Advito’s first update to its annual forecast of key economic trends affecting the business travel industry finds that companies in North America, Africa and Asia can expect to pay slightly less for intercontinental business class air travel in 2017 than was projected just three months ago in the Advito 2017 Industry Forecast. Forecasts for regional business class fares also dropped in Asia and the Middle East.
Hotel price projections went up for several European countries, while a higher rate forecast for New Zealand lifted the figure for Southwest Pacific. The outlook for rates in Asia and Latin America was decreased after forecasts for key markets in those regions were reduced.
In addition to projected prices, Advito’s December update identifies two trends likely to capture the interest of corporate travel and procurement leaders:
• The use of identity management to improve the customer journey and enhanced personalization capabilities for a tailored customer experience
• The continued enhancement of seamless connections across travel, expense and reimbursement
Other takeaways in Advito’s December update to the 2017 Industry forecast include:
• The outlook for the world economy remains stable with growth expected to gradually improve in 2017.
• Advanced economies will contribute less to global growth than previously thought, as uncertainties arise from the US presidential election and Brexit decision.
• The original oil price assumption holds steady at US$50 per barrel.
The December update reexamines market drivers behind the Advito 2017 Industry Forecast released in September 2016. Advito publishes this annual Industry Forecast to give travel and procurement managers a range of projected price movements they can use to benchmark success against key performance indicators and prepare for supplier negotiations and budgeting. The forecast report includes supply, demand and pricing trends for air, hotel, ground transportation and meetings for all major regions in the world.