They’re the little numbers that can have a big impact on your front-end planning and your back-end Finance policy compliance: 2013 business travel rate predictions.
The new benchmarks have just been released by American Express.
That’s a windfall for Finance right now, as it can help all department managers understand just how much they’ll need to budget for when their employees hit the road next year.
It’s also a vital tool going into the new year – keeping a copy in A/P can help your staffers see at a glance whether the expense report totals passing through your department are in line or worth some follow-up.
Take a look at how much more AMEX expects you and your peers to pay in 2013 when employees travel on company business:
Airfare (North America):
- short-haul routes: up 2%-4%, and
- long-haul routes: flat at -1%- 2%.
- 1% -3% more for both short- and long-haul routes.
Lodging (North America):
- mid-range hotels: a 2% – 7% increase, and
- upper-range hotels: a 4% – 9% jump.
Car rental: Your company should see a slight increase here, but make sure employees and supervisors understand it’s one that’s potentially avoidable. While actual rates will be down slightly, totals may be higher because of ancillary fees. It may be worth seeing if you can negotiate some of those away for savings.
International predictions released, too
And if your company’s road warriors require their passport to conduct company business, we’ve also got the AMEX business travel predictions for 2013.
The market that’s exploding? Latin America. And your company will feel that in your pocketbook if folks travel there next year.
Airfare (Latin America):
- short-haul economy fares: up 7% – 10%
- long-haul economy fares: up 5% – 8%
- short-haul business fares: up3% – 6%, and
- long-haul business fares: up 4% – 7%.
As for lodging, expect to pay more in the range of mid-single digits. Where you’ll shell out the most: Brazil and Argentina.
Surprisingly, business travel to Europe may turn out to be your best bargain in 2013.
Most destinations are predicting a low-single-digit increase in both air and lodging. And some locations, like Spain, are expected to be 5% – 8% lower than this year as far as airfare prices. A few exceptions to make A/P aware of: Russia and Poland.
For more on the AMEX forecast or to purchase a copy, click https://businesstravel.americanexpress.com/2013-global-business-travel-forecast