Global business travel hotel bookings grew by 10.2% over prior year in August, up from July’s 5.8% increase, as reported by Pegasus Solutions. Bookings for both the business and leisure markets showed continued resiliency despite the US and European economic debt and credit crises that overshadowed the month.

Corporate travel markets also experienced continued rate growth in August, increasing 4.7% over prior year. Leisure travel volume grew globally by 4.2%, gaining pace from July’s rate of 3.1%. Average daily rate (ADR) for leisure bookings grew 3.7%, outpacing the 3.1% year-to-date growth average. Certain regional leisure markets did experience sensitivity to local economic pressures, however the overarching trend was solid growth, according to Pegasus Solutions.

Forward-looking bookings data, which is based on actual business on the books, shows corporate travel continuing to recover at the same or greater pace, with potential for significant growth in November. This is seen as a positive sign for the upcoming meetings and conventions season that is likely helping drive the expected ongoing rate increase for the corporate market.

Leisure market forward-looking data, based on bookings made through online channels, will progress overall with growth rising for the November and December holiday season. Consumers are still mindful of budget, making compromises on distance, destination and length of stay, which presents an opportunity for hotels to conduct regional/local campaigns to attract more of these savvy bargain-hunters.

Source: Pegasus Solutions