news
hotel news - New Hotels
150 new luxury hotels
opened in Greece in 2018.
New job
ICCA Board of Directors
selects Senthil Gopinath as incoming CEO.
business intelligence
Calgary’s BMO Convention and Trade Centre
set for expansion.
business intelligence
Berlin 2018 Event Impact Report:
Big benefits to host city.
Business Intelligence
Christian Mutschlechner
oins Congrex Switzerland’s Board of Directors.
Business Intelligence
QODE to crack innovation trends
in Queensland’s vibrant startup sectors.
Legacy Program
Why doing business in Asia
takes more than a single brush strategy.
new meetingplace
Board of Governors approves
Board of Governors approves
Hotel News - New Hotels
The Radisson Collection
Hotel & Suites Paris La Défense Announced.
RSS
rss_icon
Links
Travelers are starting to move back to the front of the plane
American Express Business Travel, a global leader in business travel management, released third quarter data and analysis from its Business Travel Monitor (BTM) North America. Modest airfare increases were seen and travelers appear to be moving back to the front of the plane, showing positive signs companies may likely be feeling more optimistic about the economy.

The BTM is published by eXpert insights, American Express Business Travel’s research practice of Global Advisory Services. The BTM is a monthly pricing index tracking actual airfares paid on the most popular business travel routes for domestic and international travel compared to published prices. It also tracks paid hotel and car rates in key business travel markets.

International and domestic airfares paid from North America increased quarter-over-quarter, where as year-over-year airfares continue to be down. From a hotel perspective, rates varied across hotel categories quarter-over-quarter, but overall average rates decreased both internationally and domestically. In looking at individual hotel tiers, rate increases were evident in budget, economy and mid-tier categories.

• Average international airfares paid increased two percent quarter-over-quarter

• Average domestic airfares paid increased two percent quarter-over-quarter

• Average international booked hotel rates decreased 10 percent year-over-year

• Average domestic booked hotel rates decreased two percent year-over-year, but increased seven percent in budget-tier hotels quarter-over-quarter

• Car rental rates increased five percent in Q3 2009 and remained flat year-over-year

“While economists watch key market indicators such as inventory levels and unemployment, we may be seeing a glimmer of economic hope as the Business Travel Monitor data shows modest fare increases and travelers moving to the front of the plane again,” said Christa Degnan Manning, director, eXpert insights, Global Advisory Services, American Express Business Travel. “This is an encouraging sign for the business travel industry because it indicates increasing demand as well as willingness to pay for premium products, which help with supplier profitability and their ability to provide consumer discounts.”

Continued Manning, “Pent-up trip demand coupled with supply base changes have caused rates to slightly increase in the third quarter. There has also been a slight increase in the usage of business class tickets for international travel, up one percent from last quarter, to 37%. However, this is still down year-over-year from 49% of all international business traveler tickets purchased.”

 

Image text: Business class at Singapore Airlines, Airbus 330.