More buyers also moving spending from luxury to budget hotels
A rising number of corporate travel buyers increased their use of serviced apartment suppliers in 2017, reaching one fifth of the total, according to a new poll.
A similar number of buyers directed more spending for business travellers to budget hotels (22%) and over a third (37%) to mid-range hotels. Contrastingly, 28% used five-star hotels less often than the previous year.
This is according to a recent poll of 243 travel buyers carried out by the Business Travel Show in collaboration with the Association of Serviced Apartment Providers (ASAP) ahead of the ASAP Convention in London on December 6-7. The next Business Travel Show takes place at Olympia London next year on February 21-22.
Around 32% of respondents to the poll were from mainland Europe, 24% from outside Europe and the rest from the UK.
When asked why they book serviced apartments, 57% of respondents said it was because they provide value for money. This was followed by convenience, flexibility, extra space and long-term suitability.
Of those buyers who incorporate serviced apartments in their programmes, more are allocating a higher percentage of their budget towards them. For example, in 2016, 7% of buyers spent between 11% and 25% of their budgets on serviced accommodation. This year, that rose to 13%, while the number of buyers spending between 26% and 50% remained consistent.
But with 42% of buyers not using any serviced accommodation suppliers and 38% still vetoing sharing economy providers (although a massive drop from 91% last year), the poll shows there is still a way to go for alternative accommodation providers to be an automatic choice for travel buyers.