The Power Shift: How Travelers Are Transforming the Future of Business Travel

Business travel is booming. According to the GBTA’s Business Travel Index Outlook report, business travel spending is projected to reach $1.4 trillion this year and climb to $1.8 trillion by 2027.

So what is driving business travel’s big comeback?

Business travel is essential for many jobs, including sales, client services, consulting, event management, and construction, among others. Travel is a key part of their work and is carefully budgeted for for these professionals, no matter the economic situation. Meeting clients face-to-face is still very important. Companies believe that in-person meetings boost performance and growth. Nearly 87% of business travelers agree.

Business travel now also encompasses events, conferences, and extended stays at various office locations. Additionally, with remote working still going strong, business travel includes coordinating in-person meetings for remote colleagues from time to time.

Bleisure—where business travelers incorporate leisure activities into their work trips—continues to trend. According to National Car Rental, 81% of travelers participate in some form of bleisure. Approximately 41% extend their business trips for leisure and 33% plan vacations around their business travel. DerbySoft facilitates these extended trips, thereby enhancing the overall travel experience.

Maximizing value from fewer but longer trips is as much about sustainability as it is about wellness, a growing focus for businesses. According to Trainline Partner Solutions, 52% of businesses have already committed to reducing their business travel emissions, and 82% plan to support employees in choosing low-carbon travel options. DerbySoft’s Business Travel Suite offers solutions that align with these sustainability goals.

However, the landscape has undergone a significant transformation. With evolving expectations, AI and technology advancements, heightened scrutiny on sustainability, and other emerging trends, achieving seamless business travel has become increasingly complex for TMCs, their clients, and suppliers.

Expectations are changing the travel landscape

The balance of power is shifting from TMCs to travelers, creating an increasingly competitive environment. Business travelers expect services and technologies that are as smooth as what they use in their personal lives.   They are closer than ever to the details of planning, booking, and managing their trips.

New booking tools, travel apps, and AI are redefining expectations for a smooth and personalized experience. The idea of choice goes beyond just picking flight times, baggage allowances, or meals like chicken or pasta. They want business travel services to understand their profiles, predict their needs, fill in the information automatically, and offer the best options to make the process easier. Travel managers also want real-time, detailed data experiences, both online and on mobile devices, to have a clear view of their travel programs.

This shift is leading to “consumerization,” which is changing how the business travel industry operates and its future possibilities.

Embracing modern technology to accelerate commerce

The new business travel landscape demands a strategic and forward-thinking approach. Embracing technology, understanding consumer behavior, and aligning with travel trends are key to managing business travel complexities.

DerbySoft’s Business Travel Suite (BTS) is designed to address these complexities, ensuring smooth coordination between Travel Management Companies (TMCs) and suppliers to offer unparalleled control over sourcing, efficiency gains, and substantial cost savings. By using advanced technologies like dynamic pricing and real-time data analytics, the suite helps allocate resources accurately, improving operational workflows.  Collaborating with partners like Arise and others ensures accurate reconciliation of bookings and commission payments.

With a single seamless connection to BTS, TMCs gain access to a comprehensive spectrum of rate and room options directly from suppliers, encompassing corporate, rack, negotiated, and loyalty rates. This eliminates the cumbersome task of handling multiple APIs. BTS facilitates direct connections with suppliers of various scales, enabling TMCs to offer access to both independent hotels and alternative accommodations. By removing technical constraints on room descriptions and offers, TMCs, and Suppliers can collaborate to create unique product offerings, lower costs, and provide better service to their clients, giving them a competitive edge in an ever-changing market.

Ready to explore how DerbySoft’s Business Travel Suite can transform your operations and elevate your success in the competitive landscape? Contact us today derbysoft.com.

About the Author

Duane Overgaard is the President of Connectivity and Senior Vice-President of DerbySoft. With over 30 years of experience in the hospitality industry, he has a diverse skill set that includes account management, business development, and contract negotiation.

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