A new global study has found the current economic climate is driving tension in the business travel market.
The sixth SAP Concur Global Business Travel Survey of more than 3,700 business travellers in 24 markets, is designed to explore some of the most pressing challenges facing business travelLers today.
One of its key findings is that business travellers and travel managers are struggling to exercise flexibility as company leadership cuts back on business travel costs.
President of Concur Travel at SAP Concur, Charlie Sultan, said the survey has found that balance between flexibility and cost is delicate, and there is considerable pressures on travel managers from new distribution channels and ongoing geopolitical issues.
“This year’s report demonstrates the need for a mutual understanding of these realities and compromises in corporate travel programs,” he said.
Ninety-one per cent of survey respondents said despite their company focused on their needs for flexibility there has been a cut back on flexible business travel options. This includes cutting back on allowing an employee to undertake remote work while travelling for pleasure to reduce leave days and adding personal travel to a business trip.
The survey also found that more than one quarter of companies have cut back on comfort-focused requests of staff which include staying overnight to avoid a long day of travel for a day trip (28%), paying more to get a non-stop flight or direct route (28%), using business or premium class (27%), or using options like taxis or ride-share apps rather than public transportation (27%).
The survey further found that the majority of global business travellers have been significantly impacted by travel disruptions over the past year, with 88% forced to take unanticipated steps because of unexpected delays, cancellations or the need to reroute flights.
These changes have made life difficult for travel managers, with 42% of 600 surveyed saying that they foresee company directives to cut travel costs will pose a challenge in the future.
Other findings were:
- More than three in four global business travellers (76%) say they enjoy business travel, and 67% feel that business travel is critical for career advancement.
- More younger travellers feel business travel is important for their career compared to older generations (Gen Z: 72%; millennial: 68%; Gen X: 64%; boomer: 58%). Despite this, around two in three global business travellers (66%) feel they haven’t had an equal opportunity to take business trips compared to their colleagues. The biggest reason given on why they don’t do more business trips is their level of seniority, with 19% believing their young age is inhibiting their business travel opportunities.
The SAP Concur Global Business Travel Survey 2024 was conducted by Wakefield Research and surveyed 3,750 business travelers in 24 markets, including Australia and New Zealand.