On the day AirAsia announced it had flown 100 million passengers in little more than eight years, Abacus International CEO Robert Bailey indicated that the growth of low cost carriers in Asia may be pegged back as confidence returns to the travel sector.
“As business picks up, and we see a relaxation of corporate travel budgets, people who moved to low cost carriers and mid-range hotels will be returning to the airlines and hotels they used before.â€
Bailey said the low cost carriers had grown strongly in the economic downturn and they would not go away.
Bailey said corporate travel still has a way to go after the global economic downturn of 2008-2009.
“Many companies continue to find ways to control travel expenditure by encouraging their employees to travel smarter.â€
Bailey said he believed hotels would be major beneficiaries of the upswing.
“The economic crisis that has plagued hotels seems to be firmly behind us. We see a 60 percent growth in hotel bookings versus 2009 and 2010 promises to be a record year for Abacus Hotel.
“We expect to exceed one million room nights in Asia alone.â€
