Today’s business travelers are more mobile and connected than ever before: they work from the hotel, or even the plane; they attend meetings across town, or across the country. Lyft and Skift teamed up to look at how mobile habits, the changing demographics of the workforce, and the rise of the sharing economy are shifting the corporate travel landscape, and how business travelers are becoming more independent than ever before.
1. THE FORCES SHAPING
BUSINESS TRAVEL
Skift Data Deck
A curation of charts and stats illustrating the trends
impacting business travel worldwide.
2. HABITS OF THE MODERN BUSINESS TRAVELER 2
Overview
The Forces Shaping Business Travel Data Deck paints a picture
of the business travel landscape and the trends impacting the
business traveler of the future through a curation of charts,
stats, and data.
We’re looking at how mobile habits, the changing demographics
of the workforce, and the rise of the sharing economy are
shifting the corporate travel landscape, and how business
travelers are becoming more independent than ever before.
3. HABITS OF THE MODERN BUSINESS TRAVELER 3
Section 1 6
Business Travel Outlook
Section 2 11
Mobile + Booking Habits
Section 3 19
The Future Of Work
Section 4 26
Rise of the On-Demand Economy
Executive Letter 5
Table of Contents
Conclusion 32
4. HABITS OF THE MODERN BUSINESS TRAVELER 4
About
Lyft
About
Skift
Lyft Mobility Solutions is
bringing safe, on-demand ground
transportation to thousands of
organizations. Give your team more
affordable, reliable rides wherever
work takes them. Our account
managers will work with you to build a
custom solution and keep it running
smoothly. Your team just downloads
the app, and gets matched with a
local driver at the tap of a button.
Visit Lyft.com/work to learn more.
Skift is the largest industry
intelligence platform providing media,
insights and marketing to key sectors
of travel. Through its daily news
coverage on Skift.com, industry-
leading Trends Reports, and SkiftX
content studio, Skift is defining the
future of travel. Want to work with
us? Email skiftx@skift.com.
5. HABITS OF THE MODERN BUSINESS TRAVELER 5
Designing Travel for the New Traveler
In and outside of the Lyft community, we’re seeing a new type of traveler emerge. One who makes flight changes
on her smartphone en route to the airport, schedules dinner with an old friend after her last work trip meeting, and
embraces visiting new cities. We’re proud to partner with Skift to offer insights into the behaviors of modern business
travelers.
Today’s employers manage teams who are more diverse, global, and connected than ever. However, it’s difficult to
update travel programs at the same pace as team profiles change. The result: Over half of travel transactions made by
millennials are not compliant with their company policies. Corporate travel programs — services, spending, and safety
programs — need to evolve to fit modern business travelers’ lifestyles or they’ll find a workaround.
Through the Lyft platform, we help our partners access safe, affordable rides that are custom fit to their individual
needs. From small businesses to Fortune 500 companies, we’re helping teams integrate ridesharing solutions into
their travel programs every day.
The uncertainty that comes with a quickly changing, connected travel landscape also brings a huge opportunity.
Suppliers who are creating solutions for plugged-in travelers can create smarter solutions based on vast amounts of
behavioral data those travelers leave behind. We now have close to real-time visibility into traveler trends, and can
keep improving custom solutions as more usage data surfaces.
Through data-driven solutions and conversations with partners, we’ve introduced a line of new product offerings for
today’s business travelers and will continue to make them better. We look forward to seeing more innovative solutions
to keep travelers safe and happy, however they choose to travel.
David Baga
Chief Business Officer
Lyft Mobility Solutions
6. HABITS OF THE MODERN BUSINESS TRAVELER 6
Section 1
Business
Travel
Outlook
Around the globe, spending on business travel is increasing with 2016 expected to be a record year.
The biggest growth is in the Asian market, with China leading the way and edging out the U.S. in
business travel spending for the first time. On the American front, spending associated with ground
transportation adds up to the greatest business travel expense for U.S. companies.
7. HABITS OF THE MODERN BUSINESS TRAVELER 7
Spending on Business Travel Will Continue to Grow
SOURCE: GBTA: 2015
Total travel
spending:
$1.25 trillion
8
7
6
5
2015
+6.5%
+6.9%
+6%
+6.4%
+5.8%
2016 2017 2018 2019
Slow but steady growth is predicted for business
travel around the globe. Companies are taking a
more mindful approach to business travel, factoring
in rising transaction costs and sending employees
on less international trips.
8. HABITS OF THE MODERN BUSINESS TRAVELER 8
Top Global Markets for Business Travel Spending
SOURCE: 1. GBTA: 2015
2. GBTA: 2016
China
United States
Germany
Japan
United Kingdom
France
South Korea
Italy
Brazil
India
$291
$290
$64
$62
$47
$37
$32
$31
$31
$30
2015 Total BTS ($ Billions USD) 2
China edged out the U.S. in
business travel spending
for the first time.
