Incentive travel sector is growing

Wednesday, 11.10.2023
IBTM World’s 2023 Incentive Travel Report states that the recovery of the incentive travel sector is going strong. Its global market value is projected to reach £174 billion by 2031.
IBTM World’s 2023 Incentive Travel Report:

IBTM World's Incentive Travel Report 2023: Der Incentive-Sektor wächst. Foto: IBTM

The report finds that the sector is growing at an annual rate of 12.1 per cent, and predicts that the number of people participating in incentive travel programmes worldwide will grow by 61 per cent in 2024, compared to 2019.

Benefits such as inclusivity, peer-to-peer relationships, and being able to take a partner on a trip have become more relevant to employees, according to 66 per cent of incentive travel agencies. The importance of authenticity, wellness and sustainability are highlighted in the report written by IBTM Contributor Mike Fletcher. He finds that employees now place more emphasis on incentives which provide valued experiences, support corporate social responsibility and demonstrate concern for employees.

Nevertheless, the sector still faces significant challenges including talent shortages, inflation, rising travel and supply chain costs. Tighter corporate budgets have resulted in a reduction in the frequency of business trips and fewer employees attending face-to-face events. The report highlights the need for companies to adapt their incentive travel schemes to ensure they remain competitive.