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GTM Travel Media - Newsletter logoIn a climate overshadowed by lingering pandemic concerns and economic instability, business travel has surprisingly made a significant resurgence. Fresh data from Capterra’s 2023 Travel Survey reveals that 46% of business travellers are now hitting the road more than they did before the pandemic. On average, these frequent flyers embark on six annual trips, with an average duration of three days per journey.

However, this rebound comes at a cost. Expense management has become a formidable challenge for businesses, with 92% of respondents admitting to encountering issues in this area. Alarmingly, nine out of 10 travellers acknowledge making errors during the expense reporting.

“Wwhile it’s heartening to see business travel return to prominence, outdated expense tracking techniques pose a significant concern,” says Max Lillard, Capterra’s senior finance analyst. “In this unpredictable financial landscape, companies need to adopt more efficient and accurate expense management solutions.”

Despite technological advancements, with over half of travellers leveraging mobile apps or software for expense tracking, an astonishing 42% are still clinging to old-fashioned methods like manual receipt collection. This adherence to old-school systems leads to costly mistakes like missing receipts, duplicate expenses, and arithmetic blunders.

The upswing in travel doesn’t merely represent a logistical challenge; it also translates to tangible business growth. The survey finds that over half of the trips are booked for critical business objectives, including client meetings, networking events, training programs, and trade expos. This suggests that despite the financial hiccups, there is a notable return on investment (ROI).

Moreover, it seems that business travel might be serving a dual purpose. An overwhelming 93% of travellers said they often extend their business trips for leisure, aiming to achieve a healthier work-life balance. Activities during these extended stays range from visiting historical landmarks (31%) to socializing with friends and family (30%) and attending cultural activities (25%).

In summary, as the business travel landscape in 2023 continues its surprising growth trajectory, there is an acute need for companies to modernize their expense management methods.  The challenges ahead can be mitigated by fostering strategic partnerships, focusing on employee well-being and integrating new technologies like travel and expense management software.

The full survey findings are available for consultation to help you better understand this trend and gain actionable insights for planning your business travel more effectively.

 

 

 

Written by: William Trevan

 

 

 

 

 

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