Moderate business travel price increases likely will be seen worldwide next year, according to the 2015 Global Travel Price Outlook, released today by Carlson Wagonlit Travel and the Global Business Travel Association Foundation. It is the first joint forecast released by the organizations. Combining to push rates up are demand from emerging markets such as China, India and Brazil; improved economic growth from advanced economies, and limited increases in supply. "The study reveals that travel managers expect price increases next year across the board on travel categories including airfares, hotel room rates and rental car rates," said Joseph Bates, GBTA Foundation vice president of research. Airfares are forecast to rise by as much as 2.2 percent in 2015, led by Latin America-based fares, which could jump by 3.5 percent. For lodging, hotel prices are expected to increase by 2.6 percent, with Latin America again leading the growth, with an anticipated 6.3 percent jump in managed rates. Ground transportation should remain flat globally, although the burgeoning Latin America region could see price hikes of about 2 percent. In terms of meetings, the outlook is calling for more domestic meetings and shorter lead times worldwide, with a surge in bookings for mid-price hotels. Compliance should be a major concern for all meetings programs, regardless of industry or geographical location.
Specifically in the U.S., the report is forecasting a 3 percent rise in airfare, a 4.5 percent increase in managed hotel rates and flat pricing for ground transportation. The outlook can be seen in full here.