Tom WallyGlobal Managing Director corporate travelera flagship small business travel management division flight center travel groupwhich says a recovery in travel in 2022 is paving the way for new trends in both business and travel, offers seven forecasts for the small business market in 2023 and beyond.
“Flight Center’s corporate sector, including Corporate Traveler, is off to a solid start in the business travel world this fiscal year with a healthy recovery in fiscal 2022. Contributing $2.6 billion to TTV in the first quarter We achieved a record number of 184% in 2010. It’s growing year after year,” Wally said.
“From next calendar year, we expect the business travel industry to continue to capitalize on its post-COVID growth and success as businesses and their employees feel more confident about returning to the office and to the skies. New industry partnerships will emerge to improve and expand the choices available to digitized travelers.”
Walley’s remarks come as business sectors around the world see a return to face-to-face meetings and conferences in 2022 and a return to critical networking activity, driving a resurgence in both travel and events. rice field.
He analyzed emerging global trends, new travel habits of corporate travelers, researched emerging technologies, and predicted seven emerging global business trends in 2023.
- International flights will remain expensive, but domestic travel costs will decline until Chinese airlines are revived.
U.S. domestic travel costs are starting to flatten out and declining, and Worley expects the same to happen in the following regions: Australia and after next year. rex airlines increased its offering of Golden Triangle (Sydney/Melbourne/Brisbane) flights and increased domestic competition.
Return of cheap flights by airlines such as Ryanair Competition in Europe is also in the spotlight, which will further boost competition for SMEs in the region.
More importantly, however, is the expected drop in international travel costs.
He predicts that Chinese carriers will revive in the first half of 2023, bringing competition back to the market. As a result, Australia-Europe and Asia routes cost less, while Australia-US routes decline slower.
Walley also expects hotel and rental car capacity to increase early next year.
- Middle management will return empty. In 2020-2021, business directors and essential workers have done most of their travel. Walley expects middle managers to make a strong comeback in the travel industry next year.
- Businesses will book travel further in advance as concerns about infections and restrictions abate.
A global survey last month found that 4% of business travelers will limit or cancel travel next year due to COVID risks.
Walley said global businesses will no longer see COVID as their top travel concern either. He said the risk of infection and fears of government restrictions will continue to decline.
As a result, he says, more businesses will book their trips in advance.
“At the height of the pandemic, we’re starting to see companies booking trips 30 to 40 days in advance. This is a result of increased confidence and ways to reduce travel costs,” he said.
- “Work from anywhere” policies will increase. As the labor market continues to tighten, Walley predicts more companies will offer “work from anywhere” policies to retain employees.
This will encourage more executives to take working holidays. He says trips to meet with other team members and build rapport are offered by companies to improve employee relationships, morale and retention.
One company that has done this successfully is an e-commerce platform. Shopifyoffers remote work with programs that foster in-person connections and team building, he says.
Its “Destination90” program allows staff to work anywhere for 90 consecutive days, encouraging them to work face-to-face with other Shopify teams in other cities.
- Your travel journey will become more digital. In 2023, he says, we will hear “digital identity” more frequently in a move to protect personal identities and help create digital and seamless services, including travel.
Incoming passenger declaration cards will move online this year, and Walley predicts passports will be the next to go digital.
- Travel operators will enter the gig economy. Walley expects more travel providers to tap into the gig economy for specific services. For example, hotels are replacing in-house dining options through food delivery partnerships such as UberEats. It’s a phenomenon he’s already seen.
of Little National Hotel Chainfor example, instead of an in-house meal uber eats We have partnered with UberEats gift cards that can be purchased as part of a stay package.
A tablet is installed in the room, and guests can easily order in-room dining by simply entering the gift card number when ordering.
Walley also expects to expand partnerships with gig economy providers to add benefits such as discounts and free shipping.
- More workers will return to offices, but hybrid deployments will remain. Office occupancy rates in major Australian cities rose slightly to an average of 63% in October, according to reports.
Walley expects occupancy rates to continue to rise, but expects volatility in 2023. This is because more companies are returning to the office full-time for reasons of collaboration and accountability. There will also be companies that maintain a hybrid working style where he is in the office for at least three days, especially as a variant of his COVID. keep popping up.
He says the new flexible arrangements will be especially beneficial for new parents.
“There’s never been a better time for parents to go back to work. It may encourage more people to return early because it helps families save money on childcare costs by requiring less people to come to work.” He said.
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