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Business travel in the U.S. - statistics & facts

How much does business travel contribute to the u.s. tourism sector, most expensive u.s. business travel destinations, key insights.

Detailed statistics

Business travel spending in the U.S. 2010-2025

Number of business travel jobs in the U.S. 2019-2021

U.S. inbound business travel spending 2020, by source region

Editor’s Picks Current statistics on this topic

Current statistics on this topic.

Business Travel Spending

Global business travel spending 2001-2022

Top U.S. travel management partners 2020

Online Travel Market

Leading travel companies worldwide 2022, by sales

Related topics

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• Travel and tourism in the U.S.
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Recommended statistics

• Premium Statistic Global business travel spending 2001-2022
• Basic Statistic G20 nations: business travel spending 2021
• Basic Statistic Share of tourism spending in leading global travel markets 2022, by type
• Premium Statistic Number of business travel jobs in the U.S. 2019-2021
• Premium Statistic Readiness of U.S. travelers to take business trips 2021

Expenditure of business tourists worldwide from 2001 to 2022 (in billion U.S. dollars)

G20 nations: business travel spending 2021

Expenditure of business tourists in G20 countries in 2021 (in billion U.S. dollars)

Share of tourism spending in leading global travel markets 2022, by type

Distribution of leisure and business travel spending in the leading travel markets worldwide in 2022

Number of jobs supported by business tourism in the United States from 2019 to 2021, by segment (in 1,000s)

Readiness of U.S. travelers to take business trips 2021

Willingness to travel for business purposes in the United States as of October 2021

Volume of business tourism

• Premium Statistic Business travel volume in the U.S. 2010-2021
• Premium Statistic Growth rate of domestic business trips in the U.S. 2017-2026
• Premium Statistic Inbound business tourism volume in the U.S. 2011-2021
• Premium Statistic Main source countries for U.S. inbound business travel 2022
• Premium Statistic Average monthly trips by U.S. business travelers 2022, by type

Business travel volume in the U.S. 2010-2021

Number of trips made by business tourists in the United States from 2010 to 2021, by main destination (in millions)

Growth rate of domestic business trips in the U.S. 2017-2026

Percentage change in the number of trips made by domestic business tourists in the United States from 2017 to 2022, with forecast until 2026

Inbound business tourism volume in the U.S. 2011-2021

Number of business visitor arrivals from overseas to the United States from 2011 to 2021 (in 1,000s)

Main source countries for U.S. inbound business travel 2022

Leading countries of origin for overseas business visitor arrivals in the United States in 2022 (in 1,000s)

Average monthly trips by U.S. business travelers 2022, by type

Expected average number of trips per month by business tourists in the United States as of September 2022, by type

Business travel spending

• Premium Statistic U.S. inbound business travel spending 2010-2021
• Premium Statistic U.S. inbound business travel spending 2020, by source region
• Premium Statistic Main source markets for U.S. inbound business travel spending 2020
• Premium Statistic U.S. outbound business travel spending 2010-2021
• Premium Statistic Main recipient countries of U.S. outbound business travel spending 2020
• Premium Statistic U.S. domestic business travel spending 2019-2026
• Premium Statistic Daily business tourism expenses in the United States 2018-2021
• Premium Statistic Highest-priced U.S. business travel destinations Q4 2022

U.S. inbound business travel spending 2010-2021

Expenditure of international business tourists in the United States from 2010 to 2021 (in billion U.S. dollars)

Expenditure of international business tourists in the United States in 2020, by region of origin (in million U.S. dollars)

Main source markets for U.S. inbound business travel spending 2020

Leading countries for international business tourism in the United States in 2020, by share of total spending

U.S. outbound business travel spending 2010-2021

Expenditure of international business tourists from the United States from 2010 to 2021 (in billion U.S. dollars)

Main recipient countries of U.S. outbound business travel spending 2020

Leading countries of destination for business tourists from the United States in 2020, by share of total spending

U.S. domestic business travel spending 2019-2026

Expenditure of domestic business tourists in the United States from 2019 to 2022, with forecast until 2026 (in billion U.S. dollars)

Daily business tourism expenses in the United States 2018-2021

Average business travel cost in the United States from 4th quarter 2018 to 4th quarter 2021 (in U.S. dollars per day)

Highest-priced U.S. business travel destinations Q4 2022

Most expensive cities for business tourism in the United States in 4th quarter 2022, by average daily cost (in U.S. dollars)

• Premium Statistic Biggest corporate travel spenders in the U.S. 2022, by booked air volume
• Premium Statistic Top U.S. travel management partners 2020
• Premium Statistic Favorite hotel brands for corporate travel during COVID-19 in the United States 2021
• Premium Statistic Predictions on reduction of U.S. corporate travel spend due to green goals 2025
• Premium Statistic Predictions on corporate travel spending in the United States 2022, by destination

Biggest corporate travel spenders in the U.S. 2022, by booked air volume

Leading companies for business travel spending in the United States in 2022, by booked air volume (in million U.S. dollars)

Leading travel management companies in the United States in 2020, by number of top partnerships

Favorite hotel brands for corporate travel during COVID-19 in the United States 2021

Best hotel brands amid the COVID-19 pandemic according to business travel managers in the United States as of September 2021

Predictions on reduction of U.S. corporate travel spend due to green goals 2025

Expected impact of companies' sustainable initiatives on business travel spending in the United States in 2025

Predictions on corporate travel spending in the United States 2022, by destination

Expected change in international business travel spending according to travel managers in the United States in 2022, by region of destination

Bleisure travel

• Premium Statistic Adoption of digital nomads' way of living in the U.S. 2022
• Premium Statistic Major reasons to take bleisure trips for U.S. business travelers 2022
• Premium Statistic Favorite trip length for U.S. bleisure travelers 2022
• Premium Statistic Favorite countries for U.S. Americans to work remotely 2021
• Premium Statistic Most important features at accommodations for U.S. bleisure travelers 2022

Adoption of digital nomads' way of living in the U.S. 2022

Share of employees planning to adopt a digital nomad lifestyle in the United States as of February 2022

Major reasons to take bleisure trips for U.S. business travelers 2022

Main motivating factors to combine business with leisure trips for corporate travelers in the United States as of February 2022

Favorite trip length for U.S. bleisure travelers 2022

Preferred length of stay for trips combining business with leisure activities in the United States as of February 2022

Favorite countries for U.S. Americans to work remotely 2021

Preferred international workation destinations for remote workers from the United States as of December 2021

Most important features at accommodations for U.S. bleisure travelers 2022

Preferred accommodation amenities for bleisure tourists in the United States as of February 2022, by utility score

Travel behavior of remote workers

• Premium Statistic Workation destination choice of remote workers from the U.S. 2021
• Premium Statistic Motivations of U.S. Americans who work remotely to choose workation 2021
• Premium Statistic Duration of workations by U.S. Americans who work remotely 2021
• Premium Statistic Main concerns of U.S. remote workers when picking workation lodging 2021
• Premium Statistic U.S. remote workers' satisfaction with workation experience 2021

Workation destination choice of remote workers from the U.S. 2021

Distribution of remote workers from the United States as of December 2021, by destination type

Motivations of U.S. Americans who work remotely to choose workation 2021

Main reasons to combine work and leisure travel for remote workers from the United States as of December 2021

Duration of workations by U.S. Americans who work remotely 2021

Preferred length of trips involving work and leisure for remote workers from the United States as of December 2021

Main concerns of U.S. remote workers when picking workation lodging 2021

Main considerations to choose an accommodation for work and leisure travel by remote workers from the United States as of December 2021

U.S. remote workers' satisfaction with workation experience 2021

Evaluation of trips involving work and leisure by remote workers from the United States as of December 2021

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25+ Essential Business Travel Statistics [2023]: How Much Do Companies Spend On Business Travel

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Research Summary. Whether you’re flying out of town for that important business meeting or simply attending an annual workshop, business travel is an important part of any big company’s protocol. When it comes to business travel, our extensive research shows that:

Business travel in the U.S. from domestic and international travelers amounts to around $387 billion in annual revenue .

While business trips currently account for roughly 12% of total U.S. air travel , they make up to 75% of airlines’ profits .

At least 35% of U.S. businesses engage in business travel.

From 2019-2020, the number of business trips taken in the U.S. dropped from 464 million to 185 million .

The average business trip costs Americans $949 in travel fees .

General Business Travel Statistics

Knowing that business travel accounts for up to 75% of air travel revenue, it’s not hard to see why it’s encouraged. In fact, business travel is so lucrative that it even affects the U.S. GDP. Here are the facts:

In 2016 alone, business travel contributed $547 billion to the United States’ total GDP.

That’s around 3% of the total GDP, a number which stayed rather stable until 2020 when the COVID-19 pandemic negatively affected business travel. In reality, these high numbers might never return, as experts predict 36% less business travel post-COVID.

In 2022 business travel accounted for 12% of U.S. air travelers.

In 2022 there were over 460 million business travelers, which is a noticeable increase from 2020’s drop to 185 million. However, both years have had a relatively even share of business travelers (around 12-13%).

Business travel can account for up to 75% of an airline company’s revenue.

This trend can mostly be attributed to the booking of first-class tickets. Instead of saving money on business trips, more and more corporations are looking to provide their travelers with maximum comfort and convenience. While doing so makes the company look better, these decisions are mostly made due to competition.

Business travelers account for as much as 40% of hotel guests.

63% of these travelers are male, and 50% are between 35-54. Further, 56% of these individuals are employed in a professional or managerial position that earns them at least $127,000 per year.

Business Trip Statistics

Now that we know how profitable and common business trips are in the U.S., what does the average business trip look like? Well, according to our extensive research:

The average length of a domestic business trip in the U.S. is three days.

The average length for an international trip is 5-6 days. Overall, these numbers seem to slowly decline over time, with the old average (2016) for international business trips being just over six days.

Roughly 26% of business trips are only one day long.

This is another contributing factor for companies’ high cost of business trips, as same-day flights can wrack up costs. However, this does save the company money elsewhere (lodging, food, etc.).

38% of U.S. business travel is for meetings and events.

ME&I travel ( meetings , events, and incentive travel) amounts to $139.3 billion of all business travel spending, nearly 42% of total business travel spending.

Roughly 1.3 million business trips are taken in the U.S. every day.

A number that took a hit from the 90% reduction in travelers in 2020. While these numbers may not recover to pre-COVID numbers, 2021 has increased.

Business Travel Spending Statistics

As shown, a good percentage of businesses invest in business travel despite the cost. However, you might be surprised to learn just how much business travel costs companies and employees. According to our extensive research:

The average three-day domestic trip costs between $990-$1,293.

While the average international trip costs an average of $2,600 or more. For this reason, business trips need to be especially valuable for the company or employee taking them.

The average company spends 17-27% of its total travel budget on airfare.

You might be surprised to learn that airfare isn’t the most expensive part of business travel. Overall, the average domestic flight is $470, give or take how far away the destination is.

Over 20% of a typical business travel budget goes to food expenses.

That’s even more than flights and can amount to hundreds of dollars in expenses. One of the best ways to avoid this hefty cost is to utilize free hotel breakfasts. After all, never buying breakfast is a great way to cut food expenses.

The most expensive aspect of a business trip is lodging, making up around 34% of total costs.

Hotels make a lot of money from business travelers and the companies who sponsor their trips. This is especially true given the fact that up to 40% of hotel guests are business travelers.

Companies spend roughly $799 per person per day during a business trip.

Business Traveler Statistics

Because only 35% of companies actively partake in business travel, and it can be rather expensive, the demographics of travelers can be rather skewed. According to our research:

At least 50% of business travelers are between 35-54.

Undoubtedly, this abundance of higher ages relates to an employee’s position within the company. Older workers are more likely to have high-level positions . This can also be shown by the fact that 56% of business travelers hold professional or managerial positions that earn at least $127,000 per year.

The average business traveler takes roughly 6.8 trips per year.

And this number is even higher for millennials , who take an average of 7.4 trips per year. In that way, younger generations take more business trips on average (per person) than their older counterparts.

47% of female travelers are traveling on business.

While female business travelers are slightly less common than male travelers, women (on average) tend to enjoy their trips more than their male counterparts. Overall, 45% of women have positive experiences while traveling on business compared to 39% of men.

As of 2021, only 12% of corporate travel representatives feel as though their employees are unwilling to travel.

And with new CDC travel guidelines in 2021, 61% of employees now feel somewhat more comfortable traveling for business.

It takes an average of 38 minutes to complete and correct one expense report.

While it only takes 20 minutes (on average) to complete the expense report , at least 19% of expense reports have errors. Plus, with an average of 1.5 travel expense reports filed per month, that means employees can spend up to an hour filing them each month.

Business Travel Company Policy Statistics

Due to the potentially expensive nature of business travel, it’s no surprise that companies create business travel policies. Here are some stats related to business travel policies:

72% of corporate travel managers haven’t achieved their desired travel policy compliance level.

For the most part, this lack of compliance is due to shortfalls in the traveler ’s experience, fairness and transparency, and not meeting budget requirements.

Only 50% of business travelers follow their company’s travel policy.

In fact, 60% of business travelers don’t even understand their company’s travel policy, making it especially difficult to follow.

81% of business travel is done via personal vehicle.

By contrast, only 16% of business travel is air travel . That means most business travelers travel to their destination by car.

90.6% of corporate travel managers agree that business travel is vital for company growth.

And this sentiment comes from a genuine place, as on average, businesses earn a $2.90 increase in profit for every dollar spent on corporate travel. That equates to an average $9.50 increase in revenue.

Business Travel Trends and Projections

The 2020 height of the COVID-19 pandemic took a major toll on business travel. While business travel has started to recover in 2021, the number of travelers is still around half of what it was pre-COVID. After extensive research, here are the facts about business travel trends:

From 2019-2020, the number of business travelers in the U.S. dropped from 464 million to only 185 million.

From 2010 to 2019, business travelers remained steady between 440 million and 465 million. However, this number dropped drastically in 2020 and then increased to 229 million in 2021.

From 2010-2019, the number of business travelers grew by 4%.

However, the COVID-19 pandemic saw the number of business travelers decrease by 60%, which aligns with other travel declines caused in 2020.

The business travel industry is expected to experience a CAGR of 13.2% between 2021 to 2028.

Luckily, trends seem to show that business travel will start to recover from the COVID-19 pandemic over the next couple of years. Estimates predict that the value of the industry will increase from $695.9 billion in 2020 to $2.1 billion by 2028.

Business Travel FAQ

How many people travel for business annually?

Over 460 million people travel for business annually in the U.S. This is a massive 150% increase from 2020 when there were only 185 million, and similar to 2019’s numbers.

For instance, from 2019-2020, the number of business travelers dropped by 60%. This is mostly due to COVID-19, which affected the travel industry with restrictions and regulations through 2021.

What types of businesses travel the most?

The types of businesses that travel the most are as follows:

Sales Representative

Retail Buyer

Event Planner

Traveling Nurse

International Aid Worker

Civil Servant

Travel Writer

Travel Agent

Flight Attendant

These jobs are all related to or require business travel in one way or another. However, it’s also worth noting that 56% of business travelers hold professional or managerial positions that earn at least $127,000 per year.

How big is the business travel market?

The business travel market is worth an estimated $933 billion as of 2022. From 2020 to 2021, the market rebounded by 14%, from where it had previously dropped to $695 billion. Overall, the business travel market is expected to experience a CAGR of 13.2% between 2021 to 2028.

What percent of travel is business travel?

Approximately 12% of U.S. travel is business travel as of 2022. That number is slightly down from 13.6% in 2021, but half of what it was pre-COVID. For instance, in 2019, business travelers made up at least 25% of all travelers.

How much do companies spend on business travel?

Companies spend over $111.7 billion each year in the U.S. on business travel. Per company, travel costs typically equate to roughly 10% of that company’s annual revenue.

Business travel is an important investment for industries and companies all over the United States. That’s why, despite it costing them between $990-$1,293 per trip, they still choose to send employees on them. In fact, pre-COVID, at least 25% of U.S. travelers were business travelers.

These travelers tend to fall under certain demographics, with at least 50% of business travelers between the ages of 35-54 and 56% of business travelers holding professional or managerial positions that earn at least $127,000 per year.

However, COVID-19 took a heavy toll on the industry. The number of domestic business travelers dropped from 464 million to 185 million (25% to 13%). This job has affected airliners, hotels, the food industry , and more. Luckily, the business travel industry has a CAGR of 13.2% between 2021 and 2028, which indicates at least somewhat of a rebound.

Global Business Travel. “Business Travel Responsible for $547 Billion in U.S. GDP in 2016, Creates Over 7.4 Million Jobs.” Accessed on December 8th, 2021.

Statista. “Number of domestic business and leisure trips in the United States from 2008 to 2019, with a forecast until 2024.” Accessed on December 8th, 2021.

Investopedia. “How Much Airline Revenue Comes From Business Travelers?” Accessed on December 8th, 2021.

AHLA. “Lodging Industry Trends 2015.” Accessed on December 8th, 2021.

Travel Leaders Corporate. “09 Nov Travel Leaders Corporate Releases Q3 Business Travel Trends Data.” Accessed on December 8th, 2021.

U.S. Travel Association. “U.S. Travel Answer Sheet.” Accessed on December 8th, 2021.

Bureau of Transportation. “U.S. Business Travel.” Accessed on December 8th, 2021.

GBTA. “U.S. Business Travel – By The Numbers.” Accessed on December 8th, 2021.

TravelBank. “How Much Should a Business Trip Cost?” Accessed on December 8th, 2021.

JTB. “Important Business Travel Statistics.” Accessed on December 8th, 2021.

Trondent Development Corp. “Business Travel by the Numbers.” Accessed on December 9th, 2021.

GTI Travel. “What do Female Business Travelers do Differently from their Male Counterparts.” Accessed on December 9th, 2021.

Hotel Management. “GBTA poll finds positive momentum for business travel.” Accessed on December 9th, 2021.

SAP Concur. “Save time and money on expense report processing.” Accessed on December 9th, 2021.

TravelPerk. “5 reasons why traveler satisfaction is the key to a successful travel program.” Accessed on December 9th, 2021.

Cision. “Business Travel Market Size to Reach USD 2,001.1 Billion by 2028 at CAGR 13.2% – Valuates Reports.” Accessed on December 9th, 2021.

Certify. “Understanding the average cost of business travel.” Accessed on December 9th, 2021.

