Global business travel spending will reach USD 1.48 trillion by end of 2024, an increase on spending in 2019 which was also a record USD 1.43 trillion, signalling robust growth and recovery in the sector. 

According to forecast by 2024 GBTA Business Travel Index, stability and technological advancements fuel this optimistic outlook, despite potential economic and geopolitical challenges.

GBTA says that the business travel industry has proven itself resilient as it leaves the global pandemic behind and moves into a new era of post-pandemic stabilisation. 

The statement adds that by 2028, it is projected to exceed USD 2 trillion, highlighting a robust path ahead for the business travel sector in terms of spending.

Relative stability in the global economy has continued to drive growth which, along with lingering pent-up demand, has provided reassurance for CEOs and CFOs to get their people back on the road for business meetings. 

The statement adds that many top business travel markets around the world have returned to or are nearing pre-pandemic levels, reinforcing the momentum of the recovery and boosting spending. However, the outlook for economic and business travel growth presents a balance of both potential upside factors and downside risks. 

GBTA BTI is an annual exhaustive forecast of business travel spending and growth covering 72 countries and 44 industries, which also includes survey data and analysis this year from 4,100 business travellers across five global regions, representing insights from employee travellers regarding their business travel preferences, behaviours and spending.

Suzanne Neufang

“We are witnessing the expected rebound in the sector, reflecting the resilience and adaptability of businesses and the value of business travel worldwide,” says Suzanne Neufang, CEO, GBTA. 

“With projected spending expected to continue to increase through 2028, the future of business travel looks promising. However, we must remain vigilant and adaptive to potential headwinds in this period of stabilisation, as factors such as changing economic conditions, technological advancements and sustainability developments will also shape the sector ahead,” Neufang adds.

According to GBTA, global business travel spending is anticipated to increase 11.1 pc in 2024 and growth is expected to continue to gradually moderate, resulting in an annual compound growth rate of 6.95 pc from 2025 to 2028.

“In 2023, the business travel industry had recovered approximately USD 675 billion of the USD 770 billion lost in 2020, according to GBTA BTI analysis, achieving 93 pc of the pre-pandemic peak of USD 1.43 trillion by the end of 2023,” says Veronica Fernandez, head of Commercial Solutions for Visa.

“The sector experienced a significant resurgence in 2023, with spending growing by 30 pc compared to 2022, reaching USD 1.3 trillion. will continue to revolutionise the travel experience, making it effortless and secure to book and manage expenses.

The estimated breakdown of the USD 1.34 trillion in 2023 expenditures includes USD 501 billion for lodging, USD 282 billion for air travel, USD 245 billion for food and beverage, USD 165 billion for ground transportation and USD 142 billion for other travel expenses.

According to the report, recovery continues to vary by region. Asia Pacific emerged as the fastest-growing region in 2023 at 36 pc, followed by Western Europe at 33 pc and North America at 25 pc. 

In 2023, the recovery was led by the US, Middle East and Africa, and Latin America, all achieving 100 pc or more of 2019 spending numbers. For 2024, China and the US are forecast to continue to lead as the top two markets, respectively, for overall business travel spending.

The statement adds that business travel spending also continues to differ across industries. The financial and insurance activities sector is projected to experience the most significant expansion at 72 pc in business travel spending through 2028. 

Conversely, the retail trade at 41 pc and agriculture, forestry and fishing at 32 pc sectors are anticipated to see the least growth during this period.

With an optimistic outlook overall, there are factors that could impact business travel’s longer-term forecast. 

These include persistent inflation, China’s slower recovery, geopolitical tensions, industry workforce challenges and incidence of natural disasters which could result in shifts to the outlook. 

Increased focus on corporate sustainability also has the potential to impact the sector, demonstrating the vital importance of coordinated action across the industry for business travel’s future.

Potential upside impacts for the sector include ongoing economic stability, technological advancements, particularly in artificial intelligence (AI), and stronger-than-expected economic growth in key markets like the US and India.

Nearly 64 pc of business travellers globally report increased spending on business travel compared to 2023. However, over one-third or 37 pc say they have experienced more restrictive travel policies since pre-Covid.

Business travellers globally estimate their own spending, on average, amounts to USD 834 per person based on their last business trip. Lodging accounts for USD 312, on average, and food and beverage is USD 153. 

Air travel averages USD 176 while ground transportation USD 103 and miscellaneous expenses USD 89 round out the total. A majority of survey respondents or 81 pc reported that their most recent business trip was very, for 46 pc or moderately, for 35 pc worthwhile in achieving their business objectives. 

When asked about their most recent business trip, the most common purpose of travel among all global business travelers is attending seminars/training followed by conventions/conferences.

Compared to 2019, 76 pc of business travellers travelled the same or more for business travel. Those traveling more at 28 pc outpaced those who travel less accounting for 20 pc over the same period. 

Although overall business travel has increased, both international and group travel remain, on average, lower than 2019 levels. Two-fifths or 40 pc of the trips taken are three-to-five-night stays, while two-night stays account for one-third at 32 pc. 

The report says that 58 pc said they extended work trips for leisure or vacation about the same for 41 pc or more frequently for 17 pc than previous.

When asked about their greatest priorities while travelling for work, maximising comfort for 43 pc and minimising cost for 41 pc are on the same level globally, with 16 pc saying reducing carbon emissions. 

The statement adds that European travellers, accounting for 22 pc are more likely to prioritise reducing their carbon footprint compared to other regions.

When it comes to payment methods for business travel, nearly two-thirds or 61 pc of global business travellers across all regions are given a corporate credit card. Credit card utilisation is significantly higher among North American business travelers, as nearly a third put 100 pc of their trip expenses on their corporate card.

Veronica Fernandez

Three in five or 59 pc business travellers surveyed have uploaded their corporate credit card to a mobile wallet and approximately 87 pc report they use their mobile wallet for at least 10 pc of their business travel transactions.

“As business travel spending continues to expand, digital payments will continue to revolutionise the travel experience, making it effortless and secure to book and manage expenses,” says Veronica Fernandez, Head of Commercial Solutions for Visa. 

“Visa is at the forefront in enabling smooth and efficient transactions that keep business travellers moving seamlessly across borders and through cities, whether they’re negotiating deals or exploring new markets,” she adds.