The landscape of business travel is shifting rapidly in 2025. Anish Khadiya, founder of itilite, provides valuable insights into the trends shaping this evolution, focusing on cost management, technological advancements, and the traveler experience.
In this blog, you’ll find a blend of emerging trends, and thoughtful predictions designed to help you understand the business travel landscape for 2025.
Business Travel Trends to Look Forward to in 2025
1. Navigating Costs and Budgets
Airfare Stability
While a slight rise in airfares is expected, inflation is moderating, creating a more predictable budgeting environment. Though green surcharges from airlines like Lufthansa may appear, their overall price impact should remain minimal.
To give you context, U.S. airfares in December 2024 were up 7.9% from December 2023, but only 4% from pre-pandemic levels, significantly less than the overall consumer price increase.
For business travelers, this signals a more stable pricing environment, making long-term budget planning more predictable.
Rising Offsite Cost
The demand for in-person meetings and conferences surges, driving up offsite costs. Expect a projected 25% increase in demand, with event and meeting costs rising to an average of $169 per attendee per day.
The trend is clear—costs rose 4.5% in 2024 to $162 and are set to climb further in 2025. As companies prioritize larger, more complex gatherings, budget-conscious planning is key.
To effectively manage this, businesses should adopt a 12-month planning horizon and consolidate travel and meeting expenses to leverage negotiating power.
2. Technological Advancements and Streamlining Processes
CC Authorization Process to Become Streamlined
The credit card authorization (CC auth) process is set for a significant overhaul in 2025, improving efficiency and reducing business friction. With 10% of U.S. hotel spend relying on CC auth and an average transaction value of $500, smoother workflows are long overdue.
As business travel picks up, companies need better credit card authorization (CC auth) solutions to avoid payment delays during hotel check-ins and payments. itilite virtual cards make this process smoother by offering one-time-use authorizations. This means hotels can only charge the approved booking amount, preventing extra holds on company funds.
With automated CC auth, hotel payments become hassle-free. There’s no need for manual follow-ups or payment disputes. itilite processes payments instantly, tracks them in real-time, and ensures quick approvals.
Transformation in MICE Technology
Augmented reality (AR) and AI are changing how meetings and events are planned. Google is at the forefront of this change, helping you see event spaces in 3D with AR so you can plan better.
At the same time, AI helps design layouts and choose the best options for your event, making planning simpler and more personalized. With these tools, you can create events that are more engaging and efficient, meeting the needs of today’s business travelers.
3 Enhancing the Traveler Experience
Loyalty Programs Gain Traction
Delta recently made big changes to its SkyMiles program, making it harder to earn elite status. They raised the spending requirements and focused more on credit card use instead of actual flights. This upset many frequent flyers who felt they were losing perks despite their loyalty. As a result, some travelers started looking at other airlines like United, American, or Southwest.
Seeing the backlash, Delta decided to reverse these changes. Now, there are no changes to how miles are earned or redeemed, keeping things simple for loyal travelers. This shows how important strong loyalty programs are for airlines and hotels in 2025.
Another shift is happening with rental car loyalty programs. More travelers now prefer perks like free upgrades, faster check-ins, and reward points over just using a corporate card. As companies focus on making business travel smoother, these programs are becoming a smart way to enhance the travel experience.
The Future of Corporate Travel: Smarter, Leaner, and More Strategic
The future of business travel is defined by efficiency, automation, and data-driven decision-making. For businesses, the takeaway is clear: those who embrace data-driven decision-making and innovative travel policies will gain a competitive edge.
This corporate travel study isn’t just about moving employees from point A to B—it’s about doing so with precision, control, and cost-efficiency. The companies that adapt now will be the ones leading the way in the years to come.
