Business Travel Market with COVID-19 Impact, Size, Trends, Growth, Share Analysis, Report by Service (Transportation, Food & Lodging, and Recreation), Industry (Government and Corporate), Traveler (Group and Solo): Global Opportunity Analysis and Industry Forecast 2021–2028. It is published in Valuates Reports under the Travel Category.
The global business travel market size was valued at USD 695.9 billion in 2020 and is expected to reach USD 2,001.1 billion by 2028, growing at a CAGR of 13.2% from 2021-2028.
Major Factors Driving The Growth Of The Business Travel Market
The development of smart hotels, the use of virtual reality for hotel reservations, personalization, and leisure travel are some of the emerging trends that are driving the business travel sector.
The expansion of the travel and tourism sector, the rise in government initiatives to develop the meetings, incentives, conferences, and events (MICE) sector and small and medium-sized enterprises (SMEs) sector, and the acceleration of business globalization are the key factors driving the growth of the global business travel market.
TRENDS INFLUENCING THE GROWTH OF THE BUSINESS TRAVEL MARKET
The worldwide business travel industry is being driven by the rising trend of leisure, which combines work with leisure activities to reduce stress and increase productivity. The expansion of several online travel companies is assisting in the expansion of the world business travel sector. Additionally, the rise in government initiatives to develop the MICE (meetings, incentives, conferences, and events) segment and SME sector, as well as an increase in business globalization, are what is driving the growth of the global business travel market.
It is predicted that rising infrastructure investment and brisk travel retail market growth would offer profitable chances for the expansion of the corporate travel sector. Corporate travel expenses are already back to pre-pandemic levels and will continue to rise, despite increased airfares and hotel costs. Since small businesses are driving the majority of demand, low-cost airlines may stand to gain more than their larger competitors. This in turn is expected to drive the growth of the business travel market.
BUSINESS TRAVEL MARKET SHARE ANALYSIS
The food and lodging category is anticipated to increase at a CAGR of 14.2% during the forecast period, making it the fastest-growing area based on service in the business travel market.
According to the research on the business travel market by industry, the corporate sector dominated the market and is anticipated to develop at the quickest rate because of the expansion of business activities throughout the world. The corporate sector, which held 65.6% of the market in 2020, is anticipated to grow at the highest CAGR of 14.1% throughout the course of the forecast period.
Travelers were the largest and fastest-growing sector, accounting for 59.5% of the market in 2020 and projected to expand at a substantial CAGR of 14.3% in the years to come. The group market is thriving because group travel has cheaper costs. The service providers also provide group travel discounts on lodging and transportation.
As a result of its quickly expanding infrastructure, conducive business environment, and government initiatives to draw in foreign investment, the Asia-Pacific area is the world's largest and fastest-growing market for business travel.