Corporate travel market demand continues to grow

Business travel with airlines is seeing unprecedented load factors and a renewed surge in passenger demand

Dec 6, 2024

Global business travel demand « peaked » in the third quarter but is expected to continue growing through 2025, prompting airlines to expand capacity, according to FCM Consulting’s Global Quarterly Trend Report released this week.

Key takeaways

• The average booked economy class airfare across more than 380 global city pairs in 2024 (through August) was $507, down $16 from the same period in 2023. In contrast, business class fares increased approximately 6% year-over-year, reflecting a $137 increase;
• In the third quarter, FCM’s corporate clients saw the average daily hotel rate rise to $209 in Europe (a $10 increase) and $267 in North America (a $17 increase). Meanwhile, rates in Asia declined $6 year over year to $166;
• FCM predicts global corporate daily rates will increase 2% to 4% in 2025, driven by operating costs and steady demand, even as inflation slows.

Get the full story at FCM Consulting