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Issues & Trends – October 2010

Technology to replace business travel? Not likely, according to Travelscence Corporate survey

THERE is a time and a place for webinars, Skype and lengthy teleconferences, but face-to-face interactions remain a vital part of business, according to the latest survey by Travelscene Corporate.

The survey was conducted late last month at the recent MyBiz Expo 2010 at the Sydney Convention and Exhibition Centre where small businesses nationwide “came together to celebrate the resilience of the Australian economy over the GFC (global financial crisis) period and to promote future growth for Australia’s 1.5 million SMEs (small to medium enterprises)”, according to a Travelscene Corporate statement.

It reported survey results that showed “less than 20 per cent of all surveyed respondents believe virtual meetings and other technological platforms will replace, even partly, business trips in the future, while 50 per cent expect to see an increase in business travel opportunities, both interstate and overseas”.

Said Travelscene Corporate general manager David Padman: “There is something to be said about personal communication that resonates with people and influences outcomes.

“Visual cues, handshakes, casual conversations and even sharing a meal allows people to build a stronger rapport with clients or prospective clients, and can make all the difference in a business environment.

“SME’s make up more than 70 per cent of all actively trading businesses in Australia. If face-to-face business communication helps them to remain strong, then we can only expect this trend to resonate across businesses nationwide.”

Padman added that results also showed 50 per cent of medium businesses (21- 50 employees) surveyed already use dedicated travel management companies, while the majority of smaller businesses (1-20 employees) surveyed organise their own corporate travel either online or with a local travel agent.

“Generally larger SME’s with higher travel expenditure use TMC’s on a regular basis,” Padman said.

“But times are changing, and there can be no substitute for personal service, especially if things don’t go the way you planned.”

SME’s seemingly agree with that. An overwhelming 78 per cent of the survey respondents expressed the belief that a dedicated corporate travel agent gives businesses personal service and peace of mind.