Business Travel Executive, March 2018

INDUSTRY NEWS 6Business Travel Executive MARCH 2018 Business Travel Outlook 2018 Continues Upward Trends The outlook for global business travel continues to be strong in the coming year with demand for air travel expanding hotel performance improving moderately and average daily car rental rates expected to increase slightly This according to the 2018 Business Travel Forecast from American Express Global Business Travel Additional findings in the forecast include Airlines in North America are re focusing on secondary destinations because of decreased demand and overcapacity on international routes hotel performance in North America will largely depend on the political climate and its impact on foreign travelers and after years of flat or negative growth rental car rates should rise as companies improve their fleet management These developments will allow travel managers to focus on the traveler experience rather than cost in 2018 predicts David Reimer American Express GBT general manager and senior vice president North America January Fares Drop According to ARC The average US roundtrip ticket price of airfares for US travel agencies was 458 in January 2018 down 15 from December 2017 Data from the Airlines Reporting Corporation reveals average ticket prices for the month decreased approximately 2 percent compared with January 2017 The number of trips in the month increased 57 percent to nearly 26 million resulting in the consolidated dollar value of tickets sold by US based agencies increasing 84 percent over the same period a year ago Electronic Miscellaneous Document sales for the month totaled almost 73 million a 23 percent increase over January 2017 while EMD transactions also increased 7 percent BTE SPONSORS Travel Buyers Find Benefits In the Sharing Economy More than half of travel buyers now view sharing economy providers as a benefit to their travel programs a significant increase over last year according to a recent poll of 243 buyers by the Business Travel Show an annual trade show in London The poll showed 58 percent of respondents agreeing that alternative accommodations and transport providers such as Airbnb Uber and Lyft are a good thing a jump of more than 20 points from the 37 percent a year ago The percentage who consider the sharing economy a threat dropped from 25 percent to 18 percent and just 17 percent remain undecided This shift was also reflected in the number of buyers who now allow travelers to book sharing economy suppliers independently up from 17 percent last year to 22 percent Jumeirah Launches New Hotel Brand Jumeirah Group has announced the launch of Zabeel House by Jumeirah a new brand designed to appeal to travelers who want to connect meaningfully with their travel destinations according to the Dubai based company The brand was created in response to the continuing and growing travel trend for exploration and enrichment through travel experiences Zabeel House is the first hotel in its new Upscale Casual collection The company says it has signed five management agreements in the United Arab Emirates Saudi Arabia and the UK with others under discussion