16 Aug 2024
Turbulence Ahead: Travel is a Nightmare with 7 in 10 Business Travellers Hit by Disruptions, Study Finds

Flight Centre Travel Group

Business travel in Canada is hitting turbulent skies, with an overwhelming 70% of travellers having experienced disruptions, according to a recent Corporate Traveller study conducted by YouGov. This comes as the Canadian business travel sector braces for an 11% increase in demand in 2024—a statistic that mirrors the Global Business Travel Association's 15% growth projection—making it critical to address these disruptions now.  

The findings illuminate the extent of these challenges. Regular disruptions affect 1 in 10 travellers, while another 27% encounter occasional issues and 33% rarely face problems. 

Common Travel Disruption Revealed

  • Flight/Travel Delays: 63% 
  • Flight/Travel Cancellations: 32% 
  • Missed Connections: 31% 
  • Lost or Delayed Luggage: 29% 
  • Overbooking Issues: 22% (flights), 17% (accommodations) 
  • Denial of Departure or Entry (i.e., Visa expiry): 9%  

Causes of Disruptions 

  • Mechanical Faults and Severe Weather: 43% each 
  • Administrative Errors: 19% 
  • Transport Worker Strikes: 17% 
  • Health Emergencies and Incomplete Paperwork: 15% each 
  • Critical Security Concerns: 13%  

Regional Disparities: A Cross-Country Overview 

  • Alberta: Highest flight delays (74%) and missed connections (43%)  
  • British Columbia: Most mechanical issues (53%)  
  • Ontario: Frequent delays (63%), albeit fewer missed connections (26%)  
  • Quebec: Least overall disruptions (49%) compared to Alberta (67%), British Columbia (72%), and Ontario (76%)

To bolster its business travel sector, the Government of Canada has allocated $50 million to Destinations Canada, aiming to attract major international conventions, conferences, and events, further highlighting the need for smooth travel experiences.  

Chris Lynes, Managing Director for Flight Centre Travel Group Canada—including global travel brands Corporate Traveller and FCM Travel—believes that it's critical to remember that the true cost of travel disruptions extends beyond mere inconvenience. They pose a tangible threat to business productivity and economic stability. The study shows that among business travellers who have experienced such disruptions, a staggering 91% report an adverse impact on their business plans. Specifically, 12% state that the disruption had a significant adverse impact, while over 42% say it had some adverse impact.

“Surging business travel demand and reduced airline seating capacity compounds these challenges," says Lynes. "Together, these findings underscore the critical importance of proactive measures in managing travel disruptions.  Prioritizing strategies to mitigate these risks can yield up to 15% savings through our negotiated rates and an additional 7% through our customized travel policies.”

With Canada's business travel sector on the cusp of substantial growth, addressing frequent travel disruptions is paramount. Corporate Traveller's proactive monitoring and comprehensive solutions, including tailored travel policies, user-friendly technology, and robust risk management, ensure a seamless travel experience.

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About Flight Centre Travel Group   
The Flight Centre Travel Group (FCTG) is one of the world's largest travel retailers and corporate travel managers. The company has been in the Canadian market since 1995, with offices in Toronto, Calgary, Montreal and Vancouver, and is headquartered in Brisbane. The company employs about 15,000 people globally and has company-owned leisure and/or corporate travel business in 25 countries. Flagship corporate travel brands in Canada include Corporate Traveller, FCM Travel and FCM Meetings and Events. The company listed on the Australian Securities Exchange in 1995. Today, it has a market capitalization in the order of CAD4.1 billion.  

For more information about the group's flagship corporate brands in Canada, visit corptraveller.com or fcmtravel.com.  

*Figures from the Corporate Traveller study conducted by YouGov Plc reached a total sample size of 1,049 adults from Canada who are likely to travel for business in the next 12 months. Fieldwork was undertaken between July 3–11, 2024. The survey was carried out online and commissioned by Corporate Traveller. The figures have been weighted and are representative of all Canadian business travellers (aged 18 and older).  

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