Look at the sky, at least psychologically, if you’re looking for evidence that you’ve survived a pandemic.
On Wednesday, United Airlines reported revenues of more than $ 12 billion in the previous quarter. This is the highest amount the company has earned in more than 10 years. On Thursday, American Airlines told investors that it had made its first quarterly profit since the pandemic.
The planes of these companies are full of applicants who have turned their backs mainly for vacation trips. But more lucrative passengers are also returning to the air: business travelers.
Overall, Justin Strelow is excited to travel for business again. Although he isn’t fascinated by all parts of her.
“I don’t eat at the airport. I’m trying to save a few pounds,” Straw said. “I’m trying to lose weight in a pandemic.”
Strelow is a co-founder of Insysiv, based in Kansas City, Missouri, which manufactures software for hospital laboratories. Within two weeks, Strelow will send him and three employees to Anaheim, California to attend the trade fair. Even without Airport Cinnabon, this trip will cost your small business about $ 15,000.
“I’m still a little old school. I like to meet people,” Straw said. “We have found the value of standing in front of people and really solidifying those relationships.”
This is music that can be heard in the aviation industry. Prior to the pandemic, business trips accounted for more than 50% of profits, said Ryan Mann of consultancy McKinsey.
“Business travelers tend to book at the last minute, which is the time when prices are highest,” Mann said.
According to aviation data company Arc, business trips are about 70% of 2019.
According to Mann, Zoom has replaced a small face-to-face meeting that was previously related to travel, but “frankly, the meeting fills the void.”
So are corporate retreats and team building trips where remote employees can ultimately see the size of their colleagues.
Business trips are on the rise, but the question remains whether they will recover completely. A recession can make this more difficult.
Chris Raite, an analyst at investment research firm Third Bridge, said:
Plus, you don’t have to worry about zoom delays due to lack of drivers.
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