Not only that, a much larger economic impact is expected going forward, given the expected rise of business travel in the coming years.
According to a new report, GBTA BTI™ Outlook – Annual Global Report & Forecast, released at the GBTA Convention 2017 by the GBTA Foundation, global business travel spending touched US$1.3 trillion in 2016, rising 3.5% from the previous year. The report went on to say that business travel spending is expected to increase 6.1% in 2018, followed by approximately 7.0% in both 2019 and 2020.
All these figures clearly indicate that business travel and business travel spending will only significantly accelerate in the coming years. Unlike leisure travellers, the expense incurred during business travel, including airfare, hotel stay, food, etc., are, in a number of maximum cases, not payable by travellers themselves but by their companies. This had restricted organisations when it came to sending employees abroad. However, due to the availability of cheap business flights, companies are not hesitating any longer to use their workforce to establish a stronger footing in the emerging markets, while sustaining the existing ones, says an expert at Cruxton Travel, a provider of affordable first class flight tickets and travel packages.
The business world is a web of strong professional relationships. However, these relationships are not restricted to one country alone.
Here’s a look at the factors that are leading to the rise of business travel globally.
3 Advantages of Business Travel
- Allows Networking: A business cannot succeed if its restricts itself from making new connections with people and markets. And, with increasing globalisation, the doors are now wide open for international clients, which is becoming a major reason for global business travel. While on a business trip, you’ll realize that right from the fellow passenger on a cheap business flight to a traveller you met at the hotel lounge, anyone can be your potential client.
- Helps you Make the Right Impression: We are living in times where technological advancements like video conferencing have worked to reduce the distance of miles to mere inches. However, when it comes to creating a good impression, so crucial to growing a business, nothing can compete with face-to-face meetings that allow the person sitting in front of you understand your business, its values and its offerings much better, minimizing the chances of misunderstandings.
- Gives a Sense of Ownership: While business travel can be a great opportunity for business executives to get a break from their regular office work, it is a great way to get employees to gain a sense of ownership by taking care of their own set of challenges at a different location, out of their comfort zone.
Supported by all these benefits, business travel will only rise and the availability of cheap flight tickets will only help its popularity.