Business Travel Prices Expected To Stabilize, Here Is The Latest Industry Forecast

Wednesday, July 23, 2025

A caller study jointly published by CWT and nan Global Business Travel Association (GBTA) predicts that business recreation prices worldwide will acquisition comparative stableness complete nan adjacent twelvemonth and a half. This stableness follows respective turbulent years marked by drastic fluctuations caused by nan pandemic and nan consequent economical recovery.

Airfare Costs: Modest Fluctuations Predicted

The broad Global Business Travel Forecast, which debuted astatine GBTA’s caller yearly convention successful Denver connected July 21, 2025, anticipates minimal shifts successful airfare prices internationally for 2025 and 2026. Specifically, nan world mean airfare is projected to somewhat summation by astir 0.4%, reaching astir $708 successful 2026. This follows a predicted alteration of astir 2.2% successful nan preceding year.

In Europe, nan value trajectory differs somewhat, pinch airfares projected to emergence by astir 0.6% successful 2025, followed by a much notable summation of astir 2.1% successful 2026.

Hotel Rates to Increase Gradually

Hotel rates worldwide are besides forecasted to acquisition mean increases. Globally, edifice room prices per nighttime are expected to emergence by astir 1.2% successful 2025 and an further 1.8% successful 2026, averaging astir $166 per night.

Europe’s edifice prices reflector this world trend, projected to emergence consistently by astir 1.9% each twelvemonth done 2026. These dependable complaint increments propose a controlled marketplace environment, providing immoderate predictability for businesses budgeting early recreation expenses.

Car Rental Market Stabilizing After Rapid Growth

Car rental costs, which had antecedently surged owed to important conveyance shortages, are expected to proceed expanding astatine a mean pace. Globally, regular rental rates are forecasted to climb 2.9% successful 2025 and different 2.8% successful 2026, yet averaging $48 per day.

In Europe specifically, nan summation is predicted to slow down substantially. The forecast indicates a complaint hike of conscionable 1.3% successful 2025 and 1.5% successful 2026—significantly little than nan erstwhile surge of astir 6.7% successful 2024.

Meetings and Events: Controlled Cost Growth

For firm meetings and events, costs per attendee per time are anticipated to rise, but astatine a moderated pace. In 2025, arena costs will apt summation by astir 3.7%, reaching astir $168 per subordinate daily. A smaller summation of astir 2.4% is expected successful 2026, pushing nan mean costs somewhat higher to astir $172 per day.

This forecast represents a noticeable deceleration compared to erstwhile years, reflecting a stabilization inclination crossed nan recreation sector.

Corporate Buyers Gain Strategic Advantage

CWT’s CEO, Patrick Andersen, highlighted that nan existent inclination towards much predictable pricing is beneficial for firm recreation managers. Andersen pointed retired that contempt ongoing economical uncertainties, recreation buyers are now amended positioned to discuss favorable contracts, optimize their recreation budgets, and leverage location pricing variations effectively.

According to Andersen, this is an opportune infinitesimal for corporations to strategically revisit recreation policies, amended statement negotiations, and perchance redefine gathering formats to heighten worth and efficiency.

Economic Influences and Potential Risks

The study emphasized that while stabilization is mostly expected, important factors specified arsenic world inflation, economical instability, changing governmental policies, and geopolitical tensions stay captious considerations. These elements could substantially power early pricing dynamics.

GBTA CEO Suzanne Neufang acknowledged that while recreation prices are entering a play of greater stability, nan broader marketplace scenery will proceed to beryllium shaped by outer pressures and evolving traveler demands. She emphasized nan value of data-driven decision-making and adaptability for businesses navigating this environment.

Preparedness for Potential Economic Downturn

Additionally, GBTA and CWT person explored scenarios involving a imaginable economical recession. Their Global Recessionary Forecast exemplary suggests that a downturn would consequence successful reduced recreation expenses crossed each categories successful some 2025 and 2026, providing important contingency insights for firm planning.

Business Travel Spending Trends

Complementing this pricing forecast, GBTA’s latest Business Travel Index Outlook anticipates world firm recreation expenditure to scope astir $1.57 trillion successful 2025, expanding to $1.69 trillion by 2026. Despite these important figures, they correspond a downward revision of erstwhile projections, chiefly owed to ongoing geopolitical uncertainty.

Ultimately, nan study underscores a cautious optimism for business travel, providing firm recreation buyers valuable guidance to make strategical decisions successful an evolving economical landscape.