Travel jobs statistics

Zippia ’s research team connects data from disparate sources to break down statistics at the job and industry levels. Below you can dig deeper into the data regarding employees who work in travel or browse through Transportation jobs .

Overview | Jobs Salary

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Jack Flynn is a writer for Zippia. In his professional career he’s written over 100 research papers, articles and blog posts. Some of his most popular published works include his writing about economic terms and research into job classifications. Jack received his BS from Hampshire College.

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100+ business travel statistics (some never before released)

See how to save your company time and money on business travel

How the coronavirus pandemic affected business travel.

Business travel was hit hard by the 2020 health crisis

• International mobility decreased by 65% due to COVID-19 - the lowest rate of travel since the introduction of the Boeing 707 in 1958 which marked the start of the Jet Age ( McKinsey ).
• Following 10 years of predictable growth, the losses sustained by corporate travel in 2020 were 10 times larger than those seen after 9/11 and the 2008 recession ( Global Business Travel Association ).
• It’s estimated the travel industry will lose $820 billion of corporate travel spending due to the coronavirus pandemic ( CNBC ).
• Reduced spending on travel cost the U.S. economy $162 billion in 2020 alone ( U.S. Travel Association ).
• 2020 saw two-thirds of flights put out of action, and 18 airlines declared bankruptcy (McKinsey).
• While business travel was down by 90% at the height of the pandemic, some companies saw work travel return to about 80% of pre-pandemic levels when restrictions eased over the summer (McKinsey).
• In 2020 hotels were at 29% occupancy worldwide, compared with 72% occupancy over the same period in 2019 (McKinsey).
• In 2020 travel managers reported annual travel spending was only 5-15% of the previous year’s totals (McKinsey).
• Research has revealed that, on average, it takes 5 years for airline services to return to normal levels after unexpected events like the pandemic ( IATA ).

Never fear—business travel is bouncing back

• After losses of 52% in 2020, corporate travel is predicted to generate $842 billion in spending in 2021 ( GBTA ).
• 30% of employees would accept roles with a lower salary if the position offered more opportunities to travel ( Booking.com for Business ).
• 64% of workers believe in-person contact is vital for building trust, with 53% stating they have more faith in face-to-face sales situations than online prospectors ( TravelPerk ).
• 53% of survey participants believe their industry requires face-to-face meetings. HR teams, in particular, think that in-person contact is crucial, with 67% of respondents stating their sector would collapse if meetings were forced online ( TravelPerk ).
• Virtual meetings may not reap the best results, with 60% of employees claiming they prepare more for face-to-face meetings than online alternatives ( TravelPerk ).
• For every dollar they spend on business travel, organizations reap an extra $12.50 in revenue ( TravelPerk ).
• The business travel market is expected to recover and hit $829.5 billion by 2027 ( ReportLinker ).
• Almost 100% of corporate travelers enjoy the time they spend traveling for work ( NationalCar.com ).
• 90% of corporate travelers want to carry on taking work trips for the duration of their career ( SavvySleeper ).
• While it’s hard to say for sure when business travel will return to pre-pandemic levels, we’re seeing some interesting domestic recovery trends already. In Europe, domestic travel in Germany was at a low point back in April 2020 at only 8%. However, by September, this reached 71% of pre-pandemic levels! Something similar happened in Spain, where domestic travel was as low as 1% in April and rose to 45% in September when the restrictions were relaxed (TravelPerk proprietary data).
• Business travelers started traveling domestically before international travel resumed. U.S. business travelers are leading the charge at 47% recovery as of January 2021. That’s followed by Spain at 25% domestic recovery, and Germany at 12% (TravelPerk proprietary data).
• Domestic business travel in China is already bouncing back - in fact, only 2% of respondents to this McKinsey report had taken a domestic business trip before May 2020, whereas 25% of respondents had taken one by August of the same year.
• According to our own survey, 50% of companies have implemented new corporate travel policies for the next normal ( TravelPerk ).
• In a 2020 survey, 30% of participants believed their organization would spend 30% of their annual travel budgets on client meetings in 2021, increasing 6% on 2019 spending ( Statista ).
• The proportion of female business travelers is growing. In the USA, 47% of business travelers are now women ( CreditDonkey ).

Is business travel on the increase in your team?

You'll travel a little differently than you did before.

• Over half of business travelers surveyed said that travel restrictions put them off booking arrangements for fear of not having them refunded. More flexible cancellation policies will continue to be key ( GlobalData ).
• Being able to reach providers to change or cancel flights easily (70%)
• Having access to security fast lanes (69%)
• Maintaining social distancing through spacious seating on flights (66%).
• Your travel planning windows will be shorter. You’ll look for tickets and accommodation closer to your departure date than you did before. Data from our own platform reveals that searches for trips less than 6 days away are now almost equal to searches for trips between 7 and 30 days away. Before the coronavirus pandemic, the vast majority of trips were searched for and planned 7 to 30 days in advance ( TravelPerk ).
• Rail travel will boom over air travel and is already leading the path to recovery. Our own data shows that 80% of domestic trips in Germany are being booked on trains ( TravelPerk ). Furthermore, nearly 50% of passengers now find reducing their carbon emissions and sustainability more important than they did before COVID-19 ( GlobalData ).
• Airfares could rise by as much as 54% in a post-pandemic world. This will be due to the growing need to keep planes at a higher standard of cleanliness than before, more contactless solutions, and 24-hour service at airports. Travel managers will therefore need to find ways to optimize their business travel spending and consider savings as a significant part of their company’s travel policy ( BBC ).

Future-proof your corporate travel management

The cost of business travel.

• In 2021 the United States led global spending on corporate travel with a bill of $322.42 billion ( World Bank ).
• The cost of the average American business trip is $1293. While domestic trips average at $990 per itinerary, for international ventures, the number rises to $2525 ( Runzheimer and Expert Market ).
• Domestic flights within the U.S are increasing in cost, with roundtrips averaging around $330 compared to $235 at the start of 2022 ( Travel Pulse ).
• In 2020 the breakdown of spending for business trips was 34% for accommodation, 27% for air tickets, 27% for meal costs, and 19% for car rental ( Travel Pulse ).
• In 2022 the IRS's recommended per diem rate for meals and other incidental costs for US business travelers was set at $59, and the average cost for accommodation was set at $96 per night ( Federal Pay ).

The US is getting expensive, like Switzerland

• In a 2019 survey, New York City took the top spot for the most expensive city for corporate travel, with per diem spending averaging $799. Coming in second was Zurich, with an average spend of $661 per day and closely followed by Washington DC ($621) and Paris ($617) ( ECA International ).
• In Asia, Hong Kong came in first as the most expensive city for business travelers, with the average daily spend coming in at $515 (ECA International).
• Joined only by Paris and Reykjavik, the United States and Switzerland are home to 8 of the world's top 10 most expensive cities for corporate travel. Los Angeles, New York, Washington DC, and San Francisco made the list for the USA, while Geneva, Zurich, Bern, and Basel made up the Swiss contributions ( ECA International ).
• Perhaps unsurprisingly, Geneva was ranked top for most expensive business trip destinations in Europe in 2019, with other Swiss cities also featuring heavily in the top 6 (ECA International).

Further reading recommended:

Tech innovators and unicorns travel differently, disruptive tools, technology and trends.

• The number of Airbnb bookings among tech companies doubled from 2017 to 2018 (TravelPerk).
• Millennial business travelers employed by tech companies prefer non-chain hotels and low-cost air carriers. 85% of them booked low-cost airlines in 2018 (TravelPerk).
• 74% of millennial travelers have stayed in a rental property while on a business trip compared to 38% of Generation X travelers and 20% of baby boomers. 44% of millennials stated they preferred staying in Airbnb-style rentals while traveling for work ( Hipmunk ).
• Tech travelers break with company policy less than those in the consulting industry. On average, tech companies report 13% of itineraries are not technically compliant with travel policies compared to 16% from consulting firms (TravelPerk).
• European tech companies have unusual travel hubs: Amsterdam, Stockholm, Brighton, Lisbon, and Copenhagen are among their top destinations (TravelPerk).
• When surveyed, 98% of travel managers claim the most significant metrics are policy compliance, traveler experience, and expenditure ( ACTE ).

Why and how business travelers travel

Most corporate travelers travel just once per year, predominantly to visit clients.

• 30% of European corporate travelers fly once per month. 62% travel once per year. 5% travel 21 to 40 times per year ( Fly Aeolus ).
• 44% of European corporate travelers fly to visit with a customer. 32% fly to visit another company office in a different city (Fly Aeolus).
• In the USA, personal cars are used for 81% of business trips ( United States Department of Transportation ).
• Group business travel is more common than you might think. 50% of European corporate business trips are for parties of two or more (Fly Aeolus).
• 26% of European business travelers report a direct connection as the top factor influencing their decision when selecting flights. Other primary considerations were price (19%), convenience with existing schedules (23%), and airport location (20%) (Fly Aeolus).

Business travel industry trends and impact

There’s a push to measure the roi of travel.

• Companies realize $12.50 in incremental revenue for every dollar invested in business travel ( Oxford Economics ).
• An estimated 28% of current business would be lost if business travel were suddenly cut off (Oxford Economics).
• However, only 13% of corporate travel managers actively measure trip success rate and trip ROI ( ACTE ).

Travel management metrics need improving

• 80% of corporate travel managers believe that a standard system of measurement would positively impact corporate travel ( ACTE ).
• 81% of travel managers measure booking statistics like advance bookings, hotel attachment, and booking issues (ACTE) .
• Only 37% of travel managers measure travel engagement (how frequently travelers interact with the TMC or in-house travel manager) (ACTE) .
• 94% of corporate travel managers rely on a TMC or travel agency for reporting (ACTE) .
• Only 61% of corporate travel managers use traveler surveys as part of their travel management metrics. These surveys can help gather data on traveler satisfaction and trip success (ACTE) .
• 4 out of 5 business travel managers believe enacting a system of metrics could benefit their corporate travel program (ACTE) .

Self-booking and mobile bookings are growing

• 59% of U.S. business travelers always book their hotel themselves and 30% usually book their hotel themselves ( Statista ).
• In another survey, 69% of business travelers report that they book travel themselves regardless of the type of booking ( Skift ).
• While desktop bookings still reign supreme, 79% of corporate travelers have completed a business trip booking on their mobile device ( LCT ).
• Business travelers love live chat. 79% of travel industry businesses saw an increase in revenue when they provided live chat (LCT).

Traveler satisfaction and concerns

What travelers want.

• 80% of frequent business travelers feel that they deserve to make time for fun activities during most of their business trips. And fortunately, 79% of them feel that their boss agrees ( NationalCar ).
• 86% of business travelers say that they know how to successfully manage their personal lives while away from home ( NationalCar ).
• 61% of travel managers have a system in place to measure their traveler’s satisfaction ( ACTE ).
• 22% of business travelers would like travel suppliers to remember their personal details for the future ( Accenture ).
• 67% of travelers would like travel companies to make recommendations based on their previous preferences ( Accenture ).
• Over 50% of travelers would appreciate real-time notifications and for airlines to rebook their flights automatically ( International Air Transport Association ).
• Post lockdown, the most significant factor for 70% of business travelers when booking airfares is flexibility. Other key variants are onboard sanitation (63%), flying direct (61%), and hygiene protocols between flights ( Skift Research & McKinsey ).

What business travelers are concerned about

• Flight delays are the leading concern among U.S. business travelers. The second concern is the dreaded middle seat ( Statista ).
• European corporate travelers rank the most tiring aspects of business travel like so: 27% say waiting time is the most tiring while 25% choose no direct flights, 22% say riding to and from the airport, 16% say early departure times or late arrivals and 10% say the flight itself ( Fly Aeolus ).
• What is the number one way to improve the traveler experience? 35% of European corporate travelers report that having to spend less time at the airport is the number one thing they wish they could improve. 23% would like to spend less time on the way to the airport. 26% want better availability of direct flights and the remaining 16% want greater flexibility with their schedule (Fly Aeolus).

Millennial business travel statistics

Millennials are the most frequent business travelers.

• Millennials take an average of 7.4 trips per year ( Skift ).
• Baby boomers take an average of 6.3 trips per year (Skift).
• 75% of millennial business travelers think that traveling for work is a perk ( Hilton Hotels & Reports Survey ).
• 65% of millennial business travelers see it as a status symbol ( Hilton Hotels & Reports Survey ).
• 34% of surveyed employees revealed they have their most innovative ideas while traveling for work. When analyzing the data from 16-24-year-old respondents, this number jumps to 53% ( TravelPerk ).

Most millennials are happy with their ability to self-book...but are they using company approved sites?

• 72% of millennial business travelers are satisfied with their ability to book business travel on a third-party site ( Statista ).
• Hotel bookings are extremely fractured. 28% of millennial business travelers book hotels directly on a hotel’s website. 10% book hotels through an OTA like Expedia. 7% book with a third-party reseller like Kayak. 14% book with a travel agent ( Skift ).

Millennials value free time and leisure time during business travel

• 43% of millennials have extended their business travel trip for leisure ( Statista ).
• 78% of millennials have purposefully carved out personal time during a business trip ( Forbes ).
• 57% of companies have a policy in place for employees who wish to extend their business trip with vacation time ( Forbes ).
• Millennial men are twice as likely to believe they should avoid having fun on a business trip, 41% versus 20% ( NationalCar ).

Business versus leisure travel statistics

Bleisure is climbing.

• Bleisure trips grew 20% from 2016 to 2017 ( Forbes ).
• More than 40% of business trips are extended for leisure purposes ( Expedia ).
• Bleisure travelers are typically frequent business travelers: 32% of bleisure travelers travel for work once or twice per month (Expedia) .
• Business trips for conferences or conventions are the most likely to become bleisure trips. 43% of trips for these types of events will turn into bleisure trips, while 24% of trips for team offsite meetings and 9% of sales trips will be a bleisure trip (Expedia) .
• 84% of bleisure trips that are less than three days take place in one city, while 20% of bleisure trips that are longer than three days take place in more than one city (Expedia) .
• Why do business trips turn into bleisure trips? 66% percent of bleisure travelers say it's because they like the destination and want to explore it. 51% said they turn business trips into bleisure trips based on the proximity to the weekend (Expedia) .

The proportion of business travel spend versus leisure travel spend continues to grow

• Each year, the proportion of business travel spend grows by about .05%. In 2017, the most recent available year, business travel accounted for 30% of all travel spend in the U.S. ( Statista ).
• While business travelers typically make up just 12% of all flyers, they are twice as profitable to airlines because they are loyal and use frequent flier programs, buy amenities like extra legroom, and also book more flights with less notice ( Investopedia ).

First-class travel isn’t affected by the purpose of the trip

• Each year 19% of U.S. travelers will board a first-class flight for leisure. Meanwhile, 20% of US travelers will fly first class for a business trip in the span of one year ( Statista and Statista )

Rogue bookings

Do business travelers comply.

• 60% of companies have a corporate travel policy in place, and 50% of companies allow travelers to book using any method they choose ( Lodging ).
• Hotels are most frequently booked outside of the approved channel. 46% of business travelers have booked hotels on consumer sites because they found a better price (Lodging) .
• 52% of employees feel their organization’s corporate travel policy moderately aligns with the company’s wider culture ( Medium, 2017 ).
• Only 69% of business travelers feel they can comply with their organization’s corporate travel policies ( Lola.com , 2019 ).
• Using a travel management tool can help improve compliance with corporate travel policies. An advanced booking solution can assist organizations in raising their compliance to 100% through powerful automation systems.

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105 Critical Business Travel Statistics: 2024 Spending & Concerns Analysis

Technology may have opened up new ways for individuals to connect, especially in the wake of the COVID-19 pandemic where face-to-face communication can become a health risk. This is why business travel remains important for modern companies. If you want to make the most out of your corporate trips, being knowledgeable about the ins and outs of the industry is important. This is where checking business travel statistics becomes necessary.

In this article, we will be discussing everything from the market size of the business travel industry to the use of budgeting software for corporate travel. Furthermore, we have provided some data on emerging business travel technologies. This way, it would be easier to understand how to manage your company trips better as well as prepare yourself for the shifting demands of the industry. 

Business Travel Statistics Table of Contents

• General Business Travel Statistics
• Business Travel Spending Statistics
• Statistics on Business Travel Benefits
• Business Travel Experience Statistics
• Bleisure Statistics
• Statistics on the Modern Business Traveler
• Business Travel Policy Statistics
• Statistics on Business Travel Concerns
• Business Travel Tech Usage Statistics
• Impact of COVID-19 on Business Travel

1. General Business Travel Statistics

Corporate trips may have become more and more prevalent over the years, thanks to the increasingly globalized business landscape. So much so that millions of business travel initiatives are launched each year. However, with the current pandemic, business travel has come to a halt and it is not expected to recover until 2027.

• There are 445 million business trips every year. (Certify, n. d.)
• Business travelers make up 12% of an airline’s passengers, but they represent 75% of the profit. (Investopedia, 2020)
• The global market for business travel is projected to decline by 4.5% in 2021. (ReportLinker, 2020)
• It won’t be until 2027 that the global market for business travel is expected to recover, at which point it is expected to reach US$829.5 billion. (ReportLinker, 2020)
• The global market for business travel is expected to post a CAGR of 3% from 2020 to 2027. (ReportLinker, 2020)

Breakdown of Corporate Travel Across the Globe

Companies across the globe understand how important it is to invest in corporate travel. With companies spending an average of $799 per person per day, the business travel market has surely enjoyed the growth in revenue in the past years. Unfortunately, however, when the pandemic hit, many countries experienced huge losses in business travel spending.

• China lost $404 billion in business travel spend losses due to the COVID-19 pandemic, the biggest amount among member countries of the Global Business Travel Association (GBTA). (GBTA, 2020)
• The second most affected region was Europe, which amassed $190.5 billion in business travel spend losses due to the COVID-19 pandemic. The third most affected region was Asia-Pacific, excluding China, Hong Kong, and Taiwan, with losses amounting to $120.2 billion. (GBTA, 2020)
• The most expensive business travel location in Asia is Hong Kong, with an average cost of $515 per day. (ECA International, 2019)

Business Trips in the US

American companies are one of the top spenders when it comes to business travel. Simply put, many US companies spend to send their employees on domestic and international trips for business purposes. However, much like the rest of the globe, they are also expected to decrease the number of international business trips in the coming years.

