A new study from Mastercard focusing on corporate travel highlights the current perceptions of sustainability, vacation rentals, and other key topics within the industry. The data collected includes feedback from 265 corporate travel decision makers and 151 business travelers worldwide. Some of the issues addressed in the survey include reformed travel and expenses (T&E) policies and airplane class seating.
When it comes to sustainability in business travel, the research shows that there is still a long way to go in terms of prioritizing environmentally friendly options. However, steps are being taken by some companies, such as encouraging or mandating rail travel as an alternative to air travel in order to limit carbon emissions or reduce costs. 61% of companies urge business travelers to consider sustainable options when booking, and a quarter have implemented a “sustainability tax” that is internally charged based on booking choices.
Another key finding from the study is the acceptance of vacation rentals in corporate travel. While some companies avoid this option due to duty of care concerns, 53% of travel decision makers permit booking vacation rentals. Business travelers, on the other hand, are more enthusiastic about this option, with 74% stating that their companies allow booking vacation rentals for work trips, indicating a misalignment between traveler and decision maker expectations.
The study also reveals the need for integrated and refined T&E policies and procedures. With a growing market for tools and products that streamline T&E, employees are vocal about their needs. Over 42% of business travelers feel that their companies’ T&E policies could be improved, and 54% desire payment and expense integration. Additionally, 66% believe that easily accessible policies can help them follow T&E guidance.
When it comes to who gets the ‘better’ airplane seat, companies have varying policies in place. While 27% do not allow first class for anyone, 40% allow it for senior executives. Additionally, 15% of companies prohibit basic economy for employees. Business travelers have reported that 42% of their companies allow employees to upgrade with points, and 26% to 36% state that their companies have policies based on flight length that could grant someone a better seat.
Overall, the Mastercard study sheds light on the evolving landscape of corporate travel post-pandemic. With an increased focus on sustainability, the acceptance of alternative lodging options like vacation rentals, and the importance of integrated T&E policies, there is a clear need for companies to adapt and address the changing needs and expectations of business travelers. As the industry continues to evolve, it is essential for companies to stay informed and responsive to these developments in order to maximize the efficiency and satisfaction of their travel programs.
