“The findings from the ACTE survey of members shows clearly that economic performance may well move ahead, across the globe, next year,” commented ACTE President Chris Crowley. “We intend to monitor our members, and their confidence, booking trends and general travel expenditure closely as we watch the expected recovery of the world economy. As business leaders adjust their travel requirements and with an eye to the changing economic landscape, ACTE will start to publish statistics in a regular monthly index”.
The vast majority of respondents to the ‘2011 Travel Spend Survey’ – 64% from Europe and 70% from the US – are anticipating greater travel spend in 2011, with most attributing this to increased travel frequency and not just higher costs – clearly showing that business activity will increase in 2011.
In fact, 66% of European ACTE members and 60% of those in the US are expecting their company’s employees to travel more in 2011 than in the two previous years of the recession.
More than half the European member companies questioned expect their travel spend to increase by between five and 15%, compared with 43% of those in the US, where 22% of respondents predict an increase in travel spend of between one and five percent, and 5.4% expect a spend increase of 20% or more.
On the issue of controlling costs, the vast majority of US respondents (73%) will be encouraging, or even mandating the use of preferred vendors, with 62% encouraging or mandating booking channels; just over half encouraging or mandating the use of travel alternatives “when travel can be replaced”; and 57% encouraging or mandating hotel booking through preferred channels. The results from European respondents are broadly similar. However, 68% say they will encourage or mandate booking at least 14 days in advance, compared with just 54% of US member respondents.
According to the ACTE survey, a mere 11% of European ACTE member companies plan to control costs by “managing a previously unmanaged aspect of travel, such as corporate housing or parking”, compared with 16% of those from the US, yet 38% foresee a consolidation of meeting spend – which is 11% more than those in the US.
Just 5.4% of US ACTE respondents and 6.4% of those from Europe will be encouraging shorter trip stays, the survey concludes.
ACTE has organised an exclusive collection of members who have agreed to provide monthly data for the newly launched ACTE Index. The ACTE Index will provide the industry with timely and relevant statistics tying travel data to regional economic indicators that will establish predictive economic KPIs and behavioural trends. This unique information will be shared with the industry via a monthly ACTE Index newsletter as well as on the ACTE website.
