A majority of corporate travel buyers expect to spend
modestly more on air travel next year, with most projecting year-over-year
increases in trip volumes and average airfares, according to a Morgan Stanley
survey of 369 corporate travel managers. Projected budget growth rates have
moderated from 2012 levels, according to Morgan Stanley.
"Executives indicated that budgets are expected to grow
1.3 percent in 2013 on a budget-weighted basis," according to a Monday
research note from Morgan Stanley airline analysts. "This is down from the
2.8 percent growth expectation for the forward year reported in our last
Polled in late October, 59 percent of respondents indicated
that they expect their organization's bookings to grow next year, with
approximately half of those anticipating bookings to grow by at least 6 percent
from projected 2012 levels. "Furthermore, our survey results indicate that
volume growth will be led by emerging market growth, as has been the case for
some time," according to the research note.
Meanwhile, nearly 56 percent of those surveyed said they
expect 2013 airfares to grow year over year. Respondents were "travel
managers across all industries and at companies with international operations
in Europe and the United States."