Business travel spending in Germany, the
U.K., France, Spain and Italy combined will grow at over 6 percent in 2015 and
2016, a leading indicator that the European economy is "gathering
steam" and is poised for a moderate economic breakthrough. These findings
are part of the semi-annual GBTA BTI Outlook – Western Europe report, conducted
by the GBTA Foundation, the education and research arm of the Global Business
Travel Association (GBTA), and sponsored by Visa, Inc.
These five markets comprise nearly 70
percent of Western Europe's business travel market. Business travel spending in
the countries will grow 6.4 percent in 2015 and another 6.3 percent in 2016. In
total, this segment of the Western European business travel market will grow
from $186.3 billion USD (140.2 billion euros) in 2014 to $210.6 billion USD
(220.3 billion euros) in 2016.
"The study shows that the European
economy is gathering steam and beginning to put its economic woes in the
rear-view mirror," said Catherine McGavock, GBTA's Regional Vice President
– EMEA. "Business travel is faring even stronger than the moderate
economic breakthrough, with double digit spending growth in Germany as well as
over 7 percent growth in both the U.K. and Spain this year. Still uncertainties
in the global economy present risks to this business travel breakout, leading
to a cautiously optimistic outlook for many companies."
After 2014 proved to be a bounce-back year
for Western European business travel, the recovery continues to pick up the
pace in 2015 with Germany, the UK and Spain leading the way, according to the
report.
Germany represents over 20 percent of
Western Europe's business travel activity and continues to be the strongest
market on the continent. The UK has exhibited some of the strongest performance
in the region as improving employment and low energy prices have spurred
consumption. Spain continues its impressive economic turnaround and is
expecting robust business travel growth this year. France and Italy, on the
other hand, are the two most challenged markets with weaker economic growth
leading to much lower business travel growth rates.
"With this continued growth forecast
in Europe, companies will want to retain control of their costs as travel
activity increases," said Tristan Kirchner, Executive Director, Sales and
Marketing, Visa Europe. "Visa's best-in-class payment solutions play a key
role in providing buyers and suppliers with the visibility and automation
needed to drive efficiencies to the bottom line."
Country-Level business travel outlooks
Germany：a $57.9 billion USD
market (43.6 billion euros) is leading the way, with 10 percent business travel
growth projected in 2015 and 9.5 percent in 2016. Spending on domestic business
travel is surging at 11.4 percent this year and 10.4 percent next year, while
international outbound business travel will grow 4.2 percent in 2015 and 5.5
percent in 2016
The United Kingdom：a $43.5
billion USD market (£26.4 billion) is expected to grow at 7.4 percent in 2015
and 6.2 percent in 2016. Spending on domestic business travel will grow at 8.3
percent in 2015 and 7.8 percent in 2016, while international outbound travel
will grow at 5.5 percent in 2015 and 3.1 percent in 2016.
Spain：an $18 billion USD
market (13.5 billion euros) is expected to grow at 7.7 percent in 2015 and 7.1
percent in 2016. Spending on domestic business travel will grow at 8.6 percent
in 2015 and 7.8 percent in 2016, while international outbound travel will grow
at 4.6 percent in 2015 and 4.8 percent in 2016.
France：a $36 billion USD
market (27.1 billion euros) is expected grow at 3.1 percent in 2015 and 3.4
percent in 2016. Spending on domestic business travel will grow at 4.1 percent
this year and 4.5 percent next year, while international outbound travel will
grow at 2.5 percent in 2015 and 3.4 percent in 2016.
Italy：a $31 billion USD
market (23.3 billion euros) is expected to grow at 1.1 percent in 2015 and 1.9
percent in 2016. Spending on domestic business travel will grow at 0.8 percent
this year and 1.4 percent next year. International outbound travel will grow at
4.1 percent in 2015 and 5.0 percent in 2016.