• In a survey, 45% of respondents said that their company canceled most international business trips to the U.S. as a result of the pandemic. (GBTA Coronavirus Poll/Statista, 2020)
• U.S. airlines reported a 90% reduction in business travel in Q2 2020. (Spendesk, 2019)
• The reduction in travel spending resulted in a loss of $162 billion for the U.S. economy in 2020. (U.S. Travel Association, 2020)

2. Business Travel Spending Statistics

It’s no secret that corporate travel is expensive. As you’ll see in the data below, companies spend millions of dollars per year on sending their employees on business trips. To ensure steady business travel funding, you should plan and create a budget for it ahead of time, taking into consideration not only accommodation and airfare but also looking into vaccination expenses for employees. This way, they may avoid the risk of contracting coronavirus while they’re traveling. Moreover, you should keep all travel costs in check. For this, you might find that using tools for budgeting can be useful for your company.

• Global business travel decreased by more than half in 2020 to $694 billion. (PhocusWire, 2021)
• Corporate travel spending is expected to lose $820 billion as a result of the pandemic. (CNBC, 2020)
• As of September 2020, China’s number of domestic passengers reached Corporate travel spending 98% of 2019 levels. (Skift, 2020)
• The average daily cost of business travel in the US is $325 per day. (Small Biz Genius, 2021)
• Businesses spend roughly $1,425 for every employee they send on a business trip. (Fyle, 2020)
• Companies spend $111.7 billion on business travel every year. This is an average of $1,286 per work trip. (Travel Pulse, 2020)
• Businesses spend $31.6 billion on international travel. This is an average of $2,600 per person. (Certify)
• The average business travel budget consists of money for lodging (34%), airfare (27%), meals (20%), and car rentals (19%). (Travel Pulse, 2020)

Air Travel Expenditures

If your company is affiliated with businesses located halfway across the globe or on the other side of the country, then spending on air travel is inevitable. So, you should prepare a good chunk of your budget for airfares, especially considering flight tickets and miscellaneous spending at airports are increasingly expensive. You might also want to time your booking so you can get tickets at lower rates.

• The average domestic airfare in the US is $392. (Business Insider, 2019)
• The average cost of coach airfare for international flights is $1216. (Certify)
• Domestic flights in the U.S. are 41% lower on average because of the COVID-19 pandemic. (CNBC, 2020)
• Booking flights 169 to 319 days in advance allows you to fly at the time you prefer and get the seats that you want. (CheapAir, 2018)
• The prime booking window is 21 to 121 days in advance of your preferred flight. The fares are the lowest during this time. (CheapAir, 2018)
• The most costly airports based on lunch, taxi, executive lounge, and parking expenses are London Stansted (£608.29), Amsterdam (£567.35), and London Gatwick (£520.53). (FairFX Blog, 2018)
• The airports that give business travelers the most value for their money based on lunch, taxi, executive lounge, and parking expenses are Barcelona (£236.36), Belfast International (£228.28), and Beijing (£170,03). (FairFX Blog, 2018)
• 70% of corporate travelers said that their most important consideration in booking airline tickets after COVID-19 is flexibility in cancellation and changing ticket conditions. This is followed by special measures to ensure onboard hygiene (63%), availability of direct flights (61%), and sanitation levels of aircraft between flights. (Skift Research & McKinsey, 2020)

Road Transportation Costs

More often than not, business travelers still need to go from one place to another upon reaching their destinations. So, it makes sense for them to spend on road transportation. For domestic trips just outside of the city, this might involve gas money for their personal vehicles. In case they have to go farther away, they will need to allocate a budget for car rental. There might also be those who opt to use ride-sharing applications during the trip, although this may not be as popular an option amid the pandemic.

• Three-fourths of business trips are less than 250 miles from the point of their departure. (U.S. Bureau of Transportation Statistics, 2017)
• Personal cars are often utilized for 81% of business trips. (U.S. Bureau of Transportation Statistics, 2017)
• New demand for road trip travel has led car rental rates in the U.S. to decrease by approximately 15% in 2020. (CheapCarRental, 2020)
• 65% of users stopped using ridesharing services in the U.S. due to the COVID-19 outbreak. (Statista, 2020)

Accommodation and Other Expenses

Business travelers require accommodations that are affordable, secure, and trustworthy. What’s more, staying at a place where they have access to conveniences such as workstations and free WiFi can ensure their productivity while on the go. Plus, with the current pandemic, it is also important to consider what hygiene protocols your intended accommodation implements to ensure the safety of your employees. This is why many companies are willing to spend more on hotel rooms and Airbnb accommodations.

• 40% of hotel guests are business travelers. (American Hotel & Lodging Corporation, 2015)
• In 2020, the average hotel room price dropped significantly by 32% to $186 per night compared to $274 per night in 2019. (NerdWallet, 2020)
• Tech companies prefer Airbnb accommodations. In fact, their bookings have doubled from 2017 to 2018. (TravelPerk)
• In 2018, more than 700,000 businesses utilized Airbnb for Work for their corporate trips. (PhocusWire, 2018)
• For the fiscal year 2020, the IRS has set the per-diem business travel rates for meals and incidental expenses at $71. (Maxwell, Locke & Ritter, 2020)
• When it comes to accommodations, business travelers pay attention to quality (44%), trustworthiness (38%), convenience (40%), quietness (30%), affordability (28%), and coziness (28%). (CWT Research, 2019)

How do businesses spend on travel?

A breakdown of the average corporate trip budget.

Car rentals

Source: Travel Pulse

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3. Statistics on Business Travel Benefits

Many companies may think that business travel is passé or that it is a waste of money. However, statistics show that this is most certainly not the case. Corporate trips actually allow businesses to foster stronger and more close-knit relationships with potential clients and partners. Thus, they yield a good ROI for their business travel initiatives and even grow their company at a faster pace. In addition, even amid a pandemic, many professionals cite business travel as a job perk.

• 90.6% of corporate travel managers believe that business travel is crucial to company growth. (Skift + TripActions Business Travel Survey, 2019)
• On the other hand, 91.3% of business travelers said that business travel is crucial to company growth. (Skift + TripActions Business Travel Survey, 2019)
• Companies get a $2.90 increase in profit and a $9.50 increase in revenue for every dollar spent on corporate travel. (Certify)
• 79% of employees say that business travel experience has an impact on their overall job satisfaction. (Global Business Travel Association, 2017)
• 83% of employees say that business travel is a job perk. (Stratos Jet Charters, Inc., 2020)

4. Business Travel Experience Statistics

Corporate travelers are consumers. So, in a similar light as your typical shopper, they expect personalized experiences when it comes to traveling. In fact, they are more than willing to provide their preferences and personal information if it means travel agencies and airline companies will provide them with better products and services. In addition to these, modern business travelers also don’t mind paying extra out of their pocket for upgrades on accommodations and transportation.

• Nine in 10 corporate travelers will share their travel preferences for a customized experience. (CWT Research, 2019)
• 65% of travelers are willing to provide additional personal information to accelerate processing at the airport. (International Air Transport Association, 2018)
• 22% of frequent travelers want travel companies to remember their personal data. (Accenture, 2017)
• 67% of modern travelers expect brands to help them make good travel decisions based on previous travel information. (Accenture, 2017)
• 55% of business travelers are willing to pay out of their own pocket to get upgrades for accommodations, car rentals, and airline seats. (AeroLatinNews, 2018)

Improving the Experience of Corporate Travelers

Business travel may not be as prevalent now. But this pause makes it the perfect time to ask, how can you improve the overall business travel experience? Now that we know corporate travel anchors on personalization and convenience, it is important to utilize the available technologies to enhance the travel management process.

Moreover, travel managers should actively measure the satisfaction of business travelers to determine any other points for improvement. To do this, you might want to consider utilizing best-in-class business intelligence platforms or top-rated data analytics software .

• Travelers say that their experience can be improved using real-time and accurate travel notifications (55%) and automatic flight rebooking (53%). (International Air Transport Association, 2019)
• A business travel report revealed that 79% of business travel managers say that partnering with travel management companies can lead to more efficient processes and higher savings. (Egencia, 2018)
• 80% of corporate travel managers say that having a system of measurement can benefit corporate travel initiatives. (ACTE, 2018)
• 98% of corporate travel managers say that the most important metrics to measure are traveler satisfaction, policy compliance, and savings and expenditures. These are followed by booking statistics (96%) and traveler engagement (90%). (ACTE, 2018)

Points for Improvement for Airlines, According to Passengers

5. bleisure statistics.

“Work hard, play hard” is the mantra of modern businessmen and corporate employees. So, before 2020, it was not surprising that employees have made it a point to extend their trip for leisure or, at the very least, allocate time for fun activities during a trip. While this may not be a possibility with the ongoing pandemic, it is certainly a trend that companies should anticipate as travel restrictions and quarantine protocols relax. After all, it will allow your company to reinforce work-life balance for employees.

One thing to note about bleisure, however, is that this may also pose problems for companies when it comes to accountability and productivity. After all, administrators don’t know how their business travelers will spend their time during a trip. In case you feel like this might be an issue for you, you can always opt to use time tracking software solutions. Using these, business travelers may log their productive hours even while away from the office.

• Bleisure trips have increased by 20% between 2016 and 2017. (Forbes, 2018)
• Business travelers enjoy exploring new places and cultures (41%) more than meeting with clients and teams (17%). (Medium, 2017)
• 80% of corporate travelers make sure to squeeze in fun activities while on a business trip. (National Car Rental, 2018)
• Almost half of the corporate trips (40%) are extended for leisure. (Expedia Group, 2016)

Employee Expectations on Bleisure

Nowadays, business travelers are not shy about taking some time off while on a trip. After all, they deserve to have a bit of fun after working long hours out of the office. This is why they expect companies to cover bleisure in their travel policies.

• 82% of travelers expect support from their superiors when taking a break on business trips. (National Car Rental, 2018)
• Employees want their companies to consider bleisure for their travel policy. This means including a budget for extracurriculars (74%) and giving them the option to bring a guest on the trip (38%). Moreover, they want to be provided with the flexibility to extend their trips for leisure (34%) and given a budget for exercise and similar lifestyle activities during the trip (24%). (National Car Rental, 2018)
• 37% said that leisure activities should have an equal length as business activities during a corporate trip. (Expedia Group Media Solutions, 2016)

6. Statistics on the Modern Business Traveler

So, who is the modern corporate traveler? Statistics show that these travelers are mostly college-educated males who are older than 45 years old. They go on trips to attend conferences, build business partnerships, develop their careers, and find investors. Moreover, a handful of them spends a good fraction of their year traveling for business purposes.

• Two-thirds of corporate travelers have a bachelor’s degree. Moreover, they have an average household income of $82,000. (PhocusWire, 2017)
• 60% of business travelers are male. Meanwhile, 50% are older than 45 years old. (PhocusWire, 2017)
• Employees go on business trips to attend conferences (62%), to meet with other companies for business planning (56%), for professional development (44%), to meet with coworkers in a different location (40%), and to pitch new products (30%). (Skift, 2016)
• The top 10% of business travelers spend an average of 88 nights away from their homes per year. (Corporate Traveler, 2017)
• 50% of business travelers from Europe go on trips alone. (Fly Aeolus, 2017)

The Millennial Business Traveler

Millennials are poised to comprise the majority of the workforce in the coming years. So, it only makes sense that we tackle how millennial employees view business travel and how they travel for business.

In the statistics we’ve culled, millennials see being sent on corporate trips as a job perk than an inconvenience. So much so that they even create reasons to travel for business. In fact, as of 2016, this generation has become the most active business travelers.

Another thing that sets them apart from previous generations is that while they prioritize cost-efficiency by avoiding expensive hotels and flights, they have a penchant for bleisure. This means they make it a point to balance each trip for both business and leisure.

• 65% of business travelers who are millennials view corporate trips as a status symbol. (Forbes, 2018)
• 56% of millennials create reasons to go on business trips. Moreover, 69% of them want to extend their trip for leisure. (Forbes, 2018)
• Millennials go on 7.4 trips every year. (Skift, 2016)
• Millennial business travelers in the tech industry prioritize cost-efficiency by opting for non-chain hotels. Also, 85% of them booked budget flights instead of choosing business class seats. (TravelPerk)
• 78% of Millennials intentionally make time for leisure on business trips. (Business Wire, 2016)

Why Do Employees Go On Business Trips?

To attend conferences

To meet with other companies for business planning

For professional development

To meet with coworkers in a different location

To pitch new products

Source: Skift

7. Business Travel Policy Statistics

Business travelers represent your company. So, how they travel must be in line with your business values. This is why it is pertinent to have a corporate travel policy.

With this, you can set standards as to where they should stay, which airlines to pick, what car rentals to choose. It also allows you to set rules around what gifts may be purchased during the trip. In addition, travel policies can serve as a guideline for on-site spending.

However, not every company and business traveler realizes the value of a travel policy. So, many opt not to create one.

If you don’t have one, you might want to find a good travel management software to do it. As an alternative, you may also utilize reliable business process management solutions .

• A business travel market report revealed that 40% of businesses still don’t have a travel policy. (Egencia, 2018)
• 60% of corporate travelers say they don’t understand the need for a company travel policy. (TravelPerk, 2019)
• Companies allow more than half of business travelers to book their trips however they prefer. (Egencia, 2018)
• The factors that have a negative impact on business travel are the lack of formal processes and outdated booking systems. (Medium, 2017)

Corporate Travel Management Problems

Of course, simply having a travel policy is not a surefire way to maximize corporate trips. Its positive effect on your business travel processes depends on how you implement it. As you’ll see in the business travel statistics below, companies with travel policies encounter their fair share of problems.

Many of them have travel policies that are not in line with their company culture. Furthermore, not all of them can manage their policies effectively. Lastly, they have many employees who choose not to comply with the policy they have in place.

• 27% of business travelers say that their company’s travel policy is ill-managed. (Medium, 2017)
• 52% of employees say that their company’s travel policy only moderately aligns with their company culture. (Medium, 2017)
• 69% of business travelers comply with corporate travel policies. (Lola.com, 2019)
• Business travelers often book accommodations out-of-policy because they are not close enough to the destination (37%) or because they found a better hotel within their per diem (37%). (Egencia, 2018)

8. Statistics on Business Travel Concerns

While there may be quite a lot of tools that you can use to optimize the business travel experience, the industry still has a long way to go. What’s more, with the pandemic, corporate travelers today are poised to encounter more obstacles and concerns that may impede them from being the most efficient they can be. For example, many of them still need to deal with delayed flights, long waiting times at the airport, as well as the hassle of lengthy security and safety processes.

• The most common issues that business travelers face are flight delays (65.7%), flight cancellations (31.9%), and paying for travel expenses with a personal credit card (30.5%). These were followed by their company’s tool not having the best booking rates (29.3%) and lack of support in resolving issues while traveling (23%). (Skift + TripActions Business Travel Survey, 2020)
• The most tiring aspects of business travel are the waiting time (27%) and having no direct flights (25%). In addition, travelers feel that the ride to and from the airport (22%), early or late departures/arrivals (16%), and the flight itself (10%) are also exhausting. (Fly Aeolous, 2017)
• The longest waiting times for security screening at US Airports in 2019 are Newark Liberty International, NJ (23.1 minutes), George Bush International, TX (19.8 minutes), Miami International, FL (19.6 minutes), and Baltimore-Washington International (18.2 minutes). (Statista, 2019)

Source: Statista

9. Business Travel Tech Usage Statistics

Corporate travelers are a tech-savvy bunch. They rely heavily on the internet and their smartphones to manage their trips. Moreover, they have quite a knack for learning new technology. As a result, they have high expectations for their companies, travel agencies, airline companies, and similar firms when it comes to innovation.

For example, they want to have access to all-in-one applications that will help them consolidate and accelerate the travel planning process. In addition, they are looking forward to having voice-activated assistants for travel queries. As you’ll see below, these are only a few of the many things that they are expecting from the industry.

• 51% of passengers around the world used a smartphone or other device to check in online. (IATA, 2019)
• 27% of global passengers use an airline app to make last-minute purchases such as an additional bag, upgrade, or lounge access. (IATA, 2019)
• The majority of modern travelers (57%) want to have a single application to manage their planning and booking needs. (Booking.com, 2018)
• 57% of travelers want to have a mobile app that will let them track their luggage in real-time. (Booking.com, 2018)
• 31% of travelers say they like the idea of using voice-activated assistants for their travel queries. (Booking.com, 2018)

FinTech Options for Business Travel

Traveling involves quite a lot of expenditures. Therefore, corporate travelers make a large number of transactions that need to be accounted for after each trip. However, manually tracking spending during a trip can be tedious and prone to errors.

As a result, many travelers are now relying on financial technology, such as expense management software and cashless transactions. These allow them to record their expenditures as they go and make sure that they remain within budget. With these, it is easier for companies to maximize their travel budget down to the last penny.

• It takes an average of 40 hours per month for business travelers to reconcile their expenses and payment data. (Egencia, 2018)
• 66.5% of companies use an online expense reporting platform with a mobile solution. (Business Travel News, 2020)
• In light of the pandemic, 55.7% of corporate travel managers say that contactless payments have become a higher priority for their travel program. (Business Travel News, 2020)
• 51% of corporate travelers believe that all business trip payments will be made via mobile devices in a few years. (Business Travel News Europe, 2017)

The Decline of Ride-Hailing Apps

Ride-sharing apps are undoubtedly cheaper and more convenient alternatives than car rental and chauffeur services. However, with the current pandemic, it seems less and less business travelers are willing to leverage them due to the risk of contracting the virus.

• Ride-hailing companies make up 70.5% of all ground transportation receipts for business trips. (USA Today, 2018)
• Usage of ride-sharing apps like Uber and Lyft dropped between 70% to 80% due to travel reductions brought about by the pandemic. (Forbes, 2020)
• 39% of U.S. consumers who previously used ride-sharing plan to lessen their use of these services. (CarGurus, 2020)
• However, the total number of ride-sharing services are expected to reach 71.3 million users in 2021. (eMarketer, 2020)

Augmented Reality and Virtual Reality Tech

Business travelers, while often trained to deal with unforeseen circumstances, want to come prepared. That is to say; they like visualizing how their travel plans are going to pan out well before the actual trip. To do this, they must familiarize themselves with their destination.

