Global business travel spending predicted to reach record high of $1.48 trillion in 2024

According to the latest GBTA Business Travel Index report, spending is forecast to exceed $2 trillion by 2028, driven by economic stability, pent-up demand and a recovering economy.

The business travel industry has demonstrated its resilience as it weathers the global pandemic and moves into a new era of post-pandemic stabilization. Forecasts for 2024 predict that global business travel spending will reach $1.48 trillion by the end of the year, surpassing the all-time high of $1.43 trillion set in 2019. It is further projected to exceed $2.0 trillion by 2028, indicating a robust outlook for the business travel sector going forward in terms of spending.

Relative stability in the global economy continues to drive growth, which, combined with sustained pent-up demand, is giving CEOs and CFOs the confidence to send their employees back to business meetings. Many of the major business travel markets around the world are back at or approaching pre-pandemic levels, strengthening recovery momentum and increasing spending. However, the outlook for economic and business travel growth presents a balance of both potential upside drivers and downside risks.

These are the latest top-level findings 2024 GBTA Business Travel Index Outlook – Annual Global Report and Forecast (“GBTA BTI™”) It is issued by the Global Business Travel Association (GBTA) and made possible by Visa.

The announcement was made today on stage at the GBTA Convention 2024 in Atlanta, in front of more than 5,000 attendees.^Number The latest edition of the GBTA BTI™ is a comprehensive annual forecast of business travel spend and growth covering 72 countries and 44 industries. The GBTA BTI™ also includes survey data and analysis from 4,100 business travelers across five global regions this year, providing insights into business travel preferences, behaviors and spending.

“We are seeing an expected recovery in the sector, reflecting the resilience and adaptability of companies and the value of business travel around the world,” said GBTA CEO Suzanne Neufant. “The future of business travel looks bright with spending expected to continue to grow through 2028. However, factors such as changing economic conditions, technological advancements and sustainability developments will also shape the business travel industry going forward, so we need to be vigilant and adapt to potential headwinds during this period of stability.”

Global business travel spending is expected to grow 11.1% in 2024, after recording year-over-year growth of 30%-47% in 2022 and 2023. Growth is expected to gradually slow to a compound annual growth rate of 6.95% from 2025 to 2028.

According to GBTA BTI™ analysis, the business travel industry is on track to recover approximately $675 billion in 2023 of the $770 billion lost in 2020, achieving 93% of its pre-pandemic peak of $1.43 trillion by the end of 2023. The sector saw a strong recovery in 2023, with spending increasing 30% compared to 2022 to reach $1.3 trillion.

Highlights from the 2024 GBTA BTI™ Outlook (figures in US dollars):

• Global business travel spending is expected to recover. Pre-pandemic Sum of $1.48 trillion in 2024A recovery is expected in 2022 and 2023, supported by better-than-expected economic conditions. (While the recovery will be impressive, it is important to note that, after adjusting for inflation, spending levels are expected to remain below pre-pandemic highs over the next few years, and business travel volumes are also expected to remain below pre-pandemic levels.)
• Estimation break The $1.34 trillion in business travel spending in 2023 includes $501 billion for lodging, $282 billion for air travel, $245 billion for food and beverage, $165 billion for ground transportation and $142 billion for other business travel expenses.
• Business travel recovery continues Varies by regionThe fastest growing region in 2023 will be Asia Pacific (36%), followed by Western Europe (33%) and North America (25%). The recovery in 2023 will be led by the United States, Middle East & Africa, and Latin America, all achieving more than 100% of 2019 spending. In 2024, China and the United States are forecast to continue to lead as the top two markets respectively for overall business travel spending.
• Travel spending continues It depends on the industry. The finance and insurance sector: largely Significant expansion (72%) are expected to see an increase in business travel spending by 2028. Conversely, retail (41%) and agriculture, forestry and fisheries (32%) sectors are expected to see an increase in business travel spending by 2028. Even if only slightly growth During this period.
• The overall optimistic outlook is factor it is Impact Business Travel Long-term forecastingContinued inflation, a slow recovery in China, geopolitical tensions, industrial workforce challenges and natural disasters are causing shift An increased focus on corporate sustainability is also likely to have an impact on the sector, demonstrating that concerted action across the industry is crucial for the future of business travel.
• Potential positive impacts Positive factors for the business travel sector include continued economic stability, technological advancements, particularly in artificial intelligence (AI), and better-than-expected economic growth in key markets such as the United States and India.
• GBTA Survey 4,100 business travelers Across 28 countries Four regions (North America, Europe, Asia Pacific, and Latin America), While overall business travel is up, international travel remains below average: 64% of business travelers globally report that their travel expenses have increased compared to 2023. However, more than a third (37%) say they have experienced more restrictive travel policies compared to pre-COVID.
• Business travelers around the world their own expenses, On average, based on previous trips, it will be $834 per person. Lodging will average $312, and food and beverages will average $153. Air travel will average $176, with ground transportation ($103) and miscellaneous expenses ($89) making up the total.
• The majority of survey respondents (81%) Recent business trips Very (46%) or moderately (35%) worth it When asked about their most recent business trip, the most common response was Purpose of the trip One of the most common activities among business travelers around the world is attending a seminar or training followed by a convention or conference.
• Compared to 2019, 76% of business travelers Traveled the same or more times People who take more business trips (28%) outnumber those who take less business trips (20%) during the same period. While overall business trips are up, international trips and group trips are, on average, below 2019 levels. Two-fifths (40%) of trips are for three to five nights. stayTwo-night stays accounted for a third (32%), with 58% extending their business trip beyond two nights. Leisure or vacation About the same frequency as before (41%) or more frequently than before (17%).
• their Top priority When traveling for business, maximizing comfort (43%) and minimizing costs (41%) are at similar levels globally, with 16% citing reducing their carbon footprint. Additionally, European travelers (22%) are more likely to prioritize reducing their carbon footprint than other regions.
• So then How to pay for your tripNearly two-thirds (61%) of business travelers in every region of the world have a corporate credit card. Credit card usage is significantly higher among North American business travelers, with nearly one-third paying for 100% of their business trip expenses with a corporate card.
• Three in five (59%) business travelers surveyed Corporate Credit Cards To Mobile Wallets Additionally, about 87% of respondents reported using mobile wallets for at least 10% of their business travel transactions.

“As business travel spending continues to grow, digital payments are revolutionizing the travel experience, making booking and managing expenses easy and secure,” said Veronica Fernandez, head of commercial solutions at Visa. “Visa is at the forefront of enabling frictionless, efficient transactions so business travelers can seamlessly move across borders and cities, whether they’re negotiating deals or exploring new markets.”

The Executive Summary of the Business Travel Index Outlook 2024 report can be downloaded here GBTA members have exclusive access to the full BTI™ report on the GBTA Hub.

For information about GBTA Research or inquiries regarding historical GBTA BTI™ data from 2000-2028, please contact research@gbta.org.