Businesses put long-haul travel on hold indefinitely

Saturday, 21 Sep, 2020 0

Fifty per cent of businesses have started travelling again, but the number corporate trips per year will be well down on pre-Covid levels until 2023, according to the third phase of a survey by FCM Travel Solutions and sister company Corporate Traveller.

The combined results of the State of the Market research (April to August 2020) shows over 90% of businesses indicated that they planned to travel domestically and on short-haul international flights, within three months of governments re-opening borders and lifting restrictions such as quarantine.

Yet the number of trips taken will likely be lower, as only 26% of businesses are planning to return to their pre-Covid-19 levels for domestic travel during 2021.

The remaining 74% of businesses predict reduced domestic travel for the immediate year ahead. Pre-Covid, the average number of business trips per traveller was between six and eight per year; this number is likely to fall between three and four trips per person, per year until 2023.

Clients still have long-haul travel plans on hold indefinitely, as they assess the balance between need and safety.

In particular, national businesses in the US, Australia, China and New Zealand were less likely to have long-haul international plans for 2021, indicating only domestic and short-haul international travel will be planned for next year.

Almost on in three (29%) of respondents from China said they won’t be travelling long haul, while 22% of respondents in New Zealand, 16% in Australia and 7% in the USA indicated the same.

Mining and wholesale industries continued to travel the most, or recommenced travel the fastest.

Construction and food services follow closely behind with roughly 70% of respondents indicated that they’ve started travelling again.

Chris Galanty, Global Corporate CEO, Flight Centre Travel Group said: "In preparation for a return to some normality, businesses and suppliers are reframing their priorities, processes and procedures.

"It is clear that uncertainty will remain for some time, particularly while governments re-impose border restrictions or quarantine periods. However, understanding how companies are resuming business travel and what factors are having the biggest impact on their priorities, will enable us to provide the best possible support going forwards."

Lisa

Lisa joined Travel Weekly nearly 25 years ago as technology reporter and then sailed around the world for a couple of years as cruise correspondent, before becoming deputy editor. Now freelance, Lisa writes for various print and web publications, edits Corporate Traveller’s client magazine, Gateway, and works on the acclaimed Remembering Wildlife series of photography books, which raise awareness of nature’s most at-risk species and helps to fund their protection.

ITB Asia, Asia’s Leading Travel Trade Show, is an annually held B2B trade show and convention for the travel industry; it is designed...

Take your clients’ vacation to the next level at Universal Orlando Resort™. With three amazing theme parks – Universal Studios...

From the Tel Aviv beach scene to the shores of the Dead Sea, Israel layers diverse cultures, outdoor adventures, and...

Some describe it as a natural playground. Some say, it’s simply unique as it offers a great array of travel...

Ensuring our guests have an unforgettable experience while sailing with us is paramount; however, your health and safety remains our...

Air Transat is Canada’s number one leisure airline. It flies to some 60 international destinations in more than 25 countries...

Palladium Hotel Group is a renowned Spanish hotel chain that first emerged towards the end of the 1960s. Currently present...

It’s easy to find perfection in Santa Barbara, but what if there was even more of your favorite finds, activities,...

We’re here to provide the very best experience in train travel. From booking your ticket, to asking us a question...

Philippine Airlines (PR), also known as PAL, is the Filipino flag carrier. The company started their operations in February 1941,...

Traveltek is the world-leading provider of online solutions for the travel trade, from consumer-facing websites to call centre applications. We...

MGM Resorts International (NYSE: MGM) is an S&P 500® global entertainment company with national and international locations featuring best-in-class hotels...