US businesses pushing more cash into travel

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This should come as no surprise as, globally, consumers are hitting travel websites in larger numbers than ever. According to comScore, the online travel sector has increased 25% (Year over Year) and by 32% (Year over Year) in India. In the US, travel continues to be a hot online destination as people plan vacations and business trips. June likely saw more vacation planning that business planning, but the travel category (Ground/Cruise, Hotels/Resorts, Transaction, Travel Agents and Car Rental) accounted for five of the top gaining website categories for the month.

As for businesses, new data from Replicon finds that more business travel is happening across the US and that businesses are paying high prices to send their workers all over the country. On average, flights run businesses $440 each and accounts for 40% of the overall business travel costs. What’s more business travel is expected to increase by 5% this year.

Lakshmi Raj, co-founder and co-CEO of Replicon said, “Although the cost of travel is on the rise, it is an essential part of doing business today. With increased visibility into expense budgets, businesses can manage their spending to ensure it doesn’t hurt their bottom line.”

To counteract the high cost of travel, Raj suggests businesses do more to track and manage travel costs so that they not only know what is being spent but may see ways to cut those costs over time.

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ABOUT THE AUTHOR

Kristina Knight is a freelance writer based in Ohio, United States. She began her career in radio and television broadcasting, focusing her energies on health and business reporting. After six years in the industry, Kristina branched out on her own. Since 2001, her articles have appeared in Family Delegate, Credit Union Business, FaithandValues.com and with Threshold Media.