Positive Economic Trends Seen Fueling- Business Travel Upturn - Managers Cautiously Anticipate Recovery Business Travel Upturn
Alexandria, Va. --- Business travel appears headed for a rebound later this year and into 2005 as the economy continues to improve and international tensions abate, according to a new survey of business travel management professionals conducted by the National Business Travel Association (NBTA).
Nearly three in four (71%) of the business travel managers participating in the survey believe that business travel will rebound significantly in 2004 and into 2005, with more than half (54%) predicting the recovery to occur sometime this year. The survey suggests a consensus among business travel managers that the recovering U.S. economy will promote more business-related travel.
"The economy and business travel are closely related, as one helps drive the other," said Carol Devine, NBTA President and CEO. "While the challenges of the past few years have taught us to be cautious," Devine continued, "economic trends and travel purchase indicators bode well for an increase in business travel - with the possibility of significant volume increases at the end of the year and into 2005."
In a continuing effort to promote business travel recovery, travel management professionals report a growing commitment to the purchase of mid-priced hotel accommodations and airfares from discount airlines. Nearly two out of three participating in the NBTA survey say they will utilize these options at least as much or more frequently in 2004 than they did in 2003.
Nearly one-half (48%) of those surveyed report an increase in corporate travel budgets for 2004, with fewer than one in five (18%) experiencing a decrease. The survey also found that hotel prices and airfares likely will remain flat during 2004, with about one in ten (11%) of the managers surveyed actually anticipating a slight decrease in fares.
The NBTA survey was conducted online. It was available for participation by NBTA Direct Buyer members from December 24, 2003, to January 13, 2004. The survey results are based on the answers of 220 respondents.