Tourism Industry News

Business travel budgets face cutbacks

09/02/2009 08:32

Business travel budgets are being slashed with more than a third of buyers (38%) saying they have less to spend this year.

A poll of 170 business travel buyers commissioned by this week's Business Travel Show in London also revealed that nearly two thirds (65%) are actively searching out cheaper air travel.
Two fifths (41%) are downgrading accommodation for travellers and 18% are swapping taxis for the Underground in London.
And 65% believe that we there is another 12-24 months of recession ahead.

However, with one fifth (21%) of buyers said the economic downturn will not affect the number of trips they buy and two per cent even claiming they will be booking more travel.
When asked if the pressure to be environmentally friendly would impact on their business travel plans, just under half (49%) said no, proving that in many instances there really is no substitute to face to face meetings.

Business Travel Show event director David Chapple said: “I’m not surprised that the credit crunch is affecting business travel buyers.
“It certainly explains why their focus this year, more than ever before, is on getting the best value possible out of their budget. They need to re-evaluate suppliers, push for more from existing ones and put contracts out to tender.”


Source: TravelMole




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