This is where augmented reality (AR) and virtual reality (VR) comes in. These technologies will allow them to get the lay of the land. So, it is easier to map out their itineraries and manage expectations for the trip. For more information about this tech, be sure to check out our list of VR statistics for 2019 .

• Business travel data reveals that 1 in 5 travelers want to use AR so that it is easy to check out their destination before a trip. (Booking.com, 2018)
• 81% of business travelers expect hotels to use virtual, reception-free check-in processes in the future. Meanwhile, 79% predict that using VR tech for accommodations will become the norm in the next 10 years. (Business Travel News Europe, 2017)

Artificial Intelligence

In a similar vein as practically every other industry, business travel is also being reshaped by artificial intelligence (AI). Many travel companies, managers, and corporate travelers rely on this tech to make their trips much more efficient. As you’ll see below, they find this very useful when it comes to monitoring employees as well as finding travel suggestions for planning.

• The majority of corporate travel managers (82%) say that the use of AI for business travel is “very useful” or somewhat useful.” (Skift, 2018)
• 55% of business travelers say they will allow employers to use GPS tracking to monitor their location during out-of-town trips. (Travelport, 2018)
• 41% expect travel brands to use AI to provide them with significant travel suggestions. (Booking.com, 2018)

If you are looking for emerging trends in AI usage, we also have this list of AI statistics that you might find handy.

10. Impact of COVID-19 on Business Travel

With lockdowns and travel restrictions, COVID-19 has turned the business travel sector upside-down. Even as vaccination programs offer a glimmer of hope that business will resume soon, companies still worry about their liabilities for employees who travel without getting vaccinated.

• At the outset of the pandemic, 98% of member countries of the Global Business Travel Association canceled international business tours, while 92% canceled all or most of their business trips. (GlobeNewswire, 2020)
• International business travel experienced a sharp decline of -70% in 2020. (U.S. Travel Association, 2021)
• In a survey, 24% of respondents said that their company is considering returning to domestic travel in one to three months. (Global Business Travel Association, 2020)
• On the other hand, only 6% of respondents said that their company is considering returning to international business travel in one to three months. (Global Business Travel Association, 2020)
• 57% of business travelers are considering taking a trip in the next six months. However, corporate travel and meeting planners are concerned with their liability if employees travel without being vaccinated. (MMGY Global, 2020)
• Only 6% of people miss traveling for business, compared to 48% who miss travel to spend time with loved ones. (Airbnb, 2021)
• Moreover, as of December 2020, 21% of travel managers report that they are not willing to travel for work. (Global Business Travel Association, 2020)
• When the pandemic is over, 36% of people expect to travel less for work compared to pre-COVID conditions. (Airbnb, 2021)

Source: GBTA 2020

What Do These Business Travel Facts Mean for Your Company?

The pandemic has changed not only the number of flights worldwide but also the entire face of business travel. But with some signs of bouncing back in the years to come, it is hoped that things will soon be better for one of the industries that were deeply hit by the pandemic. Until then, it is important for companies to find ways on how to carry out business travel in these challenging times.

After all, while it may be convenient to connect with people using video conferencing and similar modes of communication, we have to admit that these are not enough. Getting your message across to customers, colleagues, and potential partners is only half the purpose of these business interactions. If you truly want to build rapport, develop trust, and ensure coordination. Undoubtedly, face-to-face meetings are still the way to go. This is why business travel remains a crucial part of many industries.

As you have already read in our article, corporate travel is expensive, and it is getting more so every year. However, when these are planned thoroughly and executed properly, you can open more opportunities for your company. It can even help you attract the best talents for your company.

Just be sure to take the time to understand the needs of your business travelers. This way, you can have a better idea of how you can improve the experience for them and maximize their participation in each trip.

To sum up, we hope that our list of business travel statistics was able to help you get a better idea of the state of the industry as well as where it is headed. With this data, preparing for future business travel efforts should be much simpler.

References:

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• ACTE Research. (2020, January 28). Quality management in business travel. BCD Travel .
• Advances in procurement technology and business travel. (2018, November 19). Egencia .
• Baker, M. (2019, April 18). 5 reasons your corporate travel policy needs regular review. Lola.com .
• Booking.com reveals 8 travel predictions for 2019. (2018, October 18). Booking.com .
• Business travellers expect to be cashless by 2027. (2017, September 28). BTN Europe .
• CarGurus U.S. COVID-19 sentiment study. (2020, April). CarGurus Dealer Resource Center .
• Coronavirus poll results. (2020, December 17). Global Business Travel Association – GBTA .
• Cramer-Flood, E. (2020, September 22). Uber and Lyft users and sales will decline dramatically this year. Insider Intelligence – eMarketer .
• CWT research: Two-thirds of travelers pick window over aisle; 52% prefer missed flight over lost luggage. (2019, April 30). CWT .
• CWT™ Research. (2019, June 26). RoomIt by CWT™ research reveals key differences in business traveler hotel preferences by country. CWT .
• Deane, S. (2020, May 15). Over 60 business travel statistics (2021). Stratos Jet Charters, Inc .
• Ferreira, M. (2018, December 12). The most expensive airports for business travellers. FairFX Blog .
• Getting back to business: Navigating the safe return of meetings and their role in economic recovery. (2020). U.S. Travel Association .
• Ghijs, S. (2017). The business flight travel survey statistics. Fly Aeolus .
• Global business travel industry. (2021, April). Reportlinker.com .
• Goldstein, M. (2018, June 28). Millennials say business travel is rough, give us more. Forbes .
• Goldstein, M. (2020, July 27). What is the future for Uber and Lyft after the pandemic? Forbes .
• How innovative companies travel. (2017). TravelPerk .
• IATA global passenger survey 2018 highlights. (2018). IATA .
• IATA global passenger survey 2019 highlights. (2019). IATA .
• Infographic – The average cost of business travel. (n.d.). Certify .
• Jet, J. (2018, October 25). Are Bleisure trips becoming more common? This study says yes. Forbes .
• Jovic, D. (2021, January 11). 42 business travel statistics you should know about in 2021. SmallBizGenius .
• Kaki, M. R. (2020, March 25). A comprehensive guide to building corporate travel policy. Fyle .
• Kemmis, S. (2020, August 24). Analysis: How have hotel prices changed in 2020 vs. 2019? NerdWallet .
• Lodging industry trends 2015. (2015). American Hotel & Lodging Association – AHLA .
• London ranked joint 10th most expensive location in the world for business trips. (2019, April 17). ECA International .
• May, K. (2021, February 2). Business travel expected to make full recovery by 2025. PhocusWire .
• Mazareanu, E. (2020, November 6). Topic: Ridesharing services in the U.S. Statista .
• McCarthy, N. (2019, August 19). Infographic: TSA security: The longest waits at U.S. airports. Statista Infographics .
• McDonald, M. (2017, July 19). New GBTA report highlights huge impact of business travel on the US economy. PhocusWire .
• Menze, J. (2018, August 6). Airbnb for work bookings triple, drive “significant” growth for homes business. PhocusWire .
• Mezi. (2017, July 13). The changing landscape of business travel. Medium .
• More than 40 percent of business trips are extended for leisure purposes. (2016, December 7). Expedia Group Media Solutions .
• The most expensive US destinations to rent a car 2020. (2020, August 6). Cheap Car Rental . https://www.cheapcarrental.net/press/summer2020.html
• National car rental 2018 state of business travel survey fact sheet. (2018). National Car Rental .
• New GBTA research shows coronavirus continues to impact the business travel industry. (2020, March 10). Global Business Travel Association – GBTA .
• Perrotta, A. (2020, November 5). Technology trend watch. Business Travel News .
• Pitrelli, M. B. (2020, September 23). Many thought airfares would spike in the age of coronavirus. That’s not happening yet. CNBC .
• Qui, S., & Freed, J. (2020, October 15). China’s domestic flights in September top pre-pandemic levels. Skift .
• Reid, C. (2020, December 16). Travel in 2021 will be better and worse than you think. MMGY Global .
• Report: 2021 will be the year of meaningful travel. (2021, January 28). Airbnb .
• ReportLinker. (2020, November 19). Global business travel industry. GlobeNewswire News Room .
• Reuters. (2020, March 11). Business travel sector to lose $820 billion in revenue on coronavirus hit, industry group says. CNBC .
• Sanchez, M. (2017, October 11). Business travel’s influence on employee retention, recruitment and results. Global Business Travel Association – GBTA .
• Sheivachman, A. (2016, October 27). Millennials are now the most frequent business travelers. Skift .
• Skift Research, & McKinsey & Company. (2020, September). The travel industry turned upside down. McKinsey & Company .
• Skift, & Turkish Airlines. (2018). The 2018 Skift global business traveler report. Skift .
• Small business owners realize benefits in taking vacations, but still struggle to unplug, Marriott rewards premier business credit card survey reveals. (2016, June 14). Business Wire .
• Statista Research Department. (2021, February 18). COVID-19 impact on business trips to U.S. 2021. Statista .
• Travelport survey shows business travelers most willing to allow employer tracking. (2018). Travelport .
• Travelport: Over half of business travelers willing to pay for extras. (2018, August 15). AeroLatinNews .
• Trejos, N. (2018, May 2). These are the most expensed restaurants, hotels, airlines among business travelers. USA TODAY .
• TripActions, & Skift. (2019, October 24). New report: The state of business travel 2020. Skift .
• TripActions, & Skift. (2019, October 28). New report: The state of business travel 2020. Skift .
• U.S. business travel. (2017, May 20). Bureau of Transportation Statistics .
• Updated business travel IRS per diem rates have been announced for 2020. (2020, September 30). Maxwell, Locke & Ritter – MLR .
• Weekly coronavirus impact on travel expenditures in the U.S. (2021, January 22). U.S. Travel Association .
• Weir, M. (2019, November 5). How much airfare in the US costs today compared to 10 years ago. Business Insider .
• Whatman, P. (2021, March 30). 60+ fascinating business travel statistics for 2021. Spendesk .
• Which passengers make the most money for airlines? (2020, October 7). Investopedia .
• Wood, D. (2020, February 25). REPORT: Companies spend $111.7 billion annually on business travel. TravelPulse .
• YOUNIQUE: Personalized marketing index, the new travel experience. (2017). Accenture .

By James Anthony

A senior FinancesOnline writer on SaaS and B2B topics, James Anthony passion is keeping abreast of the industry’s cutting-edge practices (other than writing personal blog posts on why Firefly needs to be renewed). He has written extensively on these two subjects, being a firm believer in SaaS to PaaS migration and how this inevitable transition would impact economies of scale. With reviews and analyses spanning a breadth of topics from software to learning models, James is one of FinancesOnline’s most creative resources on and off the office.

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Business Travel Statistics By Industry and Business Size

Updated · Jun 26, 2023

WHAT WE HAVE ON THIS PAGE

• 1 Introduction
• 2 Editor’s Choice:
• 3 Key Business Travel Statistics
• 4 Benefits of the U.S. Business Travel
• 5 Operating Partners of Business Travel in the U.S.
• 6 Reasons for Constraints in Business Travel
• 7 Expensive Cities in the United States
• 8 U.S. Business Travel Statistics
• 9 Travel Statistics By Business Size
• 10 U.S. Business Travel: Industry Statistics
• 11 Remote Employee Statistics
• 12 Sustainable Business Travel Statistics
• 13 Some Important Statistics
• 14 Conclusion

Introduction

Business travel statistics: Business travel is a type of trip that is taken for work purposes only and is not a travel holiday, or vacation. Business trips usually involve tasks that require at least a day away from home. Generally, these are of two types: domestic and international. Statistics say that by the end of 2022, the United States will have around 460 million business travelers, and the annual revenue generated will be $387 billion. This article includes many important travel statistics on different businesses which will provide a proper understanding of the topic.

Editor’s Choice:

• In 2022, the market for business travel in the US was worth $201.3 billion.
• Spending on business trips has increased by 34% by the end of 2022.
• As of 2022, business travel has turned out to be 1 2% of overall travel in the U.S.
• Over 460 million business travelers have traveled in the U.S.,
• In the United States, businesses spend more than $111.7 billion annually on travel.
• By the end of 2022, around 50% of American business travelers belonged to the age group of 35-54 years.
• In April, travel expenditures slightly decreased from the first quarter of the year.
• International travel expenses of the U.S. corporate have increased by 21% in 2022 and expecting to increase by 33% by the end of 2023.
• Business travels that had stopped in the last two years have been renegotiated again in 2022.
• One-third of US businesses claimed to achieve 2030 sustainability goals. Thus companies have started to cut back on staff travel by more than 20%.
• The number of business trips is expected to reach 487 million by 2026.

Key Business Travel Statistics

• The market size value of the U.S. in 2022 was $1.22 billion.
• The growth rate is expected to reach a CAGR of 10.3% starting from 2022 to 2030.
• The market size of the travel agency sector in the U.S. reached 48.53 billion in 2022.
• 12% of American business travelers remained near the nation in 2022 due to some pre-pandemic factors.
• In 2022, 45% of international business travel in the U.S. has been postponed.
• 43% of no or little international travel because of pandemic factors in 2022.
• The proportion of firm spending invested in business travel increased by 10.7 percent.
• American businesses are reducing expenditures on travel for business trips by 25%.
• The United States suffered in the first quarter with a loss of $43 million and a negative operating margin of 0.4 percent due to changes in the seasonality of its business travel.
• Air travel increased by 10% since last year in April 2022.
• Due to more travel, the demand for the hotel increased by 2%.
• The overall overseas arrivals in the U.S. decreased by 27% in April 2022.

Benefits of the U.S. Business Travel

• 54% of travelers developed better relationships with stakeholders.
• 29% = Proper training and professional development
• 29% = involved in building awareness about products and services of different organizations.
• 24% = focused on understanding the current business trends.
• 22% = achieved proper motivation and engagement.
• 20% = involved in analyzing sales reports.
• 15% = has gained knowledge in dealing with competitor companies.

Operating Partners of Business Travel in the U.S.

• Expedia, Inc.
• Booking Holdings Inc.
• American Express Global Business Travel (GBT)
• TCS World Travel
• Abercrombie & Kent USA, LLC
• Exodus Travels Ltd.
• Intrepid Travel
• Topdeck Travel Ltd.

Reasons for Constraints in Business Travel

• 2021 has impacted most of the business sectors of the United States and those consequences had contained business travel.
• 23% of U.S. businesses have lagged about the importance of business travel.
• 71% of business firms had replaced their business travel with a virtual meeting process.
• Spending on business travel has increased by 66% because of having more remote employees.
• As stakeholders have also started working remotely, thus around 64% of companies limited their business travel.
• 63% of all business firms in the U.S. have faced many financial issues which became the cause of less travel.
• 59% of companies were working under risk mitigation that reduced the cost of traveling.

Expensive Cities in the United States

(Reference: statista.com)

• The above graph shows the highest to lowest expenses in business travel cities of the United States in the 4t quarter of 2022.
• The amount above is calculated on a daily basis.
• New York ranked top with $647.07 on accommodation, food, and car.
• San Francisco = $478.16
• Boston = $471.96
• Honolulu = $460.37
• Washington = $454.27
• Santa Barbara = $441.64
• Chicago = $438.69
• White Plains = $438.05
• New Orleans = $434.17
• Seattle = $429.97

(Source: spendesk.com)

• The color of the above graph represents travelers’ restrictions in 2022.
• 50% of all U.S. business travel got restricted.
• Only essential travel was permitted by 23% of business
• No travel restriction was applicable on 19%.

(Reference: zippia.com)

• The above pie chart represents the different sections of expenses for business travel in 2022.
• Lodging costs increased by 34%.
• Airfare increased by 27% and Car rentals = by 19%
• Meal by 20%.

• The above graph represents the business travel spending in the United States.
• As of 2022, the growth was expected to increase after a huge decline in the previous two years.
• In the 1 st quarter of 2022, it has increased to 25%.
• 2 nd quarter = 36%
• 3 rd quarter = 45%
• 4 th quarter = 55%
• As of 2023, the spending is expected to reach 68% by the 4 th

(Source: maddenmedia.com)

• The above graph shows the U.S. domestic spending between leisure travel and business travel.
• In 2022, the spending ranked higher in business travel and is estimated to be reduced in the coming years.

(Reference: ustravel.org)

• The above graph explains the business travel percentage in the U.S. depending on different business purposes.
• In 2022, 2nd quarter (conferences, conventions, or trade meetings) = 81% and 3rd quarter = 78%.
• In 2022, 2nd quarter (customer, supplier, and stakeholder meetings) = 80% and 3rd quarter = 75%.
• Internal meetings in 2022, 2nd quarter = 85% and 3rd quarter = 80%.
• If compared between quarters 2 and 3, then quarter 3 had made one travel in the next six months.
• Total number of business trips in Q1 = 2593, Q2 = 2545, Q3 = 1641

U.S. Business Travel Statistics

• 8 trips per month as compared with 1.9 pre-pandemic with a drop of 5.1% by the mid of 2022.
• The percentage of planned business travels that are travel for external purposes, including meeting mostly with individuals outside of their organization, conferences, conventions, or trade exhibitions was 67%.
• By the end of 2022, internal meetings on an average = 0.6 / month
• Customer and stakeholder meetings = 0.7 / month
• Conferences and trade meetings = 0.5 / month

Travel Statistics By Business Size

• In 2022 there was a rise in travel assurance in smaller businesses has increased than in larger businesses.
• Companies with less than 1000 employees are termed as smaller businesses and more than 1000 are larger businesses.
• Conferences and convention meetings (smaller companies) = 82% and (larger companies) = 73%.
• Customer, supplier, and stakeholder meetings (smaller companies) = 76% and (larger companies) = 72%.
• Internal meetings (smaller companies) = 80% and (larger companies) = 80%.

U.S. Business Travel: Industry Statistics

• (Health care and social services) = 10.2%
• (Information and technology) = 9.8%
• (Manufacturing) = 9.4%
• (Professional, Scientific, and Technical Services) = 6.9%
• (Banking, Finance, and Insurance) = 5.5%
• (Construction) = 5.4%
• (Retail Trade) = 4.7%
• (Food Services, Restaurants, and Hospitality) = 3.8%
• (Educational Services) = 3.7%
• (Aviation and Aviation Services) = 3.7%
• (Arts, Sports, Entertainment, and Recreation) = 3.4%
• (Transportation and Warehousing) = 3.2%
• (Utilities) = 3.1%
• (Agriculture, Forestry, Fishing, and Hunting) = 3.0%
• (Mining) = 2.9%
• (Real Estate and Rental and Leasing) = 2.6%
• (Wholesale Trade) = 2.3%
• (Public Administration/Government) = 2.2%
• (Management of Companies and Enterprises) = 2.1%
• (Administrative and Support) = 0.7%
• (Waste Management and Remediation Services) = 0.4%
• (Other sectors) = 11%

Remote Employee Statistics

• In 2022, the United States is having one-third of business travelers those were working from home.
• Fully remote employee = 35%
• Mostly remote and sometimes office employees = 26%
• Fully office employee = 15%
• Mostly office and sometimes remote employees = 24%
• By the end of 2022, went for business travel was 1641 remote employees in the U.S.

