EIU, Amadeus predict new age of austerity for business travellers
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Amadeus yesterday launched a report commissioned from the Economist Intelligence Unit (EIU), into the effect of the economic downturn on executives’ choice of hotel. Entitled; “The Austere traveller – the effect of corporate cutbacks on hotels”, the report finds that executives will make fewer, shorter and cheaper business trips in 2009, and switch from luxury extras in favour of basic efficiency and good service.
“We are entering an age of visible austerity with regards to business travel,” said Antoine Medawar, Managing Director, Amadeus Hospitality Business Group. “With the eyes of their organisations and shareholders upon them, executives are anxious to make business trips as productive as possible. Forget luxury gyms, spas and restaurants; instead concentrate on efficient check-in and check-out and internet access. Good Wi-Fi connectivity is now rated above any other luxury extra.”
47% of executives surveyed will be taking fewer trips this year, and 28% expect to downgrade hotel quality. In addition, 63% expect their companies to use the economic downturn to extract the best possible rates from hotels. 61% said a trusted brand with uniform levels of service across locations would be a decisive factor when choosing a hotel in 2009.
When asked which features they could not do without, 76% of business travellers cited Internet connectivity, while 56% chose a quiet room, 54% good transport links and 52% a central location.
“It is clear business travellers’ expectations are changing,” said Bill Ridgers, the EIU’s Chief Analyst for Travel & Tourism. “Economic pressure means executives care less about luxury and are instead concentrating on whether hotels deliver on the simple things. In an age of increasing time pressures, security fears and greater bureaucracy – when the conventional wisdom sometimes seems to be that business travel has become something of a chore – perhaps the most heartening finding of the research is that executives still enjoy and see the benefit of travelling for work.”
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