Businesses have long recognized the importance of travel in order to maximize efficiency, productivity and profit. Business travel is essential for networking and strengthening relationships with customers and other businesses.
It is also necessary for training, attending conferences, and exploring new markets. With all of this in mind, it’s no wonder that businesses are spending more on travel than ever before.
According to the Global Business Travel Association (GBTA), global business spending on travel hit a record high in 2018 of $1.33 trillion USD. This figure was up 6.7% from 2017 with an estimated 4.6% growth in 2019.
Businesses in the United States account for a large portion of this spending. In 2018, U.S. companies spent $312 billion on business travel alone, representing 23% of total global spending.
The U.’s biggest spenders on business travel are tech companies such as Google and Microsoft, as well as consulting firms like Accenture and McKinsey & Company. These companies have deep pockets and will often send their employees abroad for training or to attend conferences or meetings.
Other industries that spend heavily on business travel include financial services, energy & utilities, manufacturing, hospitality & leisure and transportation & logistics.
Conclusion:
Businesses are increasingly recognizing the importance of travel when it comes to maximizing efficiency and profitability. This is reflected in the record-high levels of spending on business travel worldwide, with U.-based tech companies leading the way in terms of expenditure. Ultimately, how much a company spends on business travel depends largely on its specific needs and objectives.