Business Travelers Increasingly Moving To Sharing Economy

sharing economy

The times, they are a-changin’. One of the biggest adjustments in the business travel industry in recent years is the growing trend of sharing economy options. Companies like Uber, Lyft, and Airbnb have created an alternative from big-business hotels and car services. The results are often informal connections and saving money. So how are companies reacting to this industry change?

Sharing Economy is growing in the business travel industry

A survey by the Global Business Travel Association found that businesses are increasingly allowing the use of rides sharing services, like Uber or Lyft. This compliance has increased nearly 15% since June 2016. Over the same period, permission to book through Airbnb or other lodging services increased by 20%.

Though the compliance growth has been substantial for it’s short time, these sharing economy companies have a long way to go to gain the majority of the market. According to GBTA, half of corporate travel policies still don’t explicitly allow employees to use ride-hailing apps. 70% also make no mention of using home-rental services.

Hurdles in travel management compliance?

Let’s say your company allows sharing economy for business travel. Is the company’s internal communication strong enough to get the message out? This seems to be one of the biggest setbacks the sharing economy is facing right now. In another study by the GBTA, of 24% of companies that permit ride-hailing apps, only 12% of their employees were aware of the compliance. Begging the larger question– what good is a modern and updated travel policy if no one sees it?

Christopherson Business Travel is an award-winning Travel Management Company, headquartered in Salt Lake City, Utah. With more than 60 years of experience, we provide travel solutions with our proprietary technology and customized account management. Contact us to learn more about our unique business model or to schedule a demo.