Business and quality analysts across the world are sweating over the post-pandemic dip in business travel. The major chunk of the hospitality industry is banked on these business trips. Work has shifted online and business trips have taken a major hit as collateral damage.
Major studies and research says that with the onset of the pandemic in 2020, 90% of US companies reduced travel to unavoidable work trips. To date, corporate travel is yet to get back to its original state.
How People Looked Beyond Business Travel
When the world of business and work shifted online on Zoom calls, business trips went on a downward slip. What are the major factors that led to this?
Promotion of remote work across the globe. Reducing physical client visits and conference meets.
Companies cutting costs due to a lack of revenue to spend on non-essentials.
Permanent remote work has blurred the lines between corporate travel and travel for leisure.
Due to the rise of environmental awareness many companies want to reduce their carbon footprint. The pandemic and unavoidable remote work have given companies time to rethink their business policies for a greater cause.
Salesforce business process overview data says that their corporate travel results in 146,000 metric tons of CO2 emissions. This dramatically reduced to 20,000 metric tons due to the pandemic. Though it was great for the environment, the hospitality industry lost a huge chunk of business.
Corporate travel is worse hit than personal travel
The Canadian hospitality market kept hoping for a resume in corporate travel but statistics show otherwise. Market data shows that weekend hotel bookings are much higher than on weekdays. Weekend travel is mostly dominated by leisure travellers. Weekday bookings are banked on corporate companies and work-related travel.
With two sets of COVID waves, the delta variant and omicron, the work travel is at a constant low. But it is also noteworthy that though the number of work trips has reduced, the duration of these trips has increased. Companies are practising this to get maximum work done in single trips. This trend has given some boost in the dipping market.
How can better asset management help you get through this?
In the growing age of technology-based solutions to business and life problems, travellers expect you to provide them with quick solutions too. You need to optimize your assets in order to come out stronger on the other side of the pandemic.
Use of AI -
From the use of algorithms to customise travel plans for your customers to conducting digital assistance, AI can do more than you think. As a real estate property management owner, you need an assistive technology implementation plan to smoothen the process. The pandemic may have already taken a hit at your business, do not let technology hold you back even more.
Companies like SkyScanner and Booking.com are using their chatbot services to change the game. They are using AI to offer their customers a personalised experience.
At Assetsoft we make this process seamless for your business. From helping you choose the right real estate property management software for your business to property management, we are here for all your needs. Our holistic approach to organically incorporating technology into your business will give it the right push it needs.
Promoting combined work & leisure stays -
Employees across the globe have become highly mobile due to remote work. People are now indulging in workations. You need to tap into this market and promote your business as a dependable workspace as well as a reliable leisure provider. You need to blend the best of both sides of the hospitality industry to understand the present market trend.
Data analytics -
You will find endless market data on the hospitality industry. It is not cost-effective for a human to process this. Your business needs technology to make this faster and error-free. From finding what services worked best with your customers to finding booking trends, you can get all of it in a click. Contact the Assestsoft team today to get started and take the first step forward.
Big stakeholders in the market like Booking.com and many more are already using Data analytics to conduct their daily business. You need to rethink your project management processes to imbibe these essentials at the quickest.
Unique hospitality industry comeback story
With the rise of remote work, hospitality has shown some unbelievable resilience and new strategies to stay in business. Like the Marriott group of hotels started something called a “Day Pass”. They are renting their hotel rooms for 12 hours to people who want to get away from the monotony of home offices. They provide premium luxury services along with a workspace for people to relax at work.
TUI Travel Company of Britain recognised the change in market trend and revamped their hotel policies to promote workations. They now have as many as 30 of their hotels across the globe with designated workspace and WiFi services. Their use of strategy and leadership hit home and helped them stay relevant in business.
Major Takeaway
It is unclear as to when business travel might return to a pre-pandemic state. The world has reached a state where people and businesses are learning to work with or around the pandemic. Your business needs to get on top of this trend to make it boom. The hospitality industry is grilling under the pressure of the pandemic but there are some changing travel trends to look forward to.
But effective strategy and leadership can make better use of the available resources to better business. You can onboard business support service providers to optimize your available assets.
The Assetsoft team can guide you in better asset management, property management and customise strategies for all your business needs. Our experts can help you work with Yardi project management system and MRI services and provide you with the right set of tools to streamline your business. Contact us today to know more.
Did you Know?
Not all news from the travel industry is bleak. Here are some hospitality business data to inspire you for a better tomorrow.
As many as 74% of Americans have mentioned that they have serious thoughts about doing a workation.
A survey by Airbnb found that employees with prolonged remote work are keen on booking long stays.