(MENAFN- Khaleej Times)
In 2024, business travel is expected to reach $1.48 trillion globally, with the Middle East showing a growth rate of 11.2 per cent, a study showed.
Last year, the region surpassed its pre-Covid spending levels, reaching $17 billion in business travel expenditures, instilling confidence in its future, the study by Tumodo, an online business travel platform, and Admitad, a partnership marketing platform, showed.
The data reveals significant shifts in business travel trends across the Middle East and North Africa (Mena) for 2024.
The study shows that the average price of airline flight tickets within the Mena region has reached $205, a change attributed to seasonal inflation. On the contrary, economy class tickets from Mena to Europe, Asia, and America average $510, while business class fares for these routes reach $2,084. Regarding the distribution of ticket types in business travel, 88 per cent of the tickets are for economy class, 10 per cent are for business class, and 2 per cent are for first class. Additionally, a 17 per cent increase in car rentals during business trips compared to 2023 indicates a preference for flexible transportation options.
“Each sub-region showcases its unique trends, such as the UAE, where business travel represents 14.5 per cent of the region's total. This data underscores the market's significant growth and evolving dynamics,” said Vladimir Kokorin, founder of Tumodo.
Anna Gidirim, CEO of Admitad, added:“From 2022 to 2024, there has been a noticeable increase in mobile sales, growing to 32 per cent. This rise can be attributed to several factors, including companies' focus on user-friendly interfaces, transparent spending monitoring, and integrating new AI-driven technologies.”
Bookings
The study showed that in Q1 2024, the top sources of purchases were targeted and contextual ads, accounting for 25 per cent of sales, and content platforms, contributing 22 per cent of sales. These figures suggest a diversification in booking channels and highlight the importance of a multi-channel approach for travel companies.
Business travel spending reached $933 billion globally in 2022, with the Middle East and Africa (MEA) region accounting for $23 billion or approximately 2.5 per cent of overall spending within the sector. As business travel in the region continues to evolve, the trends identified in this study point towards a future of increased digitalisation, personalisation, and flexibility.
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