95% of China’s business
travel spending is for
domestic travel.
United States
China
Japan
Germany
UK
France
South Korea
Brazil
Italy
India
$288
$262
$62
$58
$44
$36
$32
$32
$31
$26
2014 Total BTS ($ Billions USD) 1
9. HABITS OF THE MODERN BUSINESS TRAVELER 9SOURCE: 1. Asian Business Traveller Survey 2015
2. Amadeus 2013
Asian Business Travel Is on the Rise
Business travel spending in Asia-Pacific makes up 38% of the global
business travel market.
2015-2018 business travel in this region will grow 4x faster than in the
U.S. and more than 2x faster than in Europe.
From 2011-2030, there will be a 400% rise of female business
travelers coming from Asian-Pacific countires.
10. HABITS OF THE MODERN BUSINESS TRAVELER 10SOURCE: GBTA 2015
Meal
Airlines
Miscellaneous
Lodging
Gas
Cell Phone
Car Rental
Supplies
Taxi
Shipping
Tolls
Parking
19%
17%
17%
14%
11%
5%
5%
5%
3%
2%
1%
1%
What U.S. Companies Are Spending Money On
Spending associated with
ground transportation
- gas, car rentals, taxis,
tolls, and parking - adds up
to the greatest business
travel expense for U.S.
companies at 21%, more
than both meals (19%) and
airlines (17%).
11. HABITS OF THE MODERN BUSINESS TRAVELER 11
Section 2
Mobile +
Booking Habits
Travelers around the globe are reliant on their smartphones, and business travelers are the biggest
offenders. Better coverage and faster service are enabling travelers to stay constantly connected,
allowing them access to information and the social universe while on-the-go. While mobile booking
is still slow to catch on, business travelers are increasingly integrating smartphones and tablets
into every step along the travel journey.
12. HABITS OF THE MODERN BUSINESS TRAVELER 12
Business Travelers Never Put Down Their Phone
SOURCE: 1. Adara 2014
2. GBTA 2015
97%
of business
travelers carry
at least 1
mobile device.¹
78% say that access to Wi-Fi is vital to their work and expect it
wherever they go, including hotels and airplanes. 2
13. HABITS OF THE MODERN BUSINESS TRAVELER 13
Reliance on Mobile Means Leisure Travelers Never Unplug
SOURCE: 2015 Expedia/Egencia Mobile Index
Over
50% of travelers check in on
work at least once a day
while on vacation.
23% of travelers have
purchased inflight
WiFi on a leisure trip in
order to connect to work.
84% of travelers worldwide want to
access information from anywhere
while they travel.
60% of travelers say they agree
they never truly “unplug” on
leisure trips.
14. HABITS OF THE MODERN BUSINESS TRAVELER 14
Business Travelers Are Using Mobile To Research Trips...
SOURCE: Travel + Transport 2016
69%
of business travelers turn to the
web to research travel.
64%
start their booking process
with Search.
15. HABITS OF THE MODERN BUSINESS TRAVELER 15
But Not Necessarily Book…
SOURCE: 1. Travizon 2015
2. GBTA 2015
Laptop computer
Desktop computer
Smart phone
Tablet
None of the above
58%
43%
39%
25%
13%
Always
Sometimes
Never
2%
37%
59%
How often do you book business travel on mobile? 1
Top Devices Used to Book Hotel Accommodations for a Business Trip in the Past 6 Months: 2
16. HABITS OF THE MODERN BUSINESS TRAVELER 16
Deciding Factors for Travel Purchasing Decisions
SOURCE: 1. GBTA 2016
2. Expedia/Egencia Mobile Index 2014
3. Phocuswright 2016
33%Convenient schedule
When it comes to booking flights, convenience and cost are key. 1
When it comes to booking accommodation, amenities matter. 2
56%of travelers report that WiFi availability and pricing
impact their purchasing decision when selecting a
flight and hotel.
Price
27%
Frequent flier miles
and status /
Travel reward points
20%
When ordering a ride-sharing
service over a taxi, business
travelers ranked convenience
and ability to order from their
phone key decision factors.³
17. HABITS OF THE MODERN BUSINESS TRAVELER 17
Average Booking Window for Business Travelers
SOURCE: 1. Concur 2016
2. Carlson Wagonlit Travel 2016
50.6% 25.0% 16.9% 7.5%
2015 Booking window 1
15+ days
8-14 days
4-7 days
0-3 days
The booking window for business travelers has remained steady over the years
with the most common planning time of 15 days.
