The changing face of Australian business travel – miles are up, but prices are down

The cost of international travel from Australia is decreasing while the number of miles travelled is increasing, latest data from AirPlus International has revealed. The findings were based on a comparison of data between the first half of 2017 and 2018 by the global provider of business travel payment solutions.


Summary:

  • New research from AirPlus International indicates the cost of international travel from Australia is decreasing, while the number of miles travelled is increasing;
  • The average cost of an international long haul flight was down from AUD3,234 in 1H2017 compared to AUD3,006 in 1H2018;
  • But business travellers are flying further with the number of miles travelled up from 233,401,933 in 1H2017 to 307,199,805 in 1H2018;
  • While miles have increased, business trips on average are shorter with each trip taking an average 5.2 days in 1H2018 compared to 5.3 days in 1H2017.

In 2017, the average cost of an international long haul flight was AUD3,234 compared to AUD3,006 in 2018, according to the AirPlus International analysis. This, combined with the rise in the number of miles travelled during the same period from 233,401,933 to 307,199,805, highlights “continued resilience in the corporate travel market,” it says.

Interestingly, while miles have increased, business trips on average are shorter now than in 2017; with each trip taking an average 5.2 days in 2018 compared to 5.3 days in 2017, according to the data.

The time spent on planning business travel has also decreased. In 2018, international long haul trips took 40.5 days to plan, compared to 42.7 days the year earlier. On the flip side planning for domestic trips actually experienced an increase in planning time from 17.6 days in 2017 to 18.4 days in 2018.

The top three international destinations for business travellers in 2017 were the USA, China and Singapore. The same was true of 2018, but Singapore edged out China for second place. This most likely was due to the notable increase in air connectivity between Australia and Singapore this year.

“These findings show that business travel is growing with more miles travelled,” says David Newington, commercial director for Asia at AirPlus International. “Australian businesses are maintaining their ties with regional allies like China and Singapore and we still see very strong connections with the US. The reduced cost of international travel is enabling business travellers to go further.”

Here’s an interesting infographic that AirPlus International has produced based on its industry insight…