Sustainable Business Travel Statistics

• In 2022, 77% of all U.S. business firms had increased business trips only when sustainable options were available.
• 76% of companies increased the rate of travel without bothering about the expenses.
• 74% of organizations invested in business travel in return for financial gains.
• 72% of companies will implement new policies on increasing business trips by 2023.

Some Important Statistics

• The quarterly U.S. business travel index of 2022 has decreased since 2019 but had increased from the previous year.
• In the 1st quarter of the 2022 it remained 67 out of 100; 2nd quarter = 82; 3rd quarter = 85 and 4th quarter = 85+
• By the mid of 2022, 85% of remote employees in the U.S. had expected to travel for internal meetings as compared to 72% of office employees.
• 73% of remote employees traveled more for conference meetings as compared to office employees.
• While on working trips, 45% of women report positive experiences.
• 81% of remote employees traveled more for stakeholder meetings as compared to office employees.
• In 2022, U.S. business trips have increased by 32%.
• Traveling for business in New York costs $500 per day, making it the most costly city.
• In the U.S. every year around 400 million business travel takes place.
• Traveling helped the nation in gaining more than 700K job opportunities.
• Every month, travelers of U.S. businesses make 2 trips.
• Around 33% of U.S. international business travelers’ toped destination was in Mexico in 2022.
• The U.S. had spent 80% of its expenditure on domestic business travel.
• In July 2022, almost 122K flights have been canceled because of post-COVID-19 restrictions.
• Around 43% more employees have scheduled to travel for business work.

After completing the article on business travel statistics it can state that the overall business sector in the United States represents business travel as an effective investment. This travel is beneficial as it gives chances to enhance network, attend conferences, and discover new markets in addition to giving chances to interact directly with business clients. In 2022, the market for business travel has increased with a worth of $201.3 billion. Many stats above in the article describe several positive and negative factors on different kinds of companies and industries will provide a clear idea about the topic.

By the end of 2022, the U.S had made more than 12% of business travel and over 460 million travelers have traveled.

This provides more networking opportunities, influences employees' prospective, allow them in experiencing new working cultures, and many more.

Whenever an employee returns from a business trip, they have to adhere to a difficult reimbursement process.

Flight tickets, car rentals, parking facilities, hotel including meal, and lodging services and Wi-Fi are the basic expenses provided by companies.

Barry is a lover of everything technology. Figuring out how the software works and creating content to shed more light on the value it offers users is his favorite pastime. When not evaluating apps or programs, he's busy trying out new healthy recipes, doing yoga, meditating, or taking nature walks with his little one.

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What are you looking for?

100+ business travel statistics (2023).

Business travelers contribute a lot to the travel industry in general.

In the US alone, 1.3 million people go on business trips every day.

Although the industry was forced to a slowdown due to the recent Covid-19 pandemic , the business travel market is expected to grow by 188% in 2028.

Today, I’ve summarized everything from the average business travel spending to employee behaviour towards corporate travel.

Whether you’re going on a trip for work or something else, we hope you might find these statistics useful!

Let’s get started…

Sources : You can see the source of every statistics or go to the bottom of this post for a full list of all the surveys and articles used here.

Travellerspoint

What is considered business travel?

Business travel includes any domestic or international trip taken by employees in order to complete corporate-related events. For example, meetings, client works, trade shows, conferences, and product launches.

Business travel spending generally comprises all aspects of the trip, from accommodation and transportation to entertainment.

How many people in the US travel for business?

In the US alone , 1.3 million people travel for business daily.

How big is the business travel market?

The global business travel market was worth $700 billion in 2020.

What percentage of travel is business vs leisure?

In 2021, business travel accounted for 20% of the total global travel and tourism expenditure.

Is the business travel industry growing?

Yes, the business travel market is predicted to grow by 188% in 2028.

Business Travel Key Statistics

• 92% of these countries also called off all or most of their domestic business tours in April 2020.
• The global business travel market was worth $700 billion in 2020. 
• By 2028, the business travel market is predicted to grow by 188%.
• Due to the Covid-19 pandemic, the loss in global business travel spending reached over $700 billion in 2020.
• Accommodation makes up 34% of the average business trip cost, while airfare makes up 27%, meals 20% and car rental 19%.
• The average business traveler is male (63%) and aged between 35 and 54 year old (50%).
• In 2021, the United States and Canada both ranked as the best-rated destinations for business and non-leisure travellers.
• 56% of business travelers state that lowering their carbon footprint is a moderate priority, whereas 21% believe that it’s a top priority. 
• The share of companies canceling most or all domestic business trips worldwide reached 38% as of October 2021.
• 35.2% of travels buyers believe that travel digitization will increase after the COVID-19 pandemic.

General business tourism statistics

1. although business travelers only comprise 12% of all airline passengers, they contribute up to 75% of profits..

[Investopedia]

This is because corporate travelers tend to pay a higher rate for last-minute and non-stop options.

2. In April 2020, 98% of the member countries of the Global Business Travel Association had to cancel overseas business trips.

[ReportLinker]

3. 92% of these countries also called off all or most of their domestic business tours.

4. nearly all business travel bookings are made online, with 28% of hotel bookings made from the hotel’s website, 14% through a travel agent, 10% from an online travel agency (ota), and 7% through a third-party..

[StratosJets]

Around the world, 57% of all travel bookings are made online .

5. In the US alone, 1.3 million people travel for business daily.

Global business travel market, 6. the global business travel market was worth $700 billion in 2020. , 7. in 2028, the business travel market is predicted to grow by 188%., 8. the global business travel market is estimated to reach $829.5 billion by 2027 at a cagr of 3% over seven years..

The travel market is one of the hardest hit industries in the world by the Coronavirus pandemic. It has begun to recover, albeit slowly, and is expected to reach pre-pandemic levels in roughly seven years.

9. Food & lodging takes up the largest segment in business travel, projected to grow at a 3.7% CAGR and hit $446.6 billion by the end of 2027.

10. the business travel market in the united states was estimated to be worth approximately $243.2 billion in 2020., 11. the chinese business travel market is predicted to grow at a 5.1% cagr until it reaches $49.8 billion in 2027..

China has the second largest economy in the world. It’s forecast to achieve a market size of$49.8 billion by 2027.

12. Japan and Canada’s business travel market are predicted to grow at a rate of 2.2% and 3.1% respectively between 2020 and 2027.

13. meanwhile, germany will grow with a cagr of 2.4% over the same period of 2020-2027. , 14. the asia-pacific region is calculated to reach $114.9 billion market share by 2027, with the notable economies being australia, india, and south korea., 15. in the transportation segment of business travel, us, canada, japan, china and europe is expected to drive the 1.4% cagr, reaching a combined $101.9 billion by 2027., 16. the latin american transportation market of business travel will grow at a 1.8% cagr., business travel spending.

How much are the average business travel expenses?

17. In 2021, business travel accounted for 20% of the total global travel and tourism expenditure, a 1% decrease from 2019.

18. Business travel expenditure peaked at approximately $1.4 trillion in 2019.

Overall, business travel includes work-related trips such as attending meetings, trade fairs, and congresses.

19. Business travel spending is forecasted to reach $0.9 trillion in 2022, and recover to the all-time high of $1.4 trillion by mid-2026.

20. Due to the Covid-19 pandemic, the loss in global business travel spending reached over $700 billion in 2020.

21. global business travel spending is expected to gain 33.8% in 2022., 22. china recorded the world's highest business travel spending in 2021, at almost $295 billion..

The country spending the second highest amount in business travel was United States, at just over half of China’s spending.

23. However, China was also the country that experienced the biggest loss in business travel expenditure ($404 billion) due to the pandemic.

24. europe was the second most impacted region, losing $190.5 billion collectively..

Europe experienced a $190.5 billion loss in business travel during the pandemic.

25. The Asia-Pacific region (not counting China, Hong Kong, and Taiwan) lost $120.2 billion in business travel spending.

26. in terms of business travel spending recovery, north american performed best in 2021, all thanks to the rapid regaining of domestic travel. it’s expected to experience a compounded annual growth of 23.4% by 2026., 27. for 2022, there was an increase of 16.5% ($407.1 billion) in the asia pacific region, recovering to 66% of pre-pandemic levels by the end of the year., 28. accommodation makes up 34% of the average business trip cost, while airfare makes up 27%, meals 20% and car rental 19%..

[Travel Pulse]

29. In general, January and March and September to October are the most expensive times to travel.

Demographics of business travelers.

Who is the average business traveler?

30. The average business traveler is male (63%) and aged between 35 and 54 year old (50%).

A recent survey has revealed that only 37% of business travelers are female .

31. Over half (56%) of business travelers are employed in a professional or managerial position.

32. business travelers make an average of $127,000 per year., 33. 66% of business travelers hold a bachelors’ degree., 34. a majority of business travelers, or 78%, travel alone on corporate trips..

Business travelers contribute to the rising number of solo travellers. In fact, 78% of them travel alone for business .

35. Nearly all (95%) business travelers will make reservations for their trip.

Top business travel destinations.

Where do people travel the most for business?

36. In 2021, the United States and Canada both ranked as the best-rated destinations for business and non-leisure travellers, each obtaining 6.4 in scores.

The scoring system is based on the Travel and Tourism Development Index (TTDI), on a scale from 1 (worst) to 7 (best).

Canada scored 6.4 in 2021 , ranking itself as one of two best-rated business and non-leisure travel destinations in the world.

37. They’re followed by Japan (6.2), China (6), and the UK (5.7), rounding up the top 5 business travel destinations.

UK remains as the fifth highest-rated destination for business travelers.

38. The main country destination for business meetings in 2021 was the United States (500 association events).

39. spain and japan, each with more than 360 events in 2021, ranked as the top second and third country destination for business meetings., 40. the us is also the country with the most conferences, business meetings, and trade shows planned between may 2022 and april 2023, with 33 thousand listed events., 41. the united kingdom has the second highest number of events planned for that period, with 6.4 thousand events listed across all industries., 42. in q4 2021, zurich was the most expensive city for business tourism, averaging $593 in daily cost..

Out of the top ten most expensive business travel destinations, three are Swiss cities, which shows just how expensive the country can be.

43. In Tokyo, the average daily cost for business travel is $517.

44. in terms of hotel cost, the most expensive business destination is new york, where a hotel room costs on average $376 per night..

With hotels having an average daily rate of $376 , New York is the most expensive destination for business trips.

45. Europe is expected to recover the most for US-originating trips in 2022. 25% of travelers say that they expect to take the same amount, if not more, business trips to Europe.

Purposes for business travel.

What is an example of business travel?

46. 43% of respondents in a survey say that sales visits are in the top two reasons for making international business trips in 2022.

47. the next driving reasons for international business trips in 2022 are leadership meetings (32%) and client-based projects (31%)., 48. surprisingly, conferences are only ranked as the top two reasons for sending employees overseas by 15% of respondents., employee perks and opinions in business travel, 49. 28% of employees who travel for work report that travel experience or satisfaction is the biggest pain point of their company’s travel program. , 50. meanwhile, only 13% of travel managers state that travel experience or satisfaction is the single greatest strength., 51. 41% of business travelers claim that cost savings outweigh employee satisfaction in their corporate travel program. 38% say that both factors are balanced, while 21% state that employee satisfaction is prioritized over cost efficiency., 52. 38% of business travelers are the least satisfied with the travel technology of their company., 53. the most desired perk by business travelers is the freedom to book with their favorite travel suppliers (46%)., 54. at 43%, the second most desired business travel perk is the permission to stay an extra night after the end of work meetings., 55. 39% of business travelers would like the ability to book their travels outside of the corporate travel agency., 56. 39% expressed a desire for companies to pay for leisure experiences during business trips., 57. however, a majority of travel managers (84%) state that their company would not consider offering bleisure options., 58. for 83% of employees, business travel is considered a job perk., 59. 79% of employees also say that the ability to travel affects job satisfaction., 60. 60% of job applicants report that a company’s travel policy influences their decision when considering an employer., 61. moreover, nearly 2 out of 5 millennial employees won’t accept a job that doesn't allow them to travel..

Almost 2 in 5 millennial employees will not accept jobs that don't allow them to travel.

Sustainability in business travel

62. 56% of business travelers state that lowering their carbon footprint is a moderate priority, whereas 21% believe that it’s a top priority. , 63. a majority of business travelers are willing to forego daily hotel cleaning (77%) to reduce carbon footprint., 64. to support the effort of reducing carbon footprint, most are also willing to use smaller cars (73%), fly premium less frequently (68%), travel less for work (63%), and take longer business trips at a time (56%)..

65. By 2025, 30% of companies expect sustainability to cause a 11% to 25% cutback in travel budgets.

Sustainability remains a priority for most companies, but they also expect that it will cause corporate travel spending to decrease.

Hotels and accommodation in business travel

66. in 2019, meetings and conferences made up 18% of hotel gross bookings..

This data was based on a 2020 Phocuswright study.

67. In a 2015 survey, business travelers comprise 40% of hotel guests.

68. In 2015, hotels generated $141.5 billion in business travel tax revenue alone.

69. corporate booking tools heavily rely on hotels as accommodation. only 9% offer alternative lodging., 70. almost half of companies surveyed in 2022 don’t offer nonhotel lodging reimbursement for their employees..

71. 12% of travel managers have succeeded in adding clauses that specify the availability of amenities for business events in hotels.

72. meanwhile, 10% of travel managers have considered adding such clauses, although they haven’t been successful in implementing them., 73. when airbnb for work launched as airbnb for business in 2014, their bookings tripled from 2015 to 2016..

[PhocusWire]

74. Then again, Airbnb for business bookings tripled from 2016 and 2017, while the number of companies using the platform hit 700,000 in 2017, almost double from the previous year.

In fact, Airbnb for Business was one of the top fastest-growing businesses within the company.

75. Out of the 60% of Airbnb for Work bookings with more than one guest, 40% of them have three or more guests.

This indicates a growing interest in collaborative business trips.

Business travel technology and accessibility

76. only 26% of travel managers claim that their corporate travel booking tool does a good job in accommodating employees with accessibility needs. , 77. meanwhile, a significant percentage of travel managers (37%) are not sure how well their company’s booking tool assists employees with accessibility needs. , 78. 78% of business travelers would like to see personalized search results based on previous purchases and travel loyalty status (78%)., 79. the same percentage (78%) is also interested in the ability to book multiple types of ground transportation., 80. moreover, 70% is interested in integrated access to risk intelligence information. this includes covid-19 infections and crime statistics in the local area..

This shows just how ready business travelers are for new booking-related innovations that can make the business travel experience more seamless.

Challenges and opportunities in business travel

What is the outlook of business travel?

81. 85% of business travelers stated that they need to travel to accomplish their business goals. 

This was based on a GBTA survey in July 2022 of more than 400 frequent business travellers and nearly 48 decision makers.

82. More than 75% expect to make more business trips in 2023 than they did in 2022. 

83.  84% of senior global corporate finance professionals are confident that travel spending would increase in 2023., 84. 73% of business travelers agree that inflation will impact business travel volumes in the future., 85. 69% of business travelers and 75% of global financial executives are worried that a possible recession will affect business travel., 86. most business travelers are ready to travel for work as much as they did before the pandemic. a total of 81% prefer to take the same amount (46%) or more (35%) business trips., 87. compared to wfh-dominant companies, those that implement more wfo policies are twice as likely to expect travel spending to recover to 2019 levels by the end of 2023., 88. over 30% of airbnb for work bookings include at least one weekend night, which shows that leisure is still common., covid-19 impact on business travel.

How did the Covid-19 pandemic affect business travel?

89. The share of companies canceling most or all domestic business trips worldwide reached 38% as of October 2021.

According to the Global Business Travel Association, 38% of companies canceled most or all domestic business trips in October 2021.

90. In that same month, nearly eight in ten firms delayed international business travel.

91. business travel failed to meet expectations in the second half of 2021, with approximately 33% of travel managers expecting to hit half of their 2019 spending in june 2021, but only 8% managing to reach that goal., 92. in 2021, business travel spending worldwide recovered by just 5.5% after having plummeted by over 50% in the previous year due to the coronavirus pandemic. , 93. 70% of providers and buyers of business travel services stated covid-19 travel restrictions hurt their business outcomes..

This data was gathered from a global survey in February 2022.

94. As a concrete example, Deloitte spent more than $583 million on air travel in 2019, but only $97 million in 2020.

This figure is surprising because Deloitte was the second leading air travel spender in the United States.

95. 58% of travel managers around the world expected that hotel prices would plummet during the Covid-19 pandemic.

96. 35.2% of travels buyers believe that travel digitization will increase after the covid-19 pandemic., 97. 72% of organizations are keeping online and hybrid meetings even after the pandemic ends., 98. as of february 2022, around 10% of employees across the globe were still unwilling or unsure to take business trips., 99. while pandemic-related concerns in corporate travel have fallen in 2022, increasing travel prices remain a huge barrier., 100. overall, the 2022 gbta business travel index concludes that the biggest challenges to faster recovery in global business travel include inflation, high energy prices, and labor shortages., 101.  the economic slowdown in china and rising sustainability problems are also two major factors in the slow recovery of business travel worldwide..

That’s all about business travel for now!

We’ve learned the outlook of business travel, which despite being impeded by the Covid-19 pandemic will continue to recover and grow.

Do you think we missed any important aspect about business travel?

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42 Business Travel Statistics That Will Inspire You to Hit the Road

By Danica Jovic

February 6, 2024

People enjoy traveling. Indeed, they like it so much that most don’t care if they need to send a few emails, attend meetings, or listen to seminars during their trip. Work hard, play hard – that’s the motto of business travelers, who are happy to endure a morning full of meetings if it means they can spend the afternoon sipping margaritas in the sun.

