PRESS RELEASE
Demand for the business cabin surges with travelling corporates
Flight Centre Travel Group has revealed exclusive booking data, showing a 6 per cent uplift in business class bookings in the year ending June 2024, when compared to the previous financial year.
It was led by international corporate bookings under the Group's flagship brands FCM Travel and Corporate Traveller, which was up by 14 per cent.
The most common destination where travellers booked business class was Europe, followed by North America and then Asia. Year on year, business class bookings to Europe were up 9 per cent, North America was up 9 per cent and Asia was up 8 per cent.
Flight Centre Corporate Global COO Melissa Elf said the ongoing demand from corporates for high value travel was a clear sign that travel was a non-discretionary expense.
“This data comes in a period of economic uncertainty, and it goes to show that despite many businesses feeling the pinch of the cost of doing business, travel continues to be a necessity for business success and survival,” Ms Elf said.
“Many of our corporate travellers are making the decision to book Business or First Class travel so they can get a decent sleep if they’re travelling through the night or continue to work productively if they’re travelling through the day. It can also mean more nutritious meals, and less time lost through the check-in and boarding process.
“It all contributes to general health, wellness and productivity levels, so the extra cost of the fare is viewed as worthwhile for corporate travellers who are short of time as it is.”
Flight Centre Corporate data can reveal the three sectors leading the business cabin bookings in Australia: mining, oil and gas, finance and insurance, and government and not-for-profit.
Domestically, destinations with the highest rate of corporate business class bookings were to Melbourne, Sydney, Perth, Brisbane and Adelaide. Internationally, business class had the highest demand to London, Singapore, Tokyo, Auckland and Shanghai.
Elf said Australians were increasingly seeing the value in ’bleisure’ travel, alongside a swelling trend of corporate hospitality around major events. “The figures reveal more than just a homegrown love of travel, but the growing flexible working trend that accommodates bleisure feasibility,” she said.
Flight Centre Travel Group Global Leisure CEO James Kavanagh said, “Business class continues to see a marked growth in bookings as passengers opt for luxury and comfort.”
“It’s an interesting trend considering the challenges presented by the current cost-of-living and goes to show that one item people aren’t willing to compromise on is travel.
“For our luxury travel agency Travel Associates, Business Class bookings made up almost half of overall airfare transaction value over the past financial year as their clients invest in travelling well."
According to Flight Centre Travel Group data, for First Class passengers, the most popular destination booked over the past year was Europe, with a massive 73 per cent of booking share, Asia followed with 13 per cent, and North America also had 13 per cent.