Top 25 Cities for Convention / Conference/Seminar Travelers
|Washington, DC -- February 8, 2005 - Business and convention
travel is finally showing signs of recovery, although greater emphasis
on travel policies and the increasing use of technology has caused the
business travel landscape to shift, according to a new report from the
Travel Industry Association of America (TIA), the National Business Travel
Association (NBTA) and the Institute of Business Travel Management. The
2004 Business and Convention Travelers Report shows that between 1998 and
2003, business and convention travel volume declined more than 14 percent.
However, business travel volume grew more than four percent in 2004 and
strong growth is expected over the next few years.
"Business travel has been one of the most seriously affected by the events of recent years and the slowest to recover," said Dr. Suzanne Cook, senior vice president of research for TIA. "We believe that this reflects some of the changes that American businesses and business travelers themselves have made in recent years to enhance the efficiency of both the time and money they spend - changes that are still evolving."
The report found that the majority of business travelers work at companies with one or more travel policies in place, including restrictions on airfare class, limits on travel per diem, restrictions on hotel class or requirements that travel be approved by upper management. Improvements in technology have also altered the business travel landscape, creating greater acceptance of online business communication technologies as an alternative to travel. Nearly 40 percent of all business air travelers were substituting technology, increasingly webconferencing, for some travel in 2004, although this is down from 47 percent reporting the same in 2002.
Nearly three-quarters (71%) of all business air travelers in 2004 felt that the use of teleconferencing, webcasting or videoconferencing was somewhat or much more efficient than travel, up from 65 percent in 2002. However, only 37 percent of business air travelers feel that using such technology is more effective than a face-to-face meeting as a way of meeting business goals.
Despite these challenges, business travel remains big business in the U.S. More than 38 million business travelers generated 210.5 million person-trips in 2003. And although business travel comprises 18 percent of total travel volume, these travelers generate 31 percent, or $153 billion, of all domestic traveler spending.
"By showing that nearly one third of all travel dollars are spent on
business travel, the 2004 Business and Convention Travelers Report helps
quantify the importance of business travel to the travel industry and the
American economy," said NBTA Executive Director and COO, Bill Connors,
CTC. "The number of business travelers adding leisure components to business
trips and bringing family or friends with them shows the significant links
between the leisure and business segments of the travel industry, which
are often viewed as separate."
**All destinations are based on MSA's (Metropolitan Statistical Areas). These are areas as defined by the Office of Management and Budget.
Additional findings from the report:
The National Business Travel Association is the source for critical information on the business travel industry. For more than 35 years, NBTA has dedicated itself to the professional development of its members through advocacy, education and training, and networking opportunities. NBTA represents over 2,500 corporate travel managers and travel service providers, who collectively manage and direct more than $170 billion of expenditures within the business travel industry.
The Institute of Business Travel Management is the education and research foundation of the National Business Travel Association. IBTM's mission is to provide on-going financial resources to conduct research initiatives beneficial to the entire business travel industry; to support educational and research offerings for business travel industry professionals and to provide scholarship opportunities for business travel professionals.
TIA is the national, non-profit organization representing all components of the $555 billion travel industry. TIA's mission is to represent the whole of the U.S. travel industry to promote and facilitate increased travel to and within the United States.
|Also See:||Travelers Plan to Spend More on Vacations in 2004, but Not on Business Travel; Five Star Resort Vacations are Selling Well / November 2003|
|Hoteliers Meet with Airlines Concerning Issues of Airline Crew Contracting; Taxes, Ground Transportation, Safety and Security, Accounting, and Contracting / March 2004|