Business travel statistics show that about 30% of job seekers are ready to accept lower-paid jobs if they include business trips. Companies are aware that employees enjoy these “bleisure” trips, and are in many cases willing to make them more comfortable with a lot of money for travel spending, accommodation, meals, and transportation. We’ve compiled the following stats and facts to show just how popular business travel has become.

Editor’s Choice: Business Travel Statistics

• Global business travel statistics from 2017 show that during that year, $1.33 trillion was spent on business travel worldwide.
• Globally, annual business travel costs are expected to amount to $1.7 trillion by 2022.

According to the Global Business Travel Association, 1.3 million business trips are taken in the US every day.

• Almost 10% of business trips can be categorized as “bleisure” trips.

Although business travel is on the rise, only 60% of companies actually have a corporate travel policy.

General business travel statistics.

Even though we live in a telecommunication-dominated era, face-to-face business meetings are still essential for building stable and continuous relationships with clients. No matter how easy it is for workers to make a conference call, communicate with colleagues via Skype, or attend a webinar from the comfort of your own office, companies still organize business trips for employees. In fact, the business travel economy has grown rapidly since the Great Recession, with spending reaching $1.6. trillion in 2020.

The latest US business travel statistics show that US travelers took over 463 million business trips inside the US in 2018.

While business travelers account for only 12% of flight tickets, they generate roughly twice as much money per person for airlines as non-business customers..

(Investopedia)

Global business travel statistics from 2017 show that $1.33 trillion was spent on business travel worldwide during that calendar year.

(Global Business Travel Association)

Annual global business travel costs are set to rise to $1.7 trillion by 2022, according to what was then the National Business Travel Association.

Two-thirds of business travelers believe it’s difficult to build a working relationship via video calls..

(Skift and TripActions)

Global Business Travel Statistics

International business travel statistics show that the US and China are the global leaders when it comes to business travel spending, followed by India, Indonesia, and Sweden. You probably won’t be surprised to learn that the most expensive cities for taking business trips are New York and the two largest Swiss cities: Zurich and Geneva. However, while most countries are spending more on business travel, the UK is going backward; there was a 3% decline in outbound business trips in 2018 due to concerns about Brexit.

China has the largest business travel market, with total spending amounting to $346.5 billion in 2017.

India (11.3%) and indonesia (8.7%) are the two countries with the fastest-growing business travel markets., new york city is the most expensive city for business travel, with daily costs adding up to ($799), followed by geneva, ($716 per day), zurich ($661 per day), washington dc ($621 per day), and paris ($617 per day)..

(ECA International)

Hong Kong remains the most expensive city in Asia for business travel, with an average daily cost of $515.

In total, more than $50 billion was spent on business travel in the uk in 2017., from 2017 to 2018, there was a 3% decline in outbound business trips from the uk. in fact, since 2016, the outbound traffic rate has dropped steadily due to concerns about brexit., american travel statistics for business.

American companies understand the importance of investing in business travel. Whether for meetings, educational events, or conferences, Americans spend a lot of time and money on both personal and group business trips.

This spending is particularly heavy on the west coast. Indeed, the annual number of inbound business trips to the west is 7.5 million higher than those heading from the west to other parts of the country.

By 2022, there will be nearly 500 million business trips per year within the US.

In the us, nearly $328 billion was spent on international and domestic business trips in 2018..

(US Travel Association)

Predictions suggest that North America will lose 1% of global business travel market share by 2022.

There are about 64 million inter-regional trips in the us every year, statistics about traveling show..

(US Department of Transportation)

The west is America’s most popular region for business trips; annually, it attracts nearly 7.5 million more inter-regional business trips than it sends away. Every year, the south hosts 7.7 million fewer inbound inter-regional business trips than outbound ones.

26% of all business trips are one day long, according to international travel statistics..

(Associations Now)

Business Traveler Demographics

If you’re wondering who makes these trips, the answer is not as straightforward as you might think. Men aged between 30 and 49 form the majority of the business travel population, but the number of women who travel for business is growing rapidly.

Travelers are growing up quickly too; 40% of millennials now travel for work, and many choose jobs specifically because of the opportunity to travel. Most millennials who travel extend their business trips to visit other cities.

According to Bureau of Transportation statistics, 77% of people traveling for work are men.

Although some sites claim that 47% of business travelers are women, according to the american travel bureau, the actual proportion of women travelers is just 23%., more than half of all business trips are taken by people aged 30 to 49., millennial business travelers – stats and facts.

Millennials have now reached the age when they’re starting to rise to important positions in the workplace. They’re also known for valuing work-life balance perhaps more than any previous generation. That’s why it’s no surprise that millennials are strongly represented in business travel statistics.

Nearly 40% of millennials travel for business.

(American Express)

Nearly two-thirds of young workers and millennials see business trips as a status symbol.

(Hilton Hotels & Resorts)

Travelers aged 18 to 29 take 16% of all business trips.

55% of millennials prefer to prolong their business trips in order to have more time to experience new places and learn new things., business travel costs.

Business travel isn’t cheap. Indeed, when you take into account transportation, accommodations, food, and attendance at seminars, the costs add up. And most companies don’t choose cheap travel options. Companies spend a lot of money on business trips in order to provide the best experience to their employees.

The average cost of business travel per day in the US is $325.

(Business Travel News)

On the average business trip, companies spend $1,217 for international round-trip tickets and $470 on domestic business tickets.

(JTB Business Travel)

For every trip, US businesses spend nearly $950 per traveler who travels inside the US, while the average cost for an international business trip is $2,600 per person.

Us businesses spend $31.6 billion on international travel every year., typically, companies’ business traveling budgets are distributed like this: meals (21%), flights (17%), miscellaneous expenses (17%), and accommodation (13%)., 5% of total business travel costs go toward cell phones, while only 3% are spent on taxi services., if you’re organizing a business trip to new york, you should budget $145 for three meals a day. however, in nashville, you’ll need to budget only $76.50., business travel transportation facts.

You might be surprised to learn that most of America’s business trips are made by car. Americans prefer to travel in their private vehicles when possible.

About 405 million long-distance business trips are made each year in America, according to US travel statistics.

81% of all business trips are taken by car, while 16% are taken by plane., distance plays an important role in determining which mode of transport should be used; 97% of short trips (50 to 90 miles) are taken by vehicle., the world’s most expensive travel lounges are in these airports: dubai ($329/person), london city ($157/person), and london heathrow ($67/person)., bleisure travel statistics.

Work hard, play hard – this is the philosophy many business travelers now live by. “Bleisure” is a portmanteau that means exactly what you think it means: corporate trips that consist of both business and leisure. Just ask freelancers or remote workers, many of whom have taken bleisure to be their new lifestyle. The average corporate traveler in the USA lives the bleisure lifestyle by extending business trips so they can visit new cities and interact with different cultures.

Almost 10% of business trips can be categorized as bleisure trips.

Nearly 60% of businesses support bleisure trips by encouraging employees to extend their business trips., nearly 50% of business travelers extend their trips to visit other countries or cities..

(Booking.com)

More Business Travel Statistics and Facts

Nowadays, people are willing to take lower-paid jobs if they include business trips as a perk. While some companies don’t support “shared economy services” like Airbnb and Uber, statistics show that most American business travellers prefer these types of services.

Traveling for work is the main reason about 30% of people would choose a lower-paying job.

(Finance Online)

40% of business travelers don’t follow their companies’ travel policies. Instead, they make their hotel reservations on their own.

(Skift and Turkish Airlines)

15% of total Airbnb bookings come from business travelers.

What percent of travel is for business.

Business trips make up about 12% of total air travel. However, thanks to business class fares, they typically generate twice as much money for airlines as regular trips.

How many people travel business each year?

According to US statistics on traveling, 405 million long-distance business trips are taken each year.

What businesses travel the most?

With younger generations – especially millennials – looking for more dynamic jobs, more and more companies are ready to organize regular business trips for their employees. In general, sales representatives, consultants, and travel agents tend to travel most often. Professions like programming and accounting are typically thought of as desk jobs, but nowadays even those workers are getting the chance to attend trips and conferences.

What age group travels the most?

People between 30 and 49 travel the most for business, and most of those travelers are men. However, the number of women of all ages traveling for business is increasing. About 40% of millennials travel for business.

How long is the average business trip?

Business trips are typically quite short. On average, 26% of business trips are only one day long. Of course, many people like to combine business and leisure by extending their business to visit other places, according to the latest business travel statistics.

• American Express
• Booking.com
• ECA International
• Finance Online
• Global Business Travel Association 
• Investopedia
• Skift and TripActions
• US Department of Transportation
• Associations Now
• Business Travel News
• Hilton Hotels & Resorts
• JTB Business Travel

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Business Travel Statistics: Welcome Aboard, Frequent Flyer

People just don’t do business like they used to. With everything moving online, corporate executives are communicating via email and messaging apps around the globe, all day, every day.

But, there’s something about human interaction that will never go out of style. That’s why traditional corporate protocol still insists on face-to-face meetings. Whether it’s to close a multi-million dollar deal, or to simply attend an annual work convention, a good, old-fashioned sit-down does the trick.

Although business travel statistics showed a significant slowdown in the immediate aftermath of the 2008 financial crisis, business trips today are on the rise, proving to be one of the most valuable status symbols a company can afford.

So, let us walk you through the terminals of international airports, hotel lobbies, and high-class restaurants with these up-to-date business travel stats.

Revenue and Expenses

More than a quarter of global businesses rely on business travel..

(US Travel Association)

Nothing seals the deal like a good old handshake. Customers prefer to have in-person meetings, and companies owe them this privilege. That is why cutting on business travel is rarely posed as an option among big companies, as personal contact with clients is considered important.

According to Oxford Economics business travel statistics, if companies halted their travel policies and denied their customers meetings in person, they would lose approximately 25% of their current clients. This number fairs even higher when it comes to revenue, which would experience a drop of 28% if this nightmare scenario would suddenly turn real.

But that’s not all. An estimate of 36% of customers and 38% of the revenue would be lost in the manufacturing sector if companies were denied their right to use airplanes, trains, and cars to meet and discuss their businesses with clients in person.

Business travel made up about 26% of the total travel revenue in the United States in 2018.

(Global Business Travel Association) (US Travel Association)

The total travel output for 2018 was $2.5 trillion. While leisure traditionally takes up most of the revenue (around 74%), business travel is a constant contributor, with more than $292 billion in spending registered in 2017.

In 2018 US residents logged around 463 million domestic business trips, with 38% of the total number credited to traveling for meetings and events.

And the number is constantly increasing. According to US business travel statistics, the figure is set to rise to 493.7 million by 2022.

Compared to the global business travel revenue of $1.3 trillion in business travels, the United States is certainly a force to be reckoned with. With forecasters agreeing that this figure is to rise to more than $1.7 trillion by 2023, it seems that a huge chunk of the global revenue will still belong to American business travelers in the future.

Domestic business travel accounted for $111.17 billion in 2017.

While international spending averaged $31.6 billion in 2017, domestic business travel accounted for more than three times as much. However, while the average spending per domestic traveler was $949, international globetrotters spent an average of almost three times that much - an average person would spend as much as $2,600 on an international business trip.

But it is proven that business travel always pays off. For every dollar spent on business travel, companies see a $2.9 increase in profit and up to $9.5 increase in revenue.

Accommodation takes up an average of 13% of a business traveler’s budget.

(JTB Business Travel)

Hotel rooms can be expensive, especially when you’re doing business in a high-class metropolis like New York City. While motels, hostels, and Airbnb services are experiencing a rise in popularity among business travelers, hotels still reign supreme, especially within corporate business travel policies.

JTB Business Travel, which measures average prices per diem (per day) of hotels, transport, and meals purchased on business trips shows that New York is the most expensive US city for accommodation. An average New York hotel room costs $385.08 per diem.

If we consider that NYC is home to some of the biggest international hotel franchises like Ritz Carlton or Four Seasons, it’s no wonder that it takes up the flattering first spot. The second most expensive city in the United States is San Francisco at $379.37 per diem, with Boston coming third at $337.64.

In 2018, nearly 700,000 business travelers booked rooms with Airbnb for Work.

(Airbnb) (ZDNet)

Although hotels have a long tradition of accommodating business travelers, for the past few years, Airbnb is reversing the trend.

While domestic hotel rooms cost around $155 per night, Airbnb offers accommodation for only around $99. The company’s international prices are even lower - customers can book a room for an average of $75 as opposed to the $170 they would spend to book a hotel room.

78% of business travelers reported using Uber and other ride-hailing services.

(CNET) (Certify)

With a global market value of $72 billion, Uber has turned the world of taxi drivers upside down. They are becoming the number one choice for corporate travelers who need a lift on their business trips.

Taxi companies aren’t the only ones suffering from this surge of Uber popularity. The rental car service industry - which thrived on corporate executives traveling for business - is also feeling the blow.

In 2016, the market was still shared relatively fairly between ride-hailing and rental-car services. With 40% of travelers preferring to rent a vehicle, and 46% opting for ride-hailing, the only obvious losers were taxi services who only saw 14% the share.

However, in 2018, ride-hailing won the war with 78% of business travelers reporting to have used and preferred services of companies like Uber and Lyft. Rental cars saw a significant decline at 23% and taxi drivers were all but obliterated, falling to 6%.

In 2018 meals and incidental expenses made up $135.9 billion of total business travel spending.

Meals stack up 21% of expenses for an average business traveler. In addition to meals, companies also include incidental expenses into the traveler's allowance.

According to the 2019 edition of the Business Travel News Corporate Travel Index, meals are most expensive in New York, at $144.85 per diem. The runner-up is San Francisco with meal prices averaging $119.22 per diem, and Boston comes in third at $109.16 per diem.

At $495.1 million, Deloitte spent more on business travel expenses than any other US company.

As one of the Big Four accounting companies, Deloitte is a household name when it comes to expertise, professionalism and, of course, profit. When it comes to travel, Deloitte prefers to book flights, rather than any other means of transportation.

However, you don’t get to the top just by mindless spending alone. Due to its huge number of employees and a vast network of international divisions, Deloitte created a global procurement team in 2017 to handle the company’s global airline and hotel bookings.

Deloitte also implemented an automated airfare price assurance program, and strengthened its pre-trip review and approval processes, making booking faster, cheaper and easier. The majority of flights (72%) were conducted in the United States.

The second spot was reserved for IBM, at $430 million. The bronze went to PwC with $317.6 million spent to fund their employees' business trips. All of their business travel expenses were credited to various airlines.

Some airlines earn as much as 75% of their total revenue from business travelers.

(Investopedia)

Airlines get most of their revenue directly from passengers. While business travelers make up only 12% in numbers, they are every airline’s most valuable customer.

According to 2019 data, business travelers usually make up at least twice as much in terms of profit. With first-class tickets sometimes costing 10 times the price of coach tickets, business travel statistics like these come as no surprise.

The data implies that in some cases, airlines earn as much as 75% of their total revenue of trips booked by business travelers of all sorts.

This is mostly due to companies booking first-class tickets for their emissaries traveling across the country. While corporate travel policies have a history of saving money on business trips, in more recent years, this trend is being steadily reversed.

Managers now insist on providing their employees maximum comfort and convenience, since it reflects well on overall productivity. This has pushed airlines to compete with each other in terms of services they offer, continually offering new benefits.

In 2019, four US cities landed on the map of the world’s most expensive cities for business travel.

(CNN) (JTB Business Travel)

Los Angeles and San Francisco have landed on the list of the 10 most expensive cities for business travel. This is a significant jump compared to the year before when only Washington DC and New York held positions on the list.

NYC business travel statistics indicate that the Big Apple is the most expensive city for business travelers, mostly due to hefty hotel prices. Moreover, renting a hotel room in New York costs an average of $385 per diem.

Washington currently holds fourth place in expenses, with San Francisco, and Los Angeles, at seventh and ninth place respectively.

The other five cities worldwide are Zurich, Paris, Reykjavik, Basel, and Bern. The United States and Switzerland dominate the list, with four cities each.

Live chat with travel agencies, much like in-person meetings, improves business.

(Statista) (Kayako)

While this is not related to business travel exclusively, it is fairly indicative of which direction the travel industry is headed. Especially if we consider that 59% of US business travelers always book their hotel themselves and 30% usually book their hotel themselves.

In 2017, 79% of travel industry businesses reported an increase in revenue after enabling a live chat option on their website. Any way you look at it, investing in live chat has a huge influence on customer experience. In the short-term, companies that introduced live chat reported a significant increase in new customers. In the long-run, it does wonders for repeat business.

However, 38% of surveyed users consider a poor live-chat experience the number one reason for frustration when handling their travels.

Demographics and General Business Travel Statistics

Millennials are the fastest-growing group of business travelers in the united states..

Millennials are a rising force of the domestic economy in all sectors. This applies to business travel as well. According to a survey conducted by Skift, young adults in their late twenties/early thirties took 7.4 business trips in 2015.

Their older counterparts, popularly known as Gen Xers, were reported to have an average of 6.4 trips per year. Baby boomers came last with a 6.3 average.

While boomers prefer traditional accommodation, like hotels, younger travelers are more likely to go for non-chain hotels, Airbnb and other “room share” services. This is especially the case for millennials employed in the tech industry.

Also, travel statistics by age group suggest that the same target group most often uses low-cost air carriers, with 85% of them booking low-cost airlines in 2018.

On the other hand, ridesharing companies have experienced a huge growth in popularity among business travelers of all ages. As much as 81% of the survey’s respondents stated that they would take Uber or Lyft over taxis any day.

Millennials are 60% more-likely to purchase seats with extra legroom while flying, and spend some leisure time on their business trip.

(Forbes) (National Car Rental)

With 65% of millennials viewing business travel as a status symbol, additional legroom, as well as other benefits, are things they desire. That being said, they are also more likely to pay for additional headroom, roomier seats, and in-flight entertainment compared to the other two age groups.

Moreover, Millenials are most likely to consider business travel a perk when choosing a job, with nearly 90% of millennials seeking an advantage to extend their business trip into leisure. Other groups are not far behind, with 81% of Generation Xers and 80% of baby boomers also confirming that they like to make the most of the time they are given while away on business.

45% of millennials are prone to feeling guilty about mixing leisure with their business trips.

(Travel Agent Central)

While all business travelers like mixing business with leisure trips, they are also prone to feeling guilty about it. Around 45% of millennial respondents in a survey have reported having the so-called “bleisure travel stigma.” This means they believe they should avoid telling others about the fun times or personal activities they have on business trips.

