Sign up to newsletter

Magazine subscription

For Business, Corporate Travel & Meeting Buyers & Arrangers

Bigger budgets for buyers in 2017

The number of buyers with bigger travel budgets is on the rise for the first time in four years, a study from the Business Travel Show has found.

The results of the seventh annual forecast shows that 32 per cent of buyers will have more money to spend in 2017, compared with 29 per cent last year. This follows successive annual drops since 2013.

Airline budgets will also rise for 40 per cent of buyers, the highest number for the last three years.

Volumes of corporate travel are on the up, with 48 per cent of buyers polled saying they will manage more trips this year, while only 15 per cent expect to manage fewer.

The study also found duty-of-care and security becoming a greater priority, rising to second place in buyers’ top concerns from fourth last year (see table below). And new to the list was Brexit.

When it comes to so-called ‘sharing economy’ providers, Uber appears to be making inroads into managed travel: 56 per cent of buyers said their travellers are using the taxi app more than last year, compared to 17 per cent for Airbnb.

Top 20 issues facing buyers in 2017 (plus historical data)

 

2016/2017

2015/2016

2014/2015

2013/2014

1.                  

Cutting costs while maintaining quality

Cutting costs while maintaining quality

Airline pricing – increases, lack of transparency and negotiation concerns

NDC

2.                  

Increased focus on duty of care and security

Increasing compliance

Controlling costs and managing spend

Travel management 2.0

3.                  

Rising airfares

GDS content

Enforcing compliance

Data

4.                  

Brexit

    Risk management vs costs savings

    Increased hotel rates

    Sustainability

    5.                  

    Enforcing compliance

    Increasing hotel rates

    Traveller safety

    Meetings management

    6.                  

    Price variations between booking channels

    Airline pricing

    Cost savings

    Mobile apps

    7.                  

    Integrating one TMC across the whole business

    Supplier negotiations

    Ancillary fees

    Technological developments

    8.                  

    Hotel rate management

    Securing value for money

    The role of the TMC

    Free Wi-Fi in hotels and on airlines

    9.                  

    Keeping costs down and compliance up

    Online adoption/booking

    Online adoption

    CSR

    10.               

    Data and how to use it

    Mobile apps

    Cost increases

    Terrorism

    11.               

    Traveller tracking

    Data and how to use it

    Balancing traveller needs while staying within budget

    Gamification

    12.               

    Supplier consolidation

    Russia

    Online vs TMC pricing

    Relaxation of policy

    13.               

    Integrating direct booking

    Changing traveller profiles

    Sustainability

    Airline bankruptcy

    14.               

    Traveller happiness

    Global purchasing responsibility

    GDS content

    Integration of social and travel tools

    15.               

    Airline pricing structures – ancillary fees vs unbundling

    Cost increases

    Supplier consolidation

    Ancillary fees

    16.               

    Traveller choice

    Supplier consolidation

    Mobile technology & solutions

    Airline consolidation

    17.               

    Airline distribution inc. NDC

    NDC

    Airline consolidation

    Risk management

    18.               

    Last minute v advance bookings

    Discovering new destinations

    Availability and variety of low cost leisure tools

    Virtual meetings

    19.               

    Stakeholder management

    Last minute bookings

    The move towards traveller management

    Fuel increases

    20.               

    Train travel

    Stakeholder management

    Stakeholder management

    Less reliance on TMCs

    Read the preview of the Business Travel Show in the latest issue of BBT.

    Comments

    I bet if you combined 5,6,8,9,13, 15,16,17 into "Content & Distribution" it would be number #1

    Paul Tilstone's picture
    Paul Tilstone (not verified)

    Add new comment