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Business Travel is Rebounding with Blended Solutions
A 2022 survey by the Global Business Travel Association (GBTA) revealed that, on average, travel managers estimate their companies’ domestic business travel volume had returned to 63% of pre-pandemic levels.
GBTA’s 2024 Global Business Travel Index Outlook delivered good news for the sector: ‘global business travel spending will reach an all-time high of $1.48 trillion by the end of 2024, surpassing pre-pandemic levels’ for the first time. Compared to 2022 spending levels, this is an increase of 30% and represents 93% of peak annual expenditures recorded pre-pandemic.
Adjusted for inflation, the numbers are less robust but indicate an upward trend.
Despite previous doubts, business travel is making a strong comeback after a period of uncertainty. However, the landscape of business travel may not revert to its pre-2019 state. The rise of remote and hybrid working models has prompted employees to rethink the role of work in their lives, seeking a more favourable balance between professional duties and personal time.
Blended Travel
The GBTA survey found that among companies with hybrid or fully remote work policies, 72% of respondents did not expect the flexibility to work from home to affect the number of business trips taken by their employees. Furthermore, 41% of travel managers reported an increase in employees requesting to combine business trips with holiday or leisure activities.
This trend, known as ‘blended travel,’ is not new, but the growing demand to mix business and leisure presents challenges for travel managers.
Addressing the Needs of Blended Travelers
The requirements of blended travellers are diverse, but they begin with infrastructure and services that support professional needs. This includes amenities such as business centres in hotels, access to coworking spaces, and robust internet bandwidth capable of handling both professional and personal activities simultaneously.
Security and Equipment Support for Workers and Employers
Travel insurance providers must consider increased allowances for lost luggage and equipment, liability, holiday home or vehicle rental, and more. Blended travellers require tailored, insurance that accommodates both their leisure and work lifestyles.
Key tips for business travellers and their employers include:
• Check what activities are permitted during a blended trip. Traditional business travel policies may not cover certain leisure activities or sports.
• Ensure your insurance provider can continue cover if you decide to tag on a leisure trip. Some may not extend to your leisure trip.
• Check who is responsible for company assets, such as laptops and phones, during the leisure component. Does your current policy provide suitable benefits to protect them?
Partnering with the Right Insurance Provider
For travel organisations, collaborating with the appropriate insurance partner can yield financial benefits and foster repeat business. Insurance, like many ancillary products, can be a significant revenue stream.
Offering relevant travel insurance enhances customer loyalty and encourages repeat bookings. Last year, Skift’s consumer trend report commented that embedding travel insurance into the customer journey shows a deeper understanding of the individual trip and provides greater personalisation, potentially unlocking increased customer loyalty.
Given the stringent regulations in the insurance industry, the right insurance partners should help you leverage their expertise to ensure full compliance with regulatory requirements.
Through simple integration, battleface provides relevant benefits, custom-built API product solutions, and established networks that empower partners to offer their customers relevant business travel products that hone value.
For information on battleface’s dedicated Business Travel Insurance Product, designed to meet the evolving needs of businesses and their employees, visit our website or to partner with us see our partner pages here