Travel News

Indian business travel market will reach $55 billion by 2027

The IMARC group has developed a critical report titled “Indian business, travel market: Industry trends, share, size, growth, opportunity, and forecast 2022-2027”. The Indian business, travel market has already reached US$31 billion in the year 2022 with great business class deals and is all set to clock tremendous growth and will touch the mark US$55 billion by 2027 registering a growth rate (CAGR) of 8.1% during 2022-2027.

The report uses the following criteria to estimate the market size:

The base year of the analysis: 2021

Historical period: 2016-2021

Forecast period:2022-2027

Industry definition

Business travel means the journey that is undertaken for work and business purposes. It is usually paid by the employer via the external service provider or in-house travel departments. And accordingly, business travel generally includes a wide array of components such as planning and booking, sourcing and procurement, account management, measuring and reporting, etc. In India, business travel together with business class deals also facilitates cost tracking and control for organizations while making it easy for employees to adhere to corporate T&E policies and generate mass savings through negotiated discounts.

The key highlights of the report are:

  • Market performance-2016 to 2021
  • Market outlook- 2022 to 2027
  • Market trends
  • Market drivers and success factors
  • Impact of covid 19
  • Value chain analysis
  • Competitive landscape comprehensive mapping

Indian business, travel market trends

The Indian business, travel market has been driven by stable economic growth and decreasing airfares owing to the introduction of new airlines that offers business class seats. The segments that are further catalyzing the market growth are the growing penetration of high-speed internet connectivity, the introduction of various online travel agencies, the emerging trends of leisure travel, continuous improvement in the hospitality, airline and tourism industries, and the development of incentives, conferences, meetings and events.

There are numerous tie-ups going on between corporate organizations and the leading business travel providers. Additionally, they offer customized collaborative spaces and team-building exercises. These are acting as great growth-inducing factors. Moreover, the rising business activities are seen in sectors such as healthcare, pharmaceuticals, and manufacturing. Therefore the increasing partnership between businesses and airlines are also propelling market growth across India. Public and private agencies are augmenting the market growth by investing to improve travel infrastructures.

The Indian business, travel market over the forecasted period will further get a great push by inflating the popularity of advanced technologies such as robotics and virtual reality for offering personalized customer experiences. It is anticipated to fuel huge growth in the sector.

Key market segmentation

The report segments the Indian business, travel market based on purpose type, type, expenditure, age group, service type, end user, region, and travel type. Additionally, it provides comprehensive insights for informed decisions.

Type breakup

  • Managed business travel
  • Unmanaged business travel

Purpose type breakup

  • Marketing
  • Internal meetings
  • Trade shows
  • Product launch
  • Others

Age group breakup

  • Travelers below40 years
  • Travelers above 40 years

Expenditure breakup

  • Transportation
  • Food and lodging
  • Recreational activities
  • Others

End user breakup

  • Government
  • Corporate
  • others

Breakup by Region

  • North India
  • West and Central India
  • South India
  • East India

The report studies the competitive landscape of the Indian business, travel market with detailed profiles of the key players operating in the market.

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