Leading global business management platform, TravelPerk, has launched The Value of Business Travel Report, which reveals that 76% of CEOs say increasing travel budgets would positively impact their company’s revenue.
The study is based on global research commissioned by TravelPerk in the United States, the United Kingdom, Germany, and Spain, of 2,000 business travel decision-makers including C-suite professionals, as well as a TravelPerk customer survey of over 5,200 business travelers and travel admins. The comprehensive report examines how companies around the world are investing in business travel to drive growth, engage employees, and stay ahead of the competition.
Despite economic headwinds, 61% of U.S. businesses are expecting are expecting to invest more in business travel (compared to just 44% of European companies), with an average expected rise of 23%. The top three reasons for increased investment are expansion into new markets (50%), attending conferences and events (47%), and increased focus on business development (46%). This investment is being fueled by the tangible benefits of in-person meetings, new business development, and company get-togethers.
C-suite leaders also attributed 33% of their company’s total sales growth in 2023 to in-person meetings. Globally, for SMBs and mid-size companies, each dollar invested in business travel was reported to generate an incremental revenue of $12, primarily driven by new customer acquisition.
“In today’s fiercely competitive landscape, companies recognize the immense value that business travel delivers,” says Avi Meir, CEO and co-founder of TravelPerk. “From the boost in employee engagement and revenue generated from in-person meetings, to conducting work that can only happen by being there, business travel is far more than just a cost center—it’s an investment in growth, innovation, and company culture.”
In the U.S., CEOs report on the noticeable morale boost that business travel gives their employees with 82%, versus 65% European average, saving it positively impacts employee retention, and 85% it increases company revenue. In addition to the value it provides companies, traveling for work offers professional development opportunities for workers. Nearly three-quarters (73%) of employees say it increases their knowledge and experience, and 63% feel it gives them more opportunities to meet customers and partners. Moreover, 87% of employees state that in-person social events boost morale and engagement. Business travel allows vital soft skills development through face-to-face interactions. Organizations seeking to win the war for talent should consider business travel as a key way to attract and retain workers.
“As someone who’s seen it firsthand, I can say that travel and meeting face-to-face are game changers for building connection and engagement,” says Lenke Taylor, chief people officer at Personio. “In recognizing travel not as a corporate necessity or purely a cost line, but as a strategic opportunity for collaboration and alignment, organizations can unlock the full potential of an international talent pool and cultivate a truly connected community.”