Our industry is forever evolving. The wants and needs of employees shift. And so too do the expectations around business travel. So, how do you, as a business travel planner, keep up with all of this? Travel trends are your best friend when it comes to knowing the ins and outs of business trips and global mobility needs.
These trends not only help you meet employee expectations - for increased satisfaction and retention - but they can also help to guide you in terms of your budget, location, and policies. With that said, what trends are currently shaping the industry and what can we expect to see in the coming 12 months?
Bleisure vs. blended travel
Bleisure - when business travelers add on extra days before or after a trip - has taken the world by storm in recent years, thanks to increased flexibility in working locations. But now we’re beginning to see a more refined version of this trend with the rise of blended travel - aka travel that combines elements of leisure travel with business trips. We expect this trend to continue to gain traction in the year ahead as business travel makes a full recovery.
With rising demand for business trips (9 in 10 employees perceive business travel as a perk) and the looming threat of staffing shortages - there’s no doubt that it’s in every company's best interest to offer more travel opportunities in the coming 12 months. What’s more, a recent survey found that 59% of employees believe exploring new places will boost their productivity at work. So, it’s fair to say that bleisure and blended travel will continue to play a crucial role in the recovery of the industry.
America to Europe business travel
Now that international travel and events are back in full swing, we expect travel to the UK and throughout Europe from the US to remain strong in 2023. However, with ongoing economic pressures, it’s highly likely that business travel planners will be more conscious of their budget in the months ahead. They’ll be on the lookout for trustworthy suppliers who can also offer great prices.
Large-scale business relocation
Thanks to inflation and an unstable economy, a lot of large corporations have relocated their headquarters this year. Companies have moved - and in some cases downsized thanks to remote working - to cut down on operational costs and to combat rising tax costs. Although increasing prices are starting to slow, it’s expected that costs will remain high for some time, meaning relocations will likely continue throughout 2023. Businesses looking to take this step should seek global mobility providers who can facilitate such large-scale moves.
__Sustainability __
COP27 and the impending carbon neutral deadline of 2030, which many companies and corporations have set themselves, mean we’ll see an even bigger push for sustainability initiatives this year. For example, American Airlines is offsetting carbon emissions by partnering with Cool Effect which prevents deforestation and protects peatlands. This comes at a percentage cost of a passenger’s ticket, but this will unlikely stop businesses and business travelers also wanting to be more sustainable. Gen Z and Millennials have particularly strong opinions on this issue, with a quarter stating that they’d consider declining a business trip if it meant using non-sustainable travel options.
Employee wellness
Although many employees want to travel for business, this doesn’t take away from how traveling itself can be extremely stressful. Then there’s also the risk of employees feeling burnt out while away for work. For companies, now that mental health awareness has increased, there are higher expectations of duty of care to address such issues. And with the new year encouraging many to reevaluate their wellbeing goals, we expect to see even more weight on employee wellness over the coming months.
__Frequency of trips increasing __
Despite economic concerns, business travel managers don’t plan to limit employee trips in the upcoming year. Three-quarters said that they actually expect to increase employee business trips in 2023 to much higher than 2022 levels. International travel is closing the gap, with only a 14% difference between companies allowing non-essential domestic and international trips. Add these factors to the rising demand from employees themselves, and there’s no question that the frequency of business trips will be higher this year.
The outlook for business travel in 2023 is strong. Despite the challenges of economic headwinds, we can expect to see more travel both internationally and domestically. Employees will continue to make the most of trips by leaning into the blended travel trend. Companies will seek new locations for cost savings. And duty of care policies will tighten as employee wellness comes to the forefront of travel planners’ priorities.
3Sixty
3Sixty, the business travel industry’s most secure and intuitive accommodation platform, helps employees to book and manage their stay in over one million quality, cost-effective rooms, and properties around the world.
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