Top 3 trends influencing corporate travel’s future, as predicted by an industry veteran

Don’t mistake every corporate travel trend for a fleeting occurrence. In 2025, a plethora of megatrends are poised to affect all aspects of business travel, and what will separate successful travel programs from stagnant ones is whether they adapt to the trends or embrace them. In this month’s newsletter, FCM Chief Marketing Officer and 15-year travel industry veteran Scott Alboni shares his key takeaways on the forces shaping business travel’s future.

Technology & AI

According to McKinsey’s State of AI Report (May 2024),?AI adoption surged to 72% of corporate professionals in 2024. The future holds potential for AI to enhance customer interactions, streamline data analysis, and improve travel content distribution. While AI systems are becoming more sophisticated, human oversight and governance are critical. The concept of augmented intelligence, where AI supports human decision-making, offers immense potential without compromising ethical standards.

Current applications of AI in business travel include chatbots and data analysis. In the future, AI could transform:

• Distribution: AI could enhance the booking experience by improving airline, hotel, and transportation content delivery.
• Service Efficiency: AI could streamline air travel, hotel services, and car rental operations, improving overall efficiency and traveler personalization.
• Travel Management: AI could alleviate travel managers’ workload, allowing them to focus on more strategic tasks.

The relationship between AI and human expertise will redefine the business travel experience, presenting new opportunities and challenges for travel management companies and advisors. As AI evolves, the emphasis should be on augmented intelligence, where human oversight remains essential.

Globalization

The line between work and personal life is increasingly blurred. While flexible work arrangements and remote work might have reduced certain travel needs, such as in-person meetings, it?raises the importance of travel for team building, cultural immersion, and face-to-face collaborations. Corporate travel policies must evolve to support a growing global and diverse workforce, prioritizing well-being and balance.

Demographics & Society

Behavioral economics – a theory that attempts to measure human irrationality by combining psychology, economics, and social sciences insights to study how one makes economic decisions – and digital media significantly impact business strategies. Understanding behavioral economics can help businesses design better strategies that nudge travelers toward optimal choices. Incorporating behavioral insights into travel policies can help companies meet the needs of a diverse workforce, such as Generation Z's focus on diversity, inclusivity, and sustainability. Understanding the differences in generations can foster long-term business travel success.

The Environment

Addressing the climate crisis remains a critical challenge...and not a cheap one, either. However, leaps in synthetic biology and microbiomes, carbon capture, sustainable urban planning, and the development of sustainable aviation fuels (SAF) are essential steps towards reducing emissions.

The topic of microbiomes impacts business travel more than we realize:

• Advances in synthetic biology and microbiome research affect travel health and sustainability.
• New vaccines and therapies can make travel safer and more accessible.
• Synthetic microbiomes in air filtration and surfaces could trap pathogens, creating cleaner environments.
• Probiotics from microbiome research may boost immunity and reduce jet lag and stress.

Embracing sustainable practices and new technologies in travel can significantly contribute to global environmental goals, and that doesn’t come with a small price tag. It’s estimated that it would take $5 trillion to invest in sustainable aviation fuels and clean aircraft to meet 2050 aviation net zero goals (International Council on Clean Transportation).

What does this all mean?

The business travel industry is on the brink of transformative changes driven by mega-trends. By leveraging advancements in AI, embracing globalization’s benefits, understanding societal shifts, and adopting sustainable practices, the industry can build a framework for a prosperous future.

Join Scott Alboni (Chief Marketing Officer, FCM), Melissa Elf (Chief Operating Officer, FCM), and Dr. Poppy Crum (Visionary futurist, technologist, and neuroscientist) on February 20th as they dig deeper into these mega-trends and uncover what they mean for modern business travel programs. Save your spot: https://fctgl.brandlive.com/Embracing-The-Future-Webinar-AMER/en