While they are the least-likely to tell their bosses about their leisure time on business trips, millenials are most-likely to share photos of their adventures on social media.

However, regardless of their age or generation, managers (64%) and executive/senior leaders (67%) are also more likely to share their “bleisure” activities than non-managers (54 %) on social media.

This goes to show, as the employees become older and assume more senior positions within their companies, the stigma wears off. For example, 40% of Gen X respondents said they prefer keeping their personal activities during business trips private.

85% of frequent business travelers report having trouble balancing everyday work responsibilities while traveling for business.

(National Car Rental)

Employees that spend more than 88 days on the road per year showed an increase in breaking the business vs leisure barrier. “Bleisure” travelers reported working 9.1 hours a day, which is a whole hour less than the travelers who engage in strict travel for work purposes who clocked 10.1 hours on average per day.

The divide is real - 53% of business travelers state that finding time for leisure while on an official trip is next to impossible, as opposed to the 59% who manage to squeeze in some “me time” in the mix.

81% of all business trips in the United States are conducted by personal vehicles.

The majority of business travelers still prefer to use their personal vehicles as transport whenever they can. This is mainly due to the fact that 74% of all domestic business trips are conducted within less than 250 miles from the point of departure, with most of those being less than 100 miles.

However, as the distance gets longer, more people turn to air travel. Around 97% of 50-to 99-mile trips, as well as nearly 94% of 100-to-249-mile trips, are conducted by personal vehicles. Once the range reaches 250-to-499 miles, the personal vehicle share sharply declines to 67% while those in favor of airplanes surges to 31%.

While distances over 1,000 miles account for only 7% of the total number of business trips, they are almost exclusively conducted by air travel.

Attending a conference is the number one reason for business trips for all age groups.

Around 62% of all respondents in the Skift 2016 survey stated that the main reason for business travel is usually to attend a conference of some sort. This was the case with 74% of millenials, 61% of Gen Xers, and 53% of boomers.

The second biggest reason (56%) of travel was to attend a meeting with people from another company for the purposes of business planning or customer service. Millennials once again took the lead with 77%, with Gen Xers as second at 56%, and boomers at 39%.

The third reason is professional development or training, with an average of 44% of all respondents naming this as their purpose of business travel. Broken down into individual age brackets, the numbers come down to 63% of millennials, 43% of Gen Xers, and 25% of baby boomers.

Business traveler demographics report that women account for approximately 47% of all business travelers.

(Corporate Traveller)

While the usual stereotype implies that it is more common for men to take business trips, in recent years, the reality is closer to 50-50.

However, as women become more present in the business travel sphere, some specific safety issues arise. Female business traveler statistics focused on safety issues discovered that 90% of respondents named safety as the first thing that affected the activities pursued during personal time while on business travel.

The women who took part in the survey reported that such issues mostly affect their booking behavior (86%), where they prefer to exclusively book daytime flights, and rooms as close to the center of a city as possible.

Location is simply more important for women. For example, 84% cited that they tend to avoid cities and places that have a reputation for being unsafe. Furthermore, 81% indicated their travel frequency for business has also been affected by safety concerns, and 80% agree that such issues have had an impact on their productivity during business trips.

Nevertheless, the average business travel hotel user is still a middle-aged male.

As we’re all accustomed to seeing grey-haired men in suits and ties hanging around hotel lobbies, this fact is hardly a surprise. The average business travel hotel guest is male (63%), aged 35-54 (50%), employed in a professional or managerial position (56%) and earning an average yearly household income of $127,000.

As much as 78% travel alone, with the large majority of business travelers making reservations (95%). According to USA Today, The Hampton Inn and Suites was the favorite choice for corporate travelers in 2017.

Around 60% of companies have a travel policy, although employees prefer to handle booking themselves.

However, as much as 50% of surveyed companies allow travelers to book using any method they choose.

Furthermore, 46% of business travelers have reported preferring booking hotels on consumer sites and finding a better price, then relying on their company to do it for them.

As companies are led by other factors while choosing hotels, employees tend to think in more practical terms. That is why 37% of surveyed travelers reported having booked the hotels that were in the closest possible proximity of an established meeting place or conference location.

International Travel Statistics

China is the leading force when it comes to business travel spending..

(Global Business Travel Association) (CAPA)

With the United States spending more than $292 billion on business travel alone, China has reportedly reached a figure of $346.50 billion that funded their international corporate exploits.

China’s economic boom has launched the country’s corporate traveler to the very top of global business travel statistics. China dominates both regional and international statistics, with Japan and South Korea as traditional high-spenders in the region.

However, other players in the Asia-Pacific market, like India and Indonesia are making an appearance in the global business travel sector by growing at an incredible rate.

In 2014, India’s business travel market was worth $26 billion. Today it is forecast to reach $46 billion. As a country where economic activity is dominated by consumption, India’s business travel growth rate of 11.3 % is oriented more towards domestic than international.

On the other hand, Indonesia, which reported $17 billion in business travel spending in 2017, is a more trade-oriented country. This means that the country’s business-travel spending growth rate of 8.7% is focused on the international market rather than the domestic.

Europe is right behind China, holding 24% of total global business travel spending.

(Global Business Travel Association) (Blue Swan Daily)

Europe is home to some of the largest corporations in the world that rank the continent as second on a global scale when it comes to business travel spending. The largest part of this spending is attributed to developed Western European countries like Germany, the UK, and France.

In fact, a total of $364 billion in business travel spending was reported in Europe in 2017, with Western Europe claiming as much as $310 billion.

Traditional industrial powerhouses like Germany rated their business travel spending at about $72.07 billion in 2017, confirming the country’s unprecedented status in worldwide trade. France is also a powerhouse - the country spent more than $40 billion in 2016.

Spain spends around $20 billion in business travel, ranking 13th on the Global Business Travel Association’s list of the largest travel markets.

While most Western European economies have reported steady growth in business travel spending during the last few years, the United Kingdom has shown a 0.7% decline in 2017, largely due to the Brexit political crisis.

Further Reading

• The Most Powerful Passports Ranked

Frequently Asked Questions

1. how often do people travel for business.

An estimated 1.3 million business trips occur in the United States on a daily basis – 463 million trips per year in the United States alone.

2. How many business travelers fly each year?

Around 12% of the total number of flights is reserved by business travelers. In 2017 the US Department of Transportation reported that US airlines and foreign airlines serving the United States hosted 965 million domestic and international scheduled service passengers.

3. What percent of airline travel is for business?

Although business travelers make up only 12% in numbers, they are every airline’s most valuable customer. The data implies that in some cases, airlines earn as much as 75% of their total revenue of trips booked by business travelers of all sorts.

4. Do airlines charge business travelers more?

No. However, the circumstances of a typical business traveler affect the price of a plane ticket. Factors that usually affect the cost of flying for a business traveler are: flying on short notice, arranging a flight at a desirable time of day, and flying to a popular destination.

I have always thought of myself as a writer, but I began my career as a data operator with a large fintech firm. This position proved invaluable for learning how banks and other financial institutions operate. Daily correspondence with banking experts gave me insight into the systems and policies that power the economy. When I got the chance to translate my experience into words, I gladly joined the smart, enthusiastic Fortunly team.

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Business Travel’s Rebound Is Being Hit by a Slowing Economy

By the early fall, domestic business travel was back up to nearly two-thirds of its prepandemic level. But companies have now begun to cut back.

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By Jane L. Levere

Business travel came back this year more strongly than most industry analysts had predicted in the depths of the pandemic, with domestic travel rebounding by this fall to about two-thirds of the 2019 level.

But in recent weeks, it appears to have hit a new hurdle — companies tightening their spending in a slowing economy.

Henry Harteveldt, a travel industry analyst for Atmosphere Research, said that corporate travel managers have told him in the last few weeks that companies have started to ban nonessential business travel and increase the number of executives needed to approve employee trips. He said he was now predicting that corporate travel would soften slightly for the rest of the year and probably remain tepid into the first quarter of 2023.

Mr. Harteveldt also said his conversations led him to believe that business travel would “come in below the levels airline executives discussed in their third-quarter earnings calls.”

Airlines were bullish on those earnings calls, a little over a month ago. Delta Air Lines, for one, said 90 percent of its corporate accounts “expect their travel to stay the same or increase” in the fourth quarter. United Airlines, too, said its strong third-quarter results suggested “durable trends for air travel demand that are more than fully offsetting any economic headwinds.”

Hotels, too, were optimistic. Christopher J. Nassetta, president and chief executive of Hilton, said on his earnings call that overall occupancy rates had reached more than 73 percent in the third quarter, with business travel showing growing strength.

The change in mood has come as the economy has more visibly slowed. Technology companies, in particular, have been announcing significant layoffs. Housing lenders have also been reducing staff, as rising mortgage rates cut into their business.

The travel industry has long relied on business travel for both its consistency and profitability, with companies often willing to spend more than leisure travelers. When the pandemic almost completely halted business travel in 2020, people were forced to meet via teleconference, and many analysts predicted that the industry would never fully recover.

But business travel did come back. As the economy reopened, companies realized that in-person meetings serve a purpose. In a survey taken in late September by the Global Business Travel Association, a trade group, corporate travel managers estimated that their employers’ business travel volume in their home countries was back up to 63 percent of prepandemic levels, and international business travel was at 50 percent of those levels.

One reason international business travel has not come back as strongly, Mr. Harteveldt said, is that some employers have imposed restrictions on high-priced business-class airline tickets for long-haul flights. He said employers are instead requiring travelers to take a cheaper connecting flight or to fly nonstop in premium economy or regular economy class.

“Travelers are telling managers they won’t fly long-haul in economy if they have to go directly to a meeting when they arrive,” Mr. Harteveldt said.

What will business travel look like in the next year?

Pandemic travel restrictions will probably play less of a role. A survey by Tourism Economics, U.S. Travel Association and J.D. Power released in October found that 42 percent of corporate executives had policies in place restricting business travel because of the pandemic, down from 50 percent in the second quarter. Over half expected pandemic-related business travel policies to be re-evaluated in the first half of 2023.

With Americans able to work remotely, many are combining professional and leisure travel, airline and hotel executives said on recent earnings calls. That was a big reason travel did not drop off in September, when the peak vacation period ended, as it used to in years past.

Jan Freitag, national director for hospitality market analytics at CoStar Group, said hotel occupancy by business travelers currently varies by market, with occupancies high in markets like Nashville, Miami and Tampa, Fla. — places where business travelers may well be taking “bleisure” trips. But hotel occupancies by business travelers are low in markets like Minneapolis, San Francisco and Houston.

Mr. Freitag said the lower hotel occupancies in some cities may reflect a lower return-to-office rate in those places, which reduces the ability to have in-person business meetings.

Mr. Freitag said he was “very bullish on group travel, trips for meetings, association events, to build internal culture.” Those trips will recover more quickly, he predicted, than individual business travel.

“It’s all about building relationships,” he said. “It’s very hard to do that online.”

On the other hand, short business meetings and employee training sessions may continue to be conducted online, which is less expensive than in person, said Grant Caplan, president of Procurigence, a consulting firm in Houston that advises companies on their spending for business travel, meetings and events.

Even as business travel has resumed, hotels, airlines and airports still have inadequate staffing. A survey of hoteliers by the American Hotel and Lodging Association, a trade group, released in October found that 87 percent of respondents were experiencing staffing shortages. Although that was an improvement over May , when 97 percent of respondents said they were short-staffed, the current findings do not bode well for smooth hotel stays.

Disruptions in flying, particularly in the United States and Europe — because of weather delays, inadequate flight crews or air traffic control and security issues at airports — have been notoriously high, particularly earlier this year.

Although “we can’t say that these disruptions have discouraged business travel, they have clearly complicated” the experience for travelers, said Kathy Bedell, senior vice president of the Americas and affiliate program for BCD Travel, a travel management company.

Kellie Kessler, a pharmaceutical clinical researcher in Raleigh, N.C., said the travel disruptions she faced this year were too much. She changed jobs recently to take one that requires her to travel on business 10 percent of the time, compared with 80 percent in her previous position.

“The reason I took a nontravel position is that I can count on one hand the number of on-time flights I had this year,” she said.

And flight disruptions have led to a decline in some road warriors’ loyalty to airlines, even those who have accrued elite status in the carriers’ frequent-flier programs.

“The disruptions overall have caused me to be less loyal to any one airline,” said Trey Thriffiley, chief executive of QIS Aviation Group a consulting company in Savannah, Ga., that advises individuals and companies about their use of private jets. He is also an elite member of the loyalty programs at Delta, United and American Airlines. “Instead of searching by preferred airline or even cheapest price,” he said, “I search for direct flights or connecting flights to cities closest to where I live that I can drive home from if I need to.”

Airlines’ bullish forecasts notwithstanding, some experts find prospects for business travel this fall and next year extremely murky.

They say they cannot accurately predict how strong business travel will be and what airfares and hotel room rates will look like because of many unknowns, including the duration of the war in Ukraine and its impact on the European and global economies; increasing gasoline and jet fuel prices; and rising inflation, recession fears and political uncertainty.

Mr. Harteveldt, the travel industry analyst, said the recovery of business travel varies by geographic region, with the United States rebounding faster than Europe.

He said the Chinese government could be using its reopening strategy “in a geopolitical way,” adding, “If a country is more friendly, China will grant access to that country’s business and leisure travelers rather than to travelers from countries with which China has greater political differences.”

He predicted that 2023 would be a “difficult year” for business travel unless the war in Ukraine “comes to an abrupt end and there is more certainty about oil and the price of jet fuel.” Also a factor, he said, could be decisions by companies that may have added too much staff during the pandemic to save money by reducing business travel rather than by laying people off.

“If there’s a symbol that can be used to describe the outlook for business travel in 2023, it’s a question mark,” he said. “No airline, travel management company or travel manager can be 100 percent certain what 2023 will bring right now. It’s one of the most confounding, confusing times to be in business travel, perhaps in decades.”

In a report issued in August, Mike Eggleton, director of research and intelligence at BCD Travel, had a similar take on the immediate future for business travel. “Producing a credible travel pricing forecast in the current environment is incredibly difficult,” he wrote. “The near-term travel outlook is more uncertain than ever. Volatility has never been so high and seems likely to persist. There’s vast variation in market performance and outlook.”

Going forward, Ms. Bedell said, perhaps the overriding question about business travel will be whether the trip is necessary.

“Client-facing and revenue-generating travel is taking a priority over internal meetings,” she said.

Cracking the world’s biggest business-travel market

Asia is the world’s biggest market for business travel, accounting for 38 percent of about $1 trillion in annual spending. 1 1. GBTA BTI outlook– Annual global report & forecast: Prospects for global business travel, 2014–2018 , Global Business Travel Association (GBTA), July 2014, gbta.org. And in the next few years, its importance will only grow, as the market is expected to expand four times as quickly as the North American market and more than twice as fast as the European market. 2 2. GBTA BTI outlook – Annual global report & forecast: Prospects for global business travel, 2014–2018 , Global Business Travel Association (GBTA), July 2014, gbta.org.

With Asia’s position growing, the industry must work harder to understand the needs of the Asian business traveler, which we define as those based in the region. To help get a clear picture of the needs of this important segment, we surveyed more than 2,500 business travelers in China, India, Indonesia, Japan, and Singapore and interviewed 19 corporate-travel managers in various industries in the region. In addition, we analyzed the booking and spending patterns of Asia’s business travelers, using data provided by Amadeus and Visa.

The study underscored nuances that must be addressed to gain these travelers’ business. Three stand out. First, Asia’s business travelers are gaining greater autonomy in their travel decisions, making it critical to address their preferences, not just those of their employers. Second, they value convenience above all else. And finally, Asia’s business travelers can be divided into four archetypes, each with its own distinct set of needs and preferences.

Asian business travelers are gaining greater autonomy

Business travelers in Asia have an unexpected degree of autonomy when making travel plans, especially in areas such as booking flights and hotels. Our survey found that 69 percent of respondents are able to choose their airlines, either from a preapproved list or without restrictions. In fact, this included 11 percent with no constraints on either provider or price. Similarly, 74 percent of respondents said they have the same degree of freedom in picking a hotel, of which 9 percent said they have no restrictions whatsoever.

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Yet despite this high degree of autonomy, Asia’s business travelers want even more. Our survey found that the top three booking methods are all autonomous: the strongest preference is to book travel independently through online travel agents, the next is to book directly with providers, and the third is to use their company’s online-booking tool. Companies also are recognizing the benefit of offering employees more flexibility and choice, with many reporting increased compliance and reduced administrative costs. Techniques such as gamification (where employees are rewarded for choosing lower-cost travel options) are also emerging to promote compliant, cost-conscious behaviors.

Clearly, the business-travel industry in Asia can no longer rely excessively on relationships with corporate-travel managers, but it must also gain greater insights into the wishes of the travelers themselves. Some travel companies are already doing this and targeting business travelers directly. For example, when one airline was taken off the preferred list by a major corporation, the airline contacted the most lucrative frequent fliers in that company and offered them the highest loyalty status and all the accompanying perks if they maintain certain mileage thresholds.

Travelers value convenience above all else

Across all demographics explored—including age, frequency of travel, and company size—Asia’s business travelers place the greatest importance on one preference: convenience. For air travel, this often means convenient flight times and direct flights. For hotels, it means proximity to the office and services such as Wi-Fi that allow for more efficient work. Convenience dwarfed other priorities suggested in the survey, such as value for money and award-winning service. Indeed, if respondents deviate from corporate-travel policy, their most frequently cited reason is to enhance convenience.

This means travel companies must understand they are, among other things, in the business of selling time: more specifically, time saved from business and travel demands that could be put to other uses like leisure. In focusing on delivering greater efficiencies, some obstacles such as flight times and hotel locations cannot be addressed quickly. Other measures, however, such as operational efficiencies, are more readily at hand.

For example, in 2010 Delta Air Lines made it a priority to improve its on-time arrivals; it moved from the bottom of the performance list among US airlines to near the top within five years. In addition, it offered businesses travel credits of up to $250,000 if its performance were to fall behind that of its major competitors. 3 3. Michael Sasso, “Delta to pay business fliers if it’s later than American, United,” Bloomberg , September 1, 2015, bloomberg.com.

