Business and Conference Travel - US - January 2008

Table of Contents

• Scope and Themes
• What you need to know
• Definitions
• Consumer research methodology
• Abbreviations and terms
• Abbreviations
• Terms
• Executive Summary
• Business travel sales
• Travel booking
• High value travelers
• Sales and marketing appeals
• Traveler attitudes and opinions
• The future of the business travel industry
• Insights and Opportunities: A Consumer-Centric Perspective
• Market Size
  • Figure 1: Total spending on U.S. domestic business travel, at current and constant prices, 2002-07
  • Figure 2: Number of person trips for business and leisure purposes, 2002-07
• Market Segmentation
  • Figure 3: Segment share of domestic business travel sales, 2007Figure 4: Domestic business travel sales, by segment, 2005 and 2007
• Lodging sales for business purposes
  • Figure 5: Sales of lodging for business purposes, at current and constant prices, 2002-07Figure 6: Number of hotel rooms available, average occupancy levels, and average room rates, 2001-06
• Air travel sales for business purposes
  • Figure 7: Sales of air travel for business purposes, at current and constant prices, 2002-07
  • Figure 8: System (domestic plus international flights) quarterly operating profit margins share of total sales, by carrier type, 2006 and 2007
• Car rental sales for business purposes
  • Figure 9: Car rental sales for business purposes, at current and constant prices, 2002-07
• Retail Channels
  • Figure 10: Responsibility for travel management, by number of flights taken in the past year, November 2007
• Unmanaged travel
• Quasi-managed travel
• The rise in online booking
• Drivers and Trends in Business and Conference Travel
• Costs
  • Figure 11: Airline industry fuel costs and jet fuel price per barrel, 2001-07
• Relationship between airfare, fuel costs and airline profits
  • Figure 12: Average airfares based on all domestic itinerary fares, round trip or one-way for which no return is purchased, Q3 2005-Q2 2007Figure 13: Q2 average domestic fares from year-to-year, 1998-2007
  • Figure 14: System wide (domestic plus international) quarterly operating profit margin of passenger airlines, by group, Q4 2005-Q2 2007
• Rental cars: higher fees due to lower supply and increases in taxes
• Technology
• Alternative meeting technology
• 2007 technology upgrades
• Convenience
• Comfort and luxury
• Customization
• Eco initiatives
• Lifestyle appeal
• Advertising and Promotion
• Analysis of television advertisements
• Airline
  • Figure 15: American Airlines rewards TV clip, 2007Figure 16: British Airways business class TV clip, 2007
  • Figure 17: United Airlines face-to-face TV clip, 2006
• Lodging
  • Figure 18: Marriott Courtyard Hotels TV clip, 2007Figure 19: Choice Hotels TV clip, 2007
  • Figure 20: Days Inn Motel TV clip, 2007
• Car rental
  • Figure 21: Hertz Car Rental TV clip, 2007
• Loyalty programs
• Social media
• Demographics of the Business Traveler
  • Figure 22: Incidence of business travel, international vs domestic, by age, May 2006-June 2007
  • Figure 23: Incidence of business travel, international vs domestic, by race/ethnicity, May 2006-June 2007
  • Figure 24: Total population and Asian population, by age, 2008
  • Figure 25: Incidence of business travel, international vs domestic, by household income, May 2006-June 2007
  • Figure 26: Number of business domestic trips taken in past year, by household income, May 2006-June 2007
  • Figure 27: Incidence of domestic and international business travel, by level of education, May 2006-June 2007
• The Lifestyles and Occupations of Business Travelers
  • Figure 28: Incidence of domestic and international business travel, by time spent working per week, May 2006-June 2007
  • Figure 29: Ownership of PDA, cell phone, and cell phone usage for business, by incidence of domestic and foreign travel, May 2006-June 2007
  • Figure 30: Incidence of domestic and foreign travel, by lifestyle segments with a high concentration of travelers--affluent married couples, May 2006-June 2007
  • Figure 31: Incidence of domestic and foreign travel, by lifestyle segments with a high concentration of travelers--single men, May 2006-June 2007
  • Figure 32: Incidence of domestic and foreign travel, by lifestyle segments with a high concentration of travelers--single women, May 2006-June 2007
  • Figure 33: Hobbies and leisure activities, by incidence of domestic and foreign travel, May 2006-June 2007
  • Figure 34: Incidence of domestic and foreign travel, by occupations with high incidence of business travelers, May 2006-June 2007
  • Figure 35: Number of domestic business trips taken in past year, by occupations with high incidence of business travelers, May 2006-June 2007
  • Figure 36: Incidence of domestic and foreign travel, by industries with high incidence of business travelers, May 2006-June 2007
• Work-related Attitudes of Business Travelers
  • Figure 37: Work-related attitudes of business travelers, by incidence of domestic and foreign travel, May 2006-June 2007
  • Figure 38: Work-related attitudes of travelers--importance of business travel and use of alternative methods, by number of business trips taken in past year, November 2007
  • Figure 39: Work-related attitudes of travelers--enjoyment and stress, by number of business trips taken in past year, November 2007
  • Figure 40: Work-related attitudes of travelers--types of hotels favored, by number of business trips taken in past year, November 2007
  • Figure 41: Work-related attitudes of travelers--eco-friendly, by number of business trips taken in past year, November 2007
• Reasons for Travel, Hotel Services and Types of Ground Transport Used
• Reason for travel
  • Figure 42: Reasons for business travel, by number of business trips taken in past year, November 2007
• Lodging
  • Figure 43: Hotel services used, by number of trips taken in past year, November 2007
  • Figure 44: Hotel services that influenced hotel choice, by number of trips taken in past year, November 2007
• Ground transportation
  • Figure 45: Types of ground transportation used, by number of trips taken in past year, November 2007
• Future and Forecast
• Future trends
• Market forecast
• Domestic business travel
  • Figure 46: Forecast of domestic business travel, at current and constant prices, 2007-12
• Business lodging
  • Figure 47: Forecast of lodging for business purposes, at current and constant prices, 2007-12
• Business air travel
  • Figure 48: Forecast of air travel for business purposes, at current and constant prices, 2007-12
• Business car rental
  • Figure 49: Forecast of car rental for business purposes, at current and constant prices, 2007-12
• Appendix: Trade Associations