Business leaders agree technology has changed business travel forever

18 November 2024: The latest business leader research from International Workplace Group, the world’s largest provider of flexible workspace with brands including Regus and Spaces, underlines business travel's changing nature and frequency.

The International Workplace Group report highlights how business executives are prioritising strategically important meetings for corporate spending, while routine meetings between global participants are taking place largely online using available technology amidst rising costs, environmental concerns, and geopolitical uncertainty.

The study, which included more than 500 business leaders, highlighted that the rapid development of digital infrastructure means functional meetings can now be held online. More than three-quarters (77%) of business leaders say technology has enabled them to continue to conduct pure ‘business as usual’ meetings virtually to drive efficiency.

That’s not to say hybrid working has made business travel redundant. In fact, the majority (87%) of CEOs firmly believe that technology will never replace the value of strategically important face-to-face meetings, and business travel will invariably play a crucial role in strengthening relationships and when signing key commercial deals.

The rising cost of business travel

A third of business leaders cited escalating costs as an influential factor in their post-pandemic travel decisions. Research into the cost of business travel by Harris Williams found that airfares had risen by 38%** compared to pre-pandemic prices, and hotel costs had risen by at least 82%***. With an expectation of continued growth in 2025, 77% of CEOs noted that hosting meetings virtually enables them to reduce the number of business trips, allowing for a focus on crucial face-to-face meetings.

Geopolitical uncertainty

Looking at other macro trends, CEOs said that increasing geopolitical uncertainty had significantly impacted the nature of travel at their companies. One in five said that the current geopolitical climate has significantly impacted business travel, with changes in the global health landscape (19%) and visa regulations (19%) also influencing how they prioritise strategically important travel.

Environmental considerations

As companies look to reduce their environmental footprint, many are more considered in their approach to corporate travel. Three-quarters (75%) of leaders said that the development of hybrid work and the adoption of online platforms have enabled them to reduce the number of environmentally unfriendly trips. For larger organisations facing greater scrutiny over their carbon emissions, corporate ESG reporting and policies have led to leaders being more strategic with their travel plans.

Extending business trips to maximise efficiencies

Three-quarters (75%) of corporate leaders said that business travel is now more efficient, and more than half (61%) say they tend to travel less but stay longer due to the availability of flexible workspaces, which enable them to remain productive between meetings. A quarter (26%) now extend their travels to fit in additional meetings, reducing the need for short visits, whilst others (23%) have attended industry events or conferences to maximise their trips. ​ 

As leaders enjoy greater flexibility in their working patterns, 87% spend the extra time enjoying their destination and experiencing local culture. One quarter (24%) said they had actually combined a work trip with a holiday. In an encouraging move for the whole business, the benefits of travel and leisure are not exclusive to leaders – with 74% encouraging their employees to work from abroad to make the most of travelling, too. ​ 

Mark Dixon, International Workplace Group CEO stated: “Advancements in digital technology coupled with the rising cost of international travel, geopolitical uncertainty and environmental considerations mean the world of business travel has been transformed and we are unlikely to see a return to pre-pandemic levels.

“Executives are now prioritising travel for the most strategically important meetings such as major business deals or nurturing significant relationships with partners. For these occasions, technology can and will never replace the value of in-person transactions for the most valuable meetings.”

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Notes to editors

*Research among 500 CEO participants in June 2024 by Mortar. Mortar is Market Research Society (MRS) accredited and the research adhered to MRS guidelines.

** Global Travel Outlook Spring 2024 Report by Harris Williams, OC&C Strategy Consultants

*** Data sourced for i by hospitality data intelligence firm Lighthouse.

About International Workplace Group PLC ​ ​

International Workplace Group is the global leader in hybrid work solutions and workspace brands. We create personal, financial, and strategic value for businesses of every size. From some of the most exciting companies and well-known organisations on the planet, to individuals and the next generation of industry leaders. All of them harness the power of International Workplace Group’s hybrid working platform to increase their productivity, efficiency, agility, and market proximity. ​ ​

International Workplace Group’s unrivalled network coverage includes approximately 4,000 locations across more than 120 countries and 83% of Fortune 500 companies are amongst our growing customer base. ​ ​

Through our brands including Regus, Spaces, HQ and Signature, we help millions of people and their businesses to work more productively. We do so by providing the world’s leading hybrid work platform with professional, inspiring and collaborative workspaces and digital services all available via the International Workplace Group app. ​ ​

For more information visit www.iwgplc.com