Business travel
Encyclopedia
Business travel is the practice of people traveling for purposes related to their work. It is on the rise especially with foreign business markets opening up. 432 million business trips were completed by United States residences in 2009, this accounted for approximately $215 billion dollars towards the economy.
Many airline
s began to concentrate on providing premium service on long haul flights especially for the first and business class business traveler with the development of more sophisticated business traveler needs over the last 15 years.
American Airlines
was the first airline to offer a frequent flier program to customers. The AAdvantage
program began in May 1981 and included Hertz car rental and Hyatt hotel. The first hotel to start an independent hotel program was Holiday Inn; they began in January 1983. National Car Rental was the first car rental company to introduce a program back in March 1987.
Airlines have also been working on tools that benefit the business travellers such as: Improved and competitive mileage programs, quick check in and online check in, lounges with broadband connection, etc. Hotels are not far behind. They are also on the competition for the business travellers by offering flexible points programs, broadband connection in all rooms and fast check in and check out services.
While internet booking engines have become the first destination for around 60% of leisure travelers
, business travelers, especially with the need for itineraries that may include more than one destination, have still found that a knowledgeable travel agent may be their best resource for better ticket pricing, less hassle and better air and land travel planning. For larger business travel accounts these travel agents take on a travel management role, and are referred to as Travel Management Companies (TMCs), providing services such as consultancy, traveller tracking, data and negotiation assistance and policy advice.
Recent trends in this market have extended to the implementation of Self Booking Tools (SBTs) which allow automated booking of trips within company policy, an increase in the inclusion of Duty of care practices in the booking and monitoring process and more consideration for the environmental impact of business travel.
Top three expense categories for business travel:
Many airline
Airline
An airline provides air transport services for traveling passengers and freight. Airlines lease or own their aircraft with which to supply these services and may form partnerships or alliances with other airlines for mutual benefit...
s began to concentrate on providing premium service on long haul flights especially for the first and business class business traveler with the development of more sophisticated business traveler needs over the last 15 years.
American Airlines
American Airlines
American Airlines, Inc. is the world's fourth-largest airline in passenger miles transported and operating revenues. American Airlines is a subsidiary of the AMR Corporation and is headquartered in Fort Worth, Texas adjacent to its largest hub at Dallas/Fort Worth International Airport...
was the first airline to offer a frequent flier program to customers. The AAdvantage
AAdvantage
AAdvantage is the frequent flyer program of American Airlines. Launched May 1, 1981, it was the second such loyalty program in the world , and remains the largest with more than 67 million members as of October 2011.Miles accumulated in the program allow members to redeem tickets, upgrade service...
program began in May 1981 and included Hertz car rental and Hyatt hotel. The first hotel to start an independent hotel program was Holiday Inn; they began in January 1983. National Car Rental was the first car rental company to introduce a program back in March 1987.
Airlines have also been working on tools that benefit the business travellers such as: Improved and competitive mileage programs, quick check in and online check in, lounges with broadband connection, etc. Hotels are not far behind. They are also on the competition for the business travellers by offering flexible points programs, broadband connection in all rooms and fast check in and check out services.
While internet booking engines have become the first destination for around 60% of leisure travelers
Tourism
Tourism is travel for recreational, leisure or business purposes. The World Tourism Organization defines tourists as people "traveling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes".Tourism has become a...
, business travelers, especially with the need for itineraries that may include more than one destination, have still found that a knowledgeable travel agent may be their best resource for better ticket pricing, less hassle and better air and land travel planning. For larger business travel accounts these travel agents take on a travel management role, and are referred to as Travel Management Companies (TMCs), providing services such as consultancy, traveller tracking, data and negotiation assistance and policy advice.
Recent trends in this market have extended to the implementation of Self Booking Tools (SBTs) which allow automated booking of trips within company policy, an increase in the inclusion of Duty of care practices in the booking and monitoring process and more consideration for the environmental impact of business travel.
Top three expense categories for business travel:
- Airline expenses
- Hotel expenses
- Food and beverage expenses