Business Travel Will Never Bounce Back To Pre-Pandemic Levels, Studies Say

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More bad news for the airline industry:

puts on a brave face, acknowledging that the segment is growing slowly but noting “a limited upside.” With spending is only expected to surpass two-thirds of 2019 levels by the end of the year, the report’s authors conclude that “corporate travel will likely be smaller than it was prior to the pandemic.”First, says Deloitte Insights, “Changes in how work gets done look likely to limit corporate travel’s upside and alter the stakes of trips taken.

In addition, employees are simply less inclined to want to travel for work these days. In a 2021 Morning Consult survey, four in 10 American business travelers said they would never go on another work trip.Instead of getting on a plane, more employees who travel are choosing to stick to shorter trips within driving distance from their base.

Then there’s corporate belt-tightening. Nearly one-third of Morning Consult respondents said their companies had changed their business travel policies, either by reducing the number of business trips or by cutting back on which employees went on trips . More than half said companies are approving fewer trips and more closely scrutinizing travel expenses . More than 40% of travelers polled by Morning Consult saying they feel the changes are related to finances.

 

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