Data management company Travelogix have produced a detailed white paper analysing the effects the pandemic has had, and continues to have, on the business travel industry.
The data is based on the analysis of 10.51m records created between 2019 and 2020, selecting records from TMCs that had transacted continuously during this time to ensure that the information compares real-world changes. The paper looks at the immediate impact and the ripple effect it has had on the wider industry, outlines the affect Covid has had at regional level around the globe and how govts have reacted in each.
The paper reviews exactly what the crisis has done to TMCs in terms of transaction volumes, revenues, invoice production and the unprecedented affect high volume of refunds have had on the business.
Business travel declined by more than 89% - a reduction of 5.09 million new transactions year on year. The average revenue per transaction decreased by 64.21% from £296.50 in 2019 to £106.12 in 2020. In summary, just 1 in 20 bookings made for and during 2020 went ahead.
There is key analysis on what a recovery will look like and how confidence and duty of care will play its part in getting people travelling again.
The final part of the paper looks at the lasting effects of this pandemic – ranging from new attitudes and behaviours, communication and educational strategies through to data demand and the adoption of new tech. It includes analysis and insights from Abby Penston at Focus Travel Partnership, Clive Wratten CEO of the Business Travel Association and Mark Woolcock CFO of Easy Avenues
There is a recovery calculator which enables businesses to plot their 2019 figs and what their “magic number”(profitability) is for 2021 and when that might be, given season changes and changes to lockdown
Travelogix and Focus plan on taking this to the Chancellor and Secretary of State for transport to highlight what is needed to bring travel back, an industry that contributes £200bn to the UK GDP annually.