Though, a study from Carlson Wagonlit Travel found that female business
travelers book 2-4 days earlier on average than their male counterparts.2
18. HABITS OF THE MODERN BUSINESS TRAVELER 18
In Mobile Apps, Business Travelers Really Want Utility
And Convenience
SOURCE: 1. Travizon 2015
2. Expedia/Egencia Mobile Index 2014
Real-time flight info
Instant itinerary access / sharing
Please, don’t give me more apps I’ll never use
Weather / travel alerts
Local language translation
Other
52%
19%
13%
9%
1%
6%
Email/messaging
Camera/video recording
Maps/navigation
Social media
Weather
Utility (alarm, calculator)
Entertainment
61%
50%
47%
45%
38%
33%
24%
What are the most useful features in a business travel app? 1
Top uses for mobile on the road: 2
19. HABITS OF THE MODERN BUSINESS TRAVELER 19
Section 3
The Future
Of Work
Things are changing in the American workforce.
With more than 1 in 5 employees determined to leave their job at some point in 2016, it’s clear
that the U.S. worker has become more independent than ever before. Led by the rise of the
millennial workforce, which as of 2015 makes up the largest portion of the labor pool at 54.5
million and counting, and technology making virtual collaboration nearly seamless, employers are
at a crossroads between the 9-to-5 careerists of yesterday and the liquid workforce of tomorrow.
Reexamining business travel and corporate travel policies will be key for recruitment and retention
of highly-skilled workers in the evolving work landscape.
Here are some of the factors making workers more independent:
20. HABITS OF THE MODERN BUSINESS TRAVELER 20
The Shift to a Service-Based Economy
SOURCE: Bureau of Economic Analysis
Finance, insurance, real estate, etc.
Government
Manufacturing
Professional and business services
Educational services, health care, etc
Wholesale
Retail
Information
Arts, entertainment, food service, etc.
Construction
Transportation and warehousing
Mining
Other services, except government
Utilities
Agriculture, forestry, fishing, and hunting
$3,293
$2,186
$2,080
$2,005
$1,388
$999
$956
$802
$623
$611
$490
$449
$361
$287
$269
Service Industry
Production Industry
Gross Domestic Product by Industry in 2013 (Billions of Dollars)
Goods-producing jobs have diminished
and service-based jobs have become
the norm. In fact, four of the five high-
est-grossing U.S. industries today are
service-based.
21. HABITS OF THE MODERN BUSINESS TRAVELER 21
Technology is Enabling Productivity and Freedom
SOURCE: Adobe 2016
Cloud-based communication technology is enabling workers to collaborate
seamlessly. From across the office to across the ocean, technology is
fueling the worker’s need for independence, productivity, and flexibility.
81% say technology that helps them connect to colleagues more efficiently is
important to their ideal workspace.
Workers believe technology makes them more productive (85 %),
improves work-life balance (70%) and would make their workday better and
easier (74%).
60% say tech gives them the freedom to work where and when they want.
22. HABITS OF THE MODERN BUSINESS TRAVELER 22
Technology Has Even More Promise for Future Workers
SOURCE: 1. PwC 2016
2. Adobe 2016
53%think technological breakthroughs will transform the
way people work over the next 5–10 years. 1
64%of people around the world believe that tech will
improve their job prospects. 2
53%of menial office tasks will be done by a machine or
technology in the next 20 years. 2
23. HABITS OF THE MODERN BUSINESS TRAVELER 23
Millennials Have Overtaken the Workforce
2015
Millennials had an estimated
spending power of
$2.45trillion, 1
of which $226 billion
was set aside for travel. 2
2020
50%of all business trips
will be taken by millennials. 3
2025
Millennials make up 75%
of the workforce. 4
SOURCE: 1. UMass Dartmouth 2015
2. Hotwire 2014
3. BCG 2013
4. Amex 2014
5. PwC 2011
75% of millennials believe that access to technology makes them more
effective at work. 5
41% of millennials say they prefer to communicate electronically at work
than face to face or even over the telephone. 5
24. HABITS OF THE MODERN BUSINESS TRAVELER 24
Millennials Are Spending More on Business Travel
SOURCE: 1. BCG 2013
2. Expedia 2013
60% more likely to report buying flight upgrades like extra legroom and
in-flight entertainment during business trips. 1
Millennials spend 13% more on airline tickets than non-millennial
business travelers. 1
37% spend more on room service when their companies are paying,
compared to just 21% of 46-65 year-old business travelers. 2
Millennial business travelers are utilizing downtime on business trips
to experience the local scene and are increasingly extending their time
in-destination for microvacations. The convergeance of business and
leisure (painstakingly known as "bleisure") is a rising force that mobile-
minded workers have latched onto.
