Emerging market activity in South America and Asia combined with cheap airfares is expected to afford more companies the opportunity for more corporate travel and to conduct business face-to-face with its clients in 2017.
According to Advito’s 2017 industry forecast, the outlook for various regions is the result of some tangible economic indicators, as well as some intangible appetites. Here’s how the forecast breaks down by region:
North American business travel is expected to be strong, although concerns about the presidential election and a possible interest rate hike are creating some uncertainty for 2017. Continuing competition between the top three airline carriers will keep airfares cheap, while hotel rates will increase as the chains reduce the number of rooms they make available at a negotiated discount. They will instead seek to implement dynamic pricing for corporate travel clients, thereby decreasing their negotiating options and driving up rates between three and five percent.