Latest surveys highlight business traveller’s response to recession

Jasons recently conducted two surveys that plot the opinions and fortunes of both business travellers, and the accommodation operators who advertise in Jasons Business Traveller New Zealand Accommodation Directory.

Travellers were asked if their business travel this year was on a par with 2008. Individual travellers’ responses were as varied as their vocations. Where there were increases, reasons included growing client numbers, a more nationwide focus and wider marketing reach – with 29% of business travellers increasing the frequency of their trips.

A recurring sentiment was the increased need for cost-effective options. Travellers combine a number of strategies to maximise their travel budgets: with 62% choosing to book well in advance, 60% making more economic choices in accommodation and car hire, and 47% combining meetings or events. In addition, 40% of these business travellers have been more flexible with travel dates to make the most of off-peak or last minute discounts.

Where travel has decreased, many respondents have cited economic uncertainty leading to less business, and also the need for greater accountability. This may be unsurprising, but some respondents are also taking advantage of teleconferencing technology to reduce the need for face-to-face meetings.

To compare demand with supply, 55% of accommodation operators surveyed, have noticed a decline in bookings from last year, while 25% have seen figures remain steady. Less than 20% of operators have seen an increase in business custom, despite the 29% of business travellers who reported increasing their travel in the last 12 months. Perhaps this disparity reflects different perceptions of the economic climate, rather than simply statistics.

To combat an overall drop in numbers, 64% of accommodation advertisers surveyed are now offering deals and incentives, while 43% are seeking new markets and 34% are spending more on advertising their properties. Conversely, a third of all respondents have simply adopted a ‘wait and see’ policy.

One respondent, Neil Barker of Manukau Motor Lodge believed business confidence has to rise before travel will increase, and commented on the media’s influence over business travel spending, “Once people have more confidence, when newspapers start publishing positive news, then the economy and spending in accommodation will pick up also.”