Thirty percent of companies cut back on business travel in 2010 in order to economize. But for 37% of those that did, the strategy might have been penny-wise and pound-foolish. That’s the percentage of respondents who told CareerBuilder.com pollsters that traveling less on business had a negative effect on business performance.
When asked how fewer business trips affected their bottom lines:
- 12% said it had resulted in less effective
- 11% reported fewer sales
- 10% found poorer execution on internal business initiatives
- 8% thought customer loyalty had taken a hit.
Don’t expect change any time soon. With the cost of air travel outpacing inflation due to high fuel costs, 77% of firms polled said business travel this year would be about the same as it was in 2010.