The bottom-line impact of business travel revealed in new TravelPerk report
Leading global business travel management platform, TravelPerk, today launched The Value of Business Travel Report, which reveals that 76% of CEOs, globally, say increasing travel budgets would positively impact their company’s revenue.
The study is based on global research commissioned by TravelPerk in the United Kingdom, the United States, Germany and Spain surveying 2,000 business travel decision-makers (500 from each market), including C-suite professionals, as well as a TravelPerk customer survey of over 5,200 business travellers and travel admins. The comprehensive report examines how companies around the world are investing in business travel to drive growth, engage employees, and stay ahead of the competition.
Despite economic headwinds, nearly half (46%) of the 500 UK companies surveyed expect their travel budgets to increase in 2024, with an average expected rise of 19%. The top three reasons were to help businesses expand into new markets (46%), attend more conferences and events (41%) and a focus on new business development (40%). This investment is being fuelled by the tangible benefits of in-person meetings, interacting with prospective clients, and company get-togethers.
For employees who travel for sales activities, a projected 30% of the sales revenue driven by travel would be lost without in-person meetings with clients and prospects. For SMBs and mid-size companies, each US dollar invested in business travel generates an incremental revenue of $12, primarily driven by new customer acquisition*.
Business travel to the UK also continues to thrive, with booking data from the TravelPerk platform showing flights to the UK were up 73% in 2023 compared to the year before. London continues to be a hub for business as the most visited city in terms of return flight arrivals, up 71% year-on-year.
“In today’s fiercely competitive landscape, companies recognise the immense value that business travel delivers,” said Avi Meir, CEO and co-founder of TravelPerk. “From driving revenue and profitability to building human connections and boosting employee engagement, meetings that happen in-person are where the magic happens. Business travel is far more than just a cost centre – it’s an investment in growth, innovation, and company culture.”
Travelling for work offers professional development opportunities – 61% of employees globally say it improves networking abilities, and 64% feel it increases visibility within their company. Moreover, 85% of employees state that in-person social events boost morale and engagement. Bringing employees together is especially a priority for UK companies, with 64% of Brits have travelled for internal company meetings of one night or more, compared to 54% as a global average.
Lenke Taylor, chief people officer at Personio, added: “As someone who’s seen it firsthand, I can say that travel and meeting face-to-face are game-changers for building connection and engagement. In recognising travel not as a corporate necessity or purely a cost line, but as a strategic opportunity for collaboration and alignment, organisations can unlock the full potential of an international talent pool and cultivate a truly connected community.”
The report also explores the role of AI in shaping how companies invest in travel. 38% of CEOs surveyed globally said AI will increase the need for in-person meetings and business travel. Automation won’t remove the need for human connection anytime soon and instead can be implemented to take care of repetitive tasks for employees.
Mette Gade, chief product officer at Pleo, added: “Through AI and automation, businesses can effectively manage expenses by optimising spending, detecting anomalies, contextualising data in real-time, and forecasting expenditure. By leveraging the right technology stack, tasks become not just manageable, but enjoyable.”
The full 2024 Value of Business Travel Report is available for download here.
