The global business travel market size was valued at USD 1,380.00 billion in 2023. The market is expected to expand from USD 1,483.09 billion in 2024 to USD 2,765.34 billion by 2032, exhibiting a CAGR of 8.10% over the study period.
Business travel is the tour of people who are representatives of their organization or business for work-related factors, including client meetings, industry networking sessions, training sessions, sealing business deals, workshops, industry conferences, and others. The increasing footfall of young professionals, surging number of trade shows, corporate events, and others, and growing number of startups are augmenting market expansion.
The COVID-19 pandemic had an adverse influence on the business travel market. The pandemic witnessed the imposition of travel restrictions, quarantine & gathering restrictions, and lockdown practices by governments across nations and closures of food & lodging services. The UN Tourism reported a 72% reduction in international tourist arrivals in 2020, leading to 1.1 billion fewer international tourists across the globe.
Fortune Business Insights™ provides this information in its research report, titled “Business Travel Market”.
Top Company in the Business Travel Market:
- American Express Global Business Travel (U.S.)
- BCD Travel (Netherlands)
- Booking Holdings Inc. (U.S.)
- Corporate Travel Management (Australia)
- TravelPerk (Spain)
- Frosch International Travel (U.S.)
- Navan (U.S.)
- Flight Centre Travel Group (Australia)
- World Travel, Inc. (U.S.)
- ITILITE Technologies Private Limited (India)
Information Source: https://www.fortunebusinessinsights.com/business-travel-market-110564
Segmentation:
Food & Lodging Segment Dominates Impelled by Growing Trend of Corporate Events
On the basis of service, the market is divided into recreation, food & lodging, and transportation. The food & lodging segment occupies the largest business travel market share on account of the growing trend of corporate events at international and domestic levels. This, along with the increasing trend of online hotel booking with the help of apps, including goibibo, Agoda, and others, is contributing to segment growth.
Improvement of Productivity through Group Travel to Foster Segment Expansion
In terms of traveler, the market is bifurcated into group and solo. The group segment is anticipated to register the largest share during the study period. Group travel strives to aid collaboration, improve productivity by doing face-to-face interactions with team members and clients, and aid collaboration.
Surging Number of Client Visits to Impel Corporate Segment Growth
By industry type, the market is classified into government and corporate. The corporate segment observes the largest market share, which can be credited to the surging number of conferences, client visits, meetings, training & development, strategic planning, brand recognition activities, partnerships & collaborations, and others.
From the regional perspective, the market is categorized into North America, the Middle East & Africa, South America, Europe, and Asia Pacific.
Report Coverage:
The report offers a detailed analysis of the key driving and restraining factors impacting the market growth. It further gives an in-depth analysis of the strategic moves adopted by top companies to sustain their industry leadership. Additional aspects of the report include the top trends, notable industry developments, and the impact of the COVID-19 pandemic on the market growth.
Drivers and Restraints:
Increase in Growth of Small and Medium-Sized Enterprises (SMEs) Globally to Bolster Market Expansion
The growing support by governments across nations is the key factor behind the expansion of SMEs. As per Invest India, Micro, Small & Medium Enterprises (MSMEs) are regarded as the backbone of India since they make contributions of around 45% of manufacturing output, 30% of Gross Domestic Product (GDP), and offer employment to 11 crore people.
However, the rise in political crises across the globe may hinder business travel market growth.
Regional Insights:
Asia Pacific Leads Impelled by an Increase in the Number of SMEs
Asia Pacific market grabs the largest share, which can be credited to the increase in the number of startups, multinational companies, and small and medium-sized enterprises (SMEs). This, along with the availability of resources and enhanced transportation is leading to the growth of the region in the market.
Europe market is set to observe the highest CAGR during the study period on account of enhanced economic scenario, sustainability, stable legal systems, technologies, and improved services. These factors motivate people to visit the region for acquisitions, trade, partnerships, and expansions.
Competitive Landscape:
Key Companies Focus on Launching Innovative Products to Gain a Competitive Edge
The market has a highly competitive structure, with the presence of key players, including BCD Travel, American Express Global Business Travel, Travel Group Limited, Booking Holdings Inc., and others. These companies are emphasizing business expansions, partnerships, and technological innovations to attain a robust market foothold. Many companies are also focusing on launching innovative products to achieve a competitive advantage.
Key Industry Development:
June 2024: Ramp Business Corporation, a finance operations platform developed to help businesses save, announced the introduction of Ramp Travel. It is a solution developed to offer ease in booking travel and automating expenses.
Comments
0 comment