Companies which invest in business travel are more successful than those which cut back on travel budgets, according to new research.
Analysis from Oxford Economics presented at US trade show IPW 2013 (formerly known as Pow Wow), showed that American businesses grew faster during the recession if they continued to travel.
Analsyis of government data on business travel and its impact on productivity across 61 industries showed that between 2007 and 2011, those sectors which spent the most on business travel showed higher profit growth than rivals.
A survey of 300 business travellers in November 2012 supported the findings, with 57% of respondents saying that cutting back on travel budgets had hurt their businesses, compared to just 4% who said it had been a successful strategy.
The report backs the views of Guild of Travel Management Companies chief executive Paul Wait, who told a recent Travel Weekly Business Breakfast that business travel should be fundamental to companies’ growth strategies.
The US Travel Association has launched a campaign called Travel Effect, which will attempt to demonstrate the value of both corporate and leisure travel.