New Research from GBTA and Cvent Uncovers Current Trends Impacting the Business Travel Industry
Technology advancements, globalization, and a younger workforce add to industry complexity
Alexandria, VA - Globalization, the growing Millennial workforce, and disruption in suppliers, are new trends that are expected to have significant impact on the business travel industry according to new research out today from the Global Business Travel Association (GBTA) in partnership with Cvent. The travel buyer role is an increasingly global one and shifts from travel towards procurement, an increasing focus on traveler safety, and technology implementation, have given rise to new challenges for the business travel industry. The new research reveals how buyers are adapting to these changes and the impact they have on organizational travel policies and programs.
"With our industry's increasing dependence on technology to drive business results, and navigating new security regulations like GDPR, we're at a tipping point where travel buyers are facing numerous challenges and must rethink fundamental approaches to travel program management," said Patrick Smith, chief marketing officer at Cvent. "We partnered with GBTA to help shed light on these forces of change, knowing that the results will allow our industry to rise to the challenge of delivering better services to our end customers - the business traveler."
Key Research Highlights
- One in four travel buyers say over 40 percent of their traveling workforce is now made up of Millennials.
- Over half of buyers (54 percent) say Millennials tend to push the boundaries of corporate travel policy and three-quarters (73 percent) say Millennials demand different, more consumer-like tools out of their company's travel program.
- Despite this, only one in five travel buyers say they have changed their travel policy in response to an increasingly Millennial workforce.
Technology Advancements Continue to Impact Process but Still Do Not Drive Policy Change
- Seven in ten (70 percent) buyers say they expect to spend more time evaluating or implementing new technology in the next five years.
- Nearly three-quarters (73 percent) of travel buyers say increasing technological developments are significantly impacting their role and 42 percent say tech developments are having a moderate to very strong impact on their travel programs.
- Despite the strong impact, many buyers have not changed their travel policies in response to technology advancements as only 32 percent report doing so. This compares to 54 percent of buyers who have made policy changes regarding safety and security concerns.
The Speed of Technological Change Leads to Disparate Systems and Misalignment in the Industry
- Technology integration is a top priority in vendor selection, yet travel buyers still struggle with integration, particularly with homegrown meetings management.
- 57 percent of buyers indicate tech integration is within their top three priorities when selecting vendors for a travel management company (TMC) and travel booking technology (66 percent). Yet, for buyers with meetings management technology in place, only 41 percent say they combine TMC/hotel data with data from their meetings management tool; fewer say their meetings management tool is integrated with their safety and security tool (37 percent) or their online booking tool (36 percent); and only 18 percent say it is integrated with their expense tool.
- Additionally, program success and priorities are not always aligned. Despite traveler safety growing in importance over time, only a small majority (52 percent) of buyers measure travel effectiveness through traveler safety metrics.
To learn more, download an infographic here with key highlights from the research. The report, The Travel Buyer of the Future: What's on the Horizon for the Ever-Changing Landscape of Travel and Meetings Management, is available exclusively to GBTA members on the GBTA Hub.
A webinar on Tuesday, September 10 at 2PM ET will take a deep dive into the research findings and how travel buyers are adapting to today's shifting landscape. The webinar will explore some of the biggest factors impacting the travel buyer role today, how travel buyers are reacting to these influences, and what strategic choices can be made to prepare your travel program for the future.
Methodology An online survey of 173 North American travel buyers was fielded between April 3 and May 15, 2019. Respondents qualified if they self-identified as a travel or meetings manager/buyer or a procurement/sourcing professional.
Cvent is a leading meetings, events, and hospitality technology provider with more than 4,000 employees, 27,000 customers, and 300,000 users worldwide. The Cvent Event Cloud offers software solutions to event planners and marketers for online event registration, venue selection, event management and marketing, onsite solutions, and attendee engagement. Cvent's suite of products automate and simplify the planning process to maximize the impact of events. The Cvent Hospitality Cloud partners with hotels and venues to help them drive group and corporate travel business. Hotels use the Cvent Hospitality Cloud's digital marketing tools and software solutions to win business through Cvent's sourcing platforms and to service their customers directly, efficiently and profitably - helping them grow and own their business. Cvent solutions optimize the entire event management value chain and have enabled clients around the world to manage hundreds of thousands of meetings and events. For more information, please visit Cvent.com, or connect with us on Facebook, Twitter or LinkedIn.
About the Global Business Travel Association
The Global Business Travel Association (GBTA) is the world's premier business travel and meetings trade organization headquartered in the Washington, D.C. area with operations on six continents. GBTA's 9,000-plus members manage more than $345 billion of global business travel and meetings expenditures annually. GBTA delivers world-class education, events, research, advocacy and media to a growing global network of more than 28,000 travel professionals and 125,000 active contacts. To learn how business travel drives lasting business growth, visit www.gbta.org.