25. HABITS OF THE MODERN BUSINESS TRAVELER 25
Lines Are Blurring Between Business and Leisure Travel
SOURCE: 1. Bleisure Report 2014
2. Virgin Atlantic Survey
3. GBTA Business Traveler Sentiment Index 2015
Business travelers want to mix
leisure with trips.
83% use time on business
trips to explore the
city they’re visiting. 1
65% percent extend
business trips to
explore a new country. 2
67% say it’s important to be able to
extend their
business trips for leisure. 3
But their travel policies don’t
always allow it.
said YES
were UNSURE
said NO
14%
27%
59%
When asked if their company had a corporate
travel policy about “bleisure” travel1:
26. HABITS OF THE MODERN BUSINESS TRAVELER 26
Section 4
Rise of the
On-Demand
Economy
Broadly defined, the On-Demand Economy is an online marketplace in which technology companies
connect consumers with immediate goods and services. With the press of a button, users can hail
a ride, rent a room, hire a handyman, or order takeout from rated, customer-approved sources.
The immediacy and transparency of the on-demand services have re-engineered consumer
behavior. From more reliable ground transportation to more cost effective lodging options, business
travelers are increasingly embracing the On-Demand Economy.
27. HABITS OF THE MODERN BUSINESS TRAVELER 27
Annual On-Demand Economy Spending
SOURCE: 1. HBR 2016
2. Intuit QuickBooks Survey 2015
Average spending per year in billions of $US
$35.5 5.6 4.6 8.1 3.8
Other
services
(i.e. Task Rabbit,
Elance)
Online marketplace
(i.e. Ebay, Etsy)
Transportation
(i.e. Lyft, Uber)
Food/grocery
delivery
(i.e. Instacart,
Seamless)
All other
categories
As of 2015, the On-Demand Economy is attracting more than 22.4 million
consumers annually and $57.6 billion in spending.1
The On-Demand labor market will grow by 18.5% a year over the next five years
and by 2020, 7.6 million people will be working in the On-Demand Economy. 2
28. HABITS OF THE MODERN BUSINESS TRAVELER 28
2010
2011
2012
2013
2014
2015
(Projected)
Investor Funding ($M)*
$57
$392
$371
$672
$4,124
$15,140
Investment in On-Demand Economy is Accelerating
SOURCE: CB Insights 2015
More investment in this category will yield
even more innovation and present new
opportunities for business travelers to be
more productive and independent.
29. HABITS OF THE MODERN BUSINESS TRAVELER 29
Growth of Ride-Hailing vs Taxi vs Car Rental
SOURCE: Certify 2016
55%
8%
37%
50%
25% 25%
40%
46%
14%
Q1 2014 Q1 2015 Q1 2016
Ride-Hailing TaxiCar Rental
23% decline
in 2 years
Taxis have seen a 23% decline from 2014-2016 as consumers opt to use ride-hailing services instead.
According to data compiled by Certify, taxi fares were found to be 55% higher per ride than Lyft. Users also show
higher levels of satisfaction using ride-hailing services when compared to taxis or car rentals.
30. HABITS OF THE MODERN BUSINESS TRAVELER 30
Airbnb’s Growing Impact in Business Travel
SOURCE: 1. Airbnb 2016
2. Certify 2016
Most Popular U.S. Cities for Airbnb
San Francisco
Chicago
Seattle
Oakland
New York
Most Popular International Cities for Airbnb
Vancouver (Canada)
London (UK)
Toronto (Canada)
Mexico City (Mexico)
Sydney (Australia)
Since July 2015 - 50,000 employees from over 5,000 companies
have booked for business travel. Companies saved an average of
30% on accommodations and travelers are staying twice as long
overall, claims Airbnb.1
Business travel spending on Airbnb grew 261% in the U.S. and
249% overseas in between Q1 2015 and Q1 2016.2
31. HABITS OF THE MODERN BUSINESS TRAVELER 31
What business travelers want What corporate travel policy allows
Business Travelers Have Embraced the
On-Demand Economy
SOURCE: Travel + Transport 2016
of travel managers have
received significant or
fair amounts of interest in
ride sharing services from
travelers
77%
travel managers say
corporate travel policy
does not address the
sharing economy
70%
allow travelers to expense
ride sharing services
70%
of allow travelers to
expense Airbnb
18%
of business travelers
are considering Airbnb
for their next trip
34%
32. HABITS OF THE MODERN BUSINESS TRAVELER 32
Conclusion
As the demographics of the workforce change, the
millennial-led demand for flexibility and work-life balance
is forcing an evolution in the way companies approach
business travel. We’re at the start of a new era in which
business travelers are given the freedom to design
business trips the way they want. With mobile technology
and the On-Demand Economy becoming more advanced
and seamlessly integrated into our everyday lives, the rise
of the independent business traveler is just beginning.