Small Businesses Hit Hardest by Economic Downturn; Business Travel on the Decline

Posted by
Lisa Nichols
Oct 31, 2008

It comes as no surprise that small businesses have been hit hardest by the economic downturn. In a press release from the Travel Industry Association yesterday, the group predicts that business travel will decline by 3.7% in 2008 and an additional 2.7% decline in 2009. The trade association says that this is a result of the current economic environment and business decisions to cut down on business travel. The Travel Industry Association is forecasting that business, convention and travel to meetings will begin to swing the other way in 2010, recovering by a rate of 2%.

In other news, the National Business Travel Association released findings from a business travel survey this month that found corporate business travel management is looking to cut costs this year.

The research showed that more than half of the corporate travel managers surveyed are “encouraging less air travel.”
In addition, most of the survey respondents (more than 75%) stated that they feel the low fares advertised by airlines are buried beneath costly fees.
Instead of encouraging air travel, corporate business management associates are recommending Webinars and Internet meetings for business.