Four Asian business-traveler archetypes

Our survey identified clear differences in needs from country to country. For example, respondents from Singapore put the greatest emphasis on comfort, while those in India were more interested in digital planning and booking tools. Yet it also pinpointed four common traveler archetypes: service seekers (34 percent of respondents), stereotypical suits (32 percent), belt tighteners (17 percent), and points maximizers (17 percent).

These four groups transcend geographic boundaries and are just as important to understand as national differences. Each group has its own focus: stereotypical suits clearly emphasize convenience; service seekers, service and brand; belt tighteners, price and value; and points maximizers, loyalty programs and comfort. As a result, differentiated offerings are required to engage, serve, and capture the business of each archetype. Stereotypical suits, for instance, require prioritized, expedited services that save them time and eliminate hassle. To win service seekers, however, travel companies must appeal to their desire for distinctive experiences with exclusive amenities and offers. Value-focused, no-frills services would be most attractive to belt tighteners, while some companies appeal to points maximizers by establishing networks and partnerships that allow travelers to gain benefits across different travel providers.

Facebook and the future of travel

Travel companies already collect a wealth of data from their customers, from the seemingly trivial, such as seat preferences, to the clearly valuable, such as dining habits. With the right capabilities, companies can analyze these data to segment customers better, generate useful insights, and drive customer offerings. For example, real-time analysis could present suggestions for the next products to buy, such as a specific wine from the duty-free cart, or generate dynamic bundling offers, such as upgrades or empty neighboring seats, with prices based on availability.

Asia has become the world’s largest business-travel market, and trends suggest its importance will only grow. Yet as travel decisions migrate from corporate-travel desks into the hands of individual travelers, companies must adjust their behavior accordingly. In particular, they need to develop a clearer understanding of the varying needs of Asian business travelers and address these directly.

This article is an edited extract from Asian business travelers: Five things you need to know (PDF–2,260KB) and is reprinted here by permission. The report was launched at the Asia Travel Leaders Summit, organized by the Singapore Tourism Board, where McKinsey was a knowledge partner; summit partners Amadeus and Visa respectively supplied quantitative booking and spending data.

Alex Dichter is a senior partner in McKinsey’s London office, and Cheryl SH Lim is a partner in the Singapore office, where Diaan-Yi Lin is a senior partner.

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How Airlines Make Money

Corporate comforts, increasing business travel focus.

• Frequent Flier Programs

The Bottom Line

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How Much Airline Revenue Comes From Business Travelers?

Business travelers account for 12% of airline passengers, but they are about twice as profitable as other passengers because they tend to spend more for better accommodations or last-minute travel plans.

Aside from the cost of tickets, airlines also collect additional fees from passengers that help to add to their profit margins.

Key Takeaways

• Airlines make the majority of their revenues from travelers, though they can also profit from affiliations with travel partners and credit card companies.
• Business travelers make up 12% of airline passengers, but they pay higher rates than other customers and are typically twice as lucrative, accounting for as much as 75% of profits.
• Businesses are generally willing to pay more to book last-minute and non-stop flight options but rarely allow premium-section seats for rank and file employees.
• Businesses usually allow employees to leverage business travel to earn and keep frequent flyer miles and points, which are increasingly valuable to airlines as a source of revenue and data.

Airlines receive nearly 60% of their revenue from passengers directly (the other 40% comes from selling frequent flyer miles to credit card companies and other travel partners like hotels and car rental agencies). That revenue includes the cost of airfare, fees, and other travel expenses the airlines charge.

But of that 60% of passenger consumer revenue , the big money comes from business travelers—as opposed to those flying for leisure or personal reasons—in percentages that far outweigh the number of travelers. Business travelers account for 12% of all airline passengers, but they tend to buy more expensive seats, buy last-minute tickets, and are typically twice as profitable as other passengers. In fact, on some flights, business passengers represent 75% of an airline's revenues.

This phenomenon has obviously changed in light of the pandemic, as overall airline traffic has been decimated in Q2 and Q3 2020 and was at one time down 96% (in April 2020) compared with the same period in 2019, though it has "recovered" to only being down about 70% as of the first week of October 2020 vs. the same week in 2019.

With the proliferation of Zoom meetings and most corporate employees working remotely, business travel, in particular, has been sharply curtailed in 2020. Still, business and consumer credit card customers are continuing to add to airline profits in the form of racking up miles and points with everyday spending even if they're not currently redeeming for free travel in the current environment.

When booking air travel, be sure to research updated airport health and safety requirements both in the terminal and aboard the plane.

Corporate travel policies used to emphasize saving money. However, (pre-pandemic, anyway), given the hassle-prone nature of air travel, managers often showed concern about employee comfort, convenience, and productivity—as it was counterproductive if an employee arrived too tired or stressed-out to do their job. So, businesses were often willing to pay more to book last-minute flights or non-stops options, though typically not seats in an elite section of the aircraft.

For senior executives or employees that are subject to special corporate travel policy consideration, first-class and business-class tickets can cost as much as 10 times the price of coach tickets. This premium pricing typically brings passengers better service and higher-quality amenities than economy ticket offerings. Business and premium consumer spending on these goods and services encourage competition among airlines for the most lucrative passengers. Many airlines, in order to lure new passengers, introduce innovative services or refit aircraft for more first-class legroom.

Business travelers and high-end travelers also bring substantial revenue to airlines by purchasing additional services and using frequent flyer and other incentive programs.

When booking first-class or business fares, be sure to compare the cost of the flight and the amenities provided to see which one offers the most value for your money.

As a result of being able to bank larger revenues from business travelers, many airlines are now focusing attention on corporate trade. For example, Southwest Airlines—once known for its low frills and low fares—has begun to target business travel with a growing in-house department. The airline has also undertaken other efforts, including working with companies' travel managers to offer discounted fares or match a passenger’s status with other frequent flyer programs. In 2021, Southwest announced additional plans to target business travelers and expand that segment of its revenue.

Frequent Flyer Programs and Airline Revenues

Frequent flyer mileage programs are increasingly valuable to airlines, as business travelers and other first-class passengers link their credit cards to the programs and allow their consumption and spending behaviors to be tracked. High-income consumers have significant levels of disposable income to spend on a broad range of goods and services. Many businesses gather or purchase consumer spending data for use in developing a marketing strategy and product research and development .

The data airlines gather on high-end consumers using frequent flyer miles programs is extensive and tremendously profitable. Some frequent flyer programs are now considered worth many times the value of the airlines that own them, in fact. For most airlines, these incentive programs are an essential source of revenue and profitability that allow them to offer better pricing on tickets and more routes.

Many companies benefit from this data and are willing to pay for programs that are inexpensive for the airline to operate. Not all miles or travel points earned by consumers are actually used due to lack of travel redemption or expiration (which is termed "breakage"), further lowering program costs and profit contribution.

If you're enrolled in a frequent flyer program, consider opening an airline miles credit card to earn additional miles each time you fly.

What Are the Best Ways to Earn Airline Miles?

Flying frequently allows business travelers to accumulate points or miles that can be used for discounts on future travel. The best ways to take advantage of these programs involve familiarizing yourself with the programs or credit cards available and choosing which one best serves your needs. For example, if your employer typically flies with one particular airline, it might make sense to sign up for a program specific to that airline.

Is Business Travel Profitable for Airlines?

It can be. Business travelers often are more willing to pay extra for better seats or direct routes, among other amenities. Because airlines can charge more for this, they are able to make more money on business travel.

Is Business Travel Required to Purchase Business-Class Tickets?

No, anyone can buy business-class seats, but they generally are marketed to businesses that travel a lot. If the amenities that come with a business-class ticket are appealing, you absolutely can purchase one for any kind of travel.

Airlines earn their revenues in a variety of ways but the lion's share comes from business travelers, at least according to the latest industry data. Whether you fly business class, first-class, or economy, it's important to ensure that you're getting the best deal possible on flights. Researching fares and costs across airlines and using a travel rewards credit card to earn miles or points back on those purchases can help with managing your travel budget.

Trondent Corporation.  “ Business Travel by the Numbers .”

LTIMindtree. “ Co-Branded Credit Cards ,” Page 4.

Transportation Security Administration. " TSA Checkpoint Travel Numbers (Current Year(s) Versus Prior Year/Same Weekday) ."

Southwest Airlines. " Southwest Status Match ."

Southwest Airlines. " Southwest Airlines Brings More Enhancements to Business Travelers and Travel Managers ."

Southwest Airlines. " Southwest Airlines Makes Business Travel More Rewarding With New Rapid Rewards Business Program ."

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U.S. Business Travel

Americans make more than 405 million long-distance business trips per year, accounting for 16% of all long-distance travel (see Box A ), according to a preliminary analysis of the National Household Travel Survey (NHTS). Conducted from 2001 to 2002, the NHTS asked 60,000 people in 26,000 U.S. households about all trips they took in a given travel period and looked at the characteristics of those travelers and trips. This report examines early NHTS findings on domestic business trips to destinations at least 50 miles from home.

Trip Characteristics

Contrary to the stereotypical image of the business traveler heading off to catch a cross-country flight, the majority of long-distance business trips in the United States are taken to destinations within 250 miles of home and are by automobile. Nearly three-fourths (74%) are less than 250 miles from the point of departure and most of those are within 100 miles. Trips of over 1,000 miles account for only about 7% of all business trips. (See Figure 1 ).

Still, at 123 miles, the median one-way distance for business trips is greater than that for trips with other purposes. By comparison, the median distance for pleasure travel is 114 miles and for personal or family business trips the median distance is 103 miles. Long-distance commuting trips have a median distance of 69 miles.

The personal vehicle is the dominant travel mode for business travel, comprising 81% of all trips. Air travel accounts for about 16% of all business trips. The use of the two primary modes shifts, however, as trip distance gets longer. Almost all shorter trips are by personal vehicle—97% of 50 to 99 mile trips and nearly 94% of 100 to 249 mile trips. In the 250- to 499-mile range, the personal vehicle’s share of trips declines to 67%, while the airplane accounts for 31% of the trips.

Only after the 500-mile mark does the car give way to the airplane as the dominant mode of business travel. For trips 500 to 749 miles in length, air captures 64%, compared to 33% by personal vehicle. Of business trips between 750 and 1,500 miles, air captures almost 85%, and of trips more than 1,500 miles in distance, a full 90% are made by air. Accordingly, this yields a median trip distance for business travel by car of 102 miles, but one of 816 miles for business travel by air.

Where are They Traveling?

Because the majority of business trips are less than 250 miles in length, it is not surprising that 84% of business trips (341 million business trips) do not cross census region boundaries 1 ( Figure 2 ).

The origins and destinations of the 64 million inter-regional trips are not evenly distributed. The West attracts 7.4 million more inbound business trips than it sends to other regions. The South, on the other hand, has 7.7 million fewer inbound business trips than outbound. There is no statistically detectable difference between the inbound and outbound flows 2 in the Northeast and Midwest. The South is the largest destination for outbound business trips from each region. Also, the South is the largest generator of inbound business trips to each of the other regions.

Traveler Profile

The typical business traveler is likely to be male; work in a professional, managerial, or technical position; be 30 to 49 years old; and have an income well above the population average.

Men account for more than three-fourths (77%) of business trips. This compares to nonbusiness travel where men take 54% of the trips and women 46%.

Those who consider their occupation to be professional, managerial, or technical account for over half (53%) of all business trips. This occupational category represents only about 40% of the general population. Sales or service workers account for the next largest share of business trips, 28%. On the other hand, clerical/administrative workers account for less than 4% of business trips even though they represent almost 12% of the population.

About 55% of all business trips are made by individuals aged 30 to 49. Those in their thirties take 28% of the trips while comprising 16% of the population. Those in their forties take 27% of the trips while comprising 15% of the population. The percentage of trips represented by those in their fifties drops markedly, with only 18% of business trips represented by this age group. Overall, this age group accounts for about 11% of the population. The youngest and oldest groups of adult business travelers, 18 to 29 and 60+ years old, represent about 16% and 10% of business trips, respectively.

Business trips are generally made by those with household incomes that exceed the national average, which is about $47,500, according to the Bureau of Labor Statistics. Although 12% of households have annual incomes of $100,000 or more, the NHTS survey found that this income group accounts for over one-fourth (27%) of business trips. Another 18% of trips are made by those with household incomes between $75,000 and $99,000. There are relatively few low-income business travelers. Although 21% of households have incomes of $25,000 or less, only 6% of the business trips are made by that income group.

Source and Accuracy

The findings from the 2001 NHTS survey are based on travel data collected from a random digit dial sample of telephone interviews conducted with over 60,000 individuals in approximately 26,000 nationally representative households. Interviews were conducted between March 2001 and May 2002. Individuals in the NHTS sample were asked to complete a travel diary for a specified day, known as the travel day, and were also asked to report on the characteristics of long-distance trips of 50 miles or more from home made during a 4-week period, known as the travel period.

Estimates reported here are based on weighted data to account for selection probabilities at the household and individual level, and are further adjusted for household and individual nonresponse. Comparisons made in this report are statistically significant at a 0.05% level.

About the 2001 NHTS

The 2001 National Household Travel Survey (NHTS) updates information gathered by two series of travel surveys—the Nationwide Personal Transportation Survey (NPTS) conducted in 1969, 1977, 1983, 1990, and 1995 and the American Travel Survey (ATS) conducted in 1977 and 1995. Results from this report are from preliminary data collected in the long-distance travel section of the survey.

1 The Bureau of the Census divides the country into four reporting regions.

2 Inbound flow is the number of trips to a Census Region originating from another Census Region. Outbound flow is the number of trips from a Census Region with the farthest destination in any other Census Region.

MENA region leads global growth in luxury travel reports Mastercard

T he Middle East and North Africa is one of the main regions driving growth in affluent travel, recording high spends. It is also displaying an appetite for sustainable eco-luxury and meaningful cultural experiences. Mastercard’s ‘Affluent Travel: A Middle East Perspective’ report reveals an appetite for new experiences in unexplored destinations. The global luxury travel market is expected to grow by 7.9% (CAGR) between 2024 and 2030. Mastercard reports that high-net-worth travellers contribute approximately 36% of the global spend on travel.

“At Mastercard, we are committed to connecting people to their passion for travel. This report gives a great snapshot of how high-net-worth individuals choose to travel. It’s wonderful to see sustainability, cultural immersion and purpose as key considerations, along with quality accommodation, seamless technology and loyalty benefits. We will continue to harness the power of partnerships with leading industry players to come up with innovative solutions that unlock access to a whole new world of unparalleled travel experiences,” said Amnah Ajmal, Executive Vice President, Market Development EEMEA, Mastercard.

The rise of the ‘bleisure’ traveller

Over a third (36%) of luxury travellers say they want to experience different cultures. The combination of business and leisure, or ‘bleisure’, is also resulting in more remote-work trips as digital nomads change the face of travel. Affluent travellers are almost twice as likely as the global average to have taken a vacation as an extension to a business trip. Furthermore, Marriott Bonvoy research also showed that solo travel is being embraced, with 70% of respondents in the UAE and 69% in Saudi Arabia saying they’ve travelled solo.

Seeking out sustainable credentials and authentic eco-luxury

Affluent consumers are keen adopters of the conscious travel trend and place a premium on the authenticity of eco-luxury experiences. These include associating with travel brands that support local communities. Globally, one in 10 consumers have stayed in luxury eco-friendly accommodation in the last three years. This compares to five of 10 among 18–34-year-old affluents.

Meaningful experiences over material things

The report notes that this market segment places more emphasis on experiences than on physical goods. More than half of affluent travellers, compared to 43% of the global total, prioritise meaningful travel experiences over shopping and souvenirs.

Luxury travellers are prioritising unique personalised experiences over location. However, they also want their money’s worth in the form of exemplary customer service and pampering.

High-spending loyalty supporters

Based on average spend per card by origin market, GCC travellers are among the highest spenders. According to a 2023 Mastercard Economics Institute report, Kuwaiti tourists, for instance, spend on average of $3,390 per card in Paris, five times as much as their American counterparts. High-net-worth individuals are also power users of loyalty schemes and membership cards – 34% versus the overall average of 24%.

As wealth migrates to younger generations, Millennials (aged 30 to 44 years) now comprise the highest percentage of luxury seekers, followed by Gen Z (aged 15 to 29). Within the GCC, however, Gen X (aged 43 to 58 years) is expected to make the highest contribution to travel growth.

"MENA region leads global growth in luxury travel reports Mastercard" was originally created and published by Electronic Payments International , a GlobalData owned brand.

The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.

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China, Travel Retail Weigh on Shiseido Earnings

• Daniela Morosini

Shiseido’s China woes aren’t over yet.

Net sales at the Japanese beauty group increased 4 percent to $1.6 billion in its first quarter, as wariness towards the brand in the giant Chinese market continued to weigh on growth elsewhere, the company said Friday.

While many premium beauty companies are struggling in China due to a decline in travel retail and a pullback in discretionary spending, Shiseido, which owns premium brands such as Nars, Drunk Elephant and Clé de Peau, has a more unique issue. The release of treated radioactive water from the Fukushima nuclear plant in August 2024 led to a Chinese boycott of many Japanese-owned brands. In China, first quarter net sales declined 3 percent on a like-for-like basis to $356 million.

The company said its Clé de Peau Beauté and Nars brands, which are not marketed with the Shiseido name, performed well, while its eponymous line saw another quarter of negative sales growth.

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Operating profit for the group fell 10 percent due to weak sales growth in travel retail and a decline in intersegmental sales. The company is in the midst of a strategic shift, aimed at reducing its reliance on promotions to fuel growth in favour of growing brand equity.

Outside of China, other markets fared better. In the U.S (a key growth market for the company), premium skincare lines Drunk Elephant and Dr Dennis Gross contributed to a 9 percent increase in sales. In Europe, the popularity of the group’s Narciso Rodriguez fragrance line boosted sales.

Travel retail declined 30.5 percent due to retailer inventory adjustments and low footfall in the popular shopping destinations of Hainan and South Korea, though the company said sales grew in Japanese duty free outlets, as tourists began to return.

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Learn more:

Estée Lauder Grows Sales, But Still Hasn’t Solved Its China Problem

The company reported a long-awaited lift in net sales in its third quarter results, with increases from skincare leading the way, but clouds persist over its China recovery.

Daniela Morosini is a Beauty Correspondent at The Business of Beauty at BoF. She covers the global beauty industry, with an interest in how companies go to market and overcome hurdles.

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