Coronavirus and the traveling industry are for sure one of the hottest topics that you have been facing lately. Pessimistic points of views are all over the internet. But what are the real changes in the B2B travel industry?
How will companies implement the new security processes for their employees on the go?
GBTA had released statistics about the canceling and suspension of business trips:
- China – Hong Kong: 99% canceled or suspended
- Taiwan – Other Asia-Pacific countries Middle (e.g., Japan, South Korea and Malaysia) – East/Africa: 98% canceled or suspended
- Europe – Latin America: 97% canceled or suspended
- Canada – 95% , United States – 94% canceled or suspended
1. The GBTA survey: The future of business trips
GBTA had surveyed its members to identify their point of view regarding the future of B2B travel. Ayruu has gathered the most important points of this survey in this article:
- Most companies are planning a recovery plan in 2020.
- Eight in ten European members expect international business travel will resume in 2-3 months.
- A majority of GBTA members (88%) expect employees will be willing to travel once restrictions are lifted.
- Some GBTA members report their company does allow some essential travel. One-third (35%) say while their company has canceled or suspended all non-essential trips but allows some essential travel.
- GBTA members are more pessimistic about revenue loss for travel companies. Over half (56%) feel the worst is yet to come in terms of industry revenue loss while one-third (29%) feel the worst has already occurred.
2. Future changes in Business Travel practices
“Protection against disease will become an expectation in the same manner that protection from terrorism has been built into the travel system.” -IdeaWorksCompany-.
It is without any doubt that the safety and protection against diseases will be on the top of practices adopted by travel actors. Airlines, airports, hotels, and transportation will have to communicate their sanitary procedures to their clients. This particular strategy will build confidence between the clients and the companies, which will encourage traveling in the coming months.
“Business travel will be limited to meet essential needs. Two factors will influence consumer spending. First, the collapse of demand, and the desire by suppliers to build traffic, will make low prices the prevalent means of promotion” -IdeaWorksCompany-.
After a long time without traveling, companies will be in need to travel to meet their goals. Because of the coronavirus, projects could be interrupted, partnerships suspended, and many other needs in the universe of businesses.
Airlines will have to adapt their prices and lower them to meet their clients’ expectations. We can not deny that companies are having economic difficulties because of this crisis. Especially, the newly emerged companies.
Not only airlines are expected to lower their prices, hotels, transportation companies, and many other structures have to expect this situation.
For more practices please check our article: What are the best practices to adapt after COVID