|
Sector strong despite slump
Tuesday, August 12, 2008 Recent industry reports claim the business travel sector remains strong despite the much publicised global economic slump.
Travel management company HRG studied the travel trends of its own clients while technology company Amadeus polled the trade about rising oil prices and the effect on bookings. Their findings confirmed travel attitudes are changing as companies are forced to tighten budgets. But both insist the outlook for the industry is positive. HRG bosses revealed that the oil and gas sectors are “buoyant” while the ailing financial sector has increased its spend in emerging market. Stewart Harvey, director of client management, says the research proves travel is a “necessary” part of business, but admits more attention is being paid to the “reason and relevance” of every journey. “There is no question clients understand the benefits of face-to-face meetings. But there is more consideration of alternatives. “Certain geographic regions continue to grow while others are experiencing closer scrutiny as to whether travel is necessary. "Transatlantic routes are feeling the brunt of the current financial situation, but we are seeing growth in the emerging markets, particularly in the Middle East and Africa.” More than 60% of respondents to the Amadeus survey said the overall volume of bookings had increased in the last month, despite 51% bemoaning the increase in air fares. But there has been a positive impact on rail ticket sales, with 58% of agents noticing an increase. Elaine Seeto, Amadeus’ director of marketing for the UK and Ireland, said: “Business travel agents are reporting an increase in bookings during the first half of 2008 compared to the same period last year. Confidence remains high.” Almost 60% of the respondents predicted overall sales will continue to rise throughout the rest of the year.
|
||||
