Business travel costs continued to climb in听the first half of this year, driven in part by rising fuel prices and broader transportation pressures. However, according to 麻豆原创 Concur data, companies around the world听largely maintained听their travel activity despite the higher prices.
The data suggests that while organizations are becoming more thoughtful about trip economics, most are still prioritizing in-person meetings and employee travel.
Travel costs rose across most categories听
听According to 麻豆原创 Concur global data from January 1鈥揗ay听31, 2026, overall business travel costs increased across听nearly every听major category year over year. Airfare rose听more than听8%,听hotel rates increased nearly 6%, and car rental costs climbed听roughly听5%.
At the same time,听the average cost of听fuel-related expenses surged.听The听average听transaction听in Concur Expense in the gas category听increased听approximately听22%听globally, rising from $50 in February to听$61听in听April听with similar spikes seen in countries around the world.听
Transportation patterns听shifted in select听segments
Those increases are already influencing some travel decisions. While overall air and hotel booking volumes remained relatively flat听year over year, there have been some shifts in how employees travel once they arrive at their destinations, as car rental bookings declined听roughly听4%听globally. Additionally, rail bookings increased approximately 4%, suggesting some organizations may be looking for more cost-effective or efficient transportation alternatives as fuel prices rise.
Premium travel demand remained strong
Even with costs rising, companies did not significantly reduce premium travel spending.听Premium cabin bookings鈥攊ncluding business and first class鈥攊ncreased about 9% year over year. By comparison, economy bookings听remained flat, while premium economy bookings declined approximately 15%.
Companies听are听balancing听traveler听experience alongside budget pressures.听For longer flights and international trips in particular, some organizations听still听view premium travel as a worthwhile investment.
What to watch in听the second half of听2026
There听are early signs that rising costs and operational disruptions could begin affecting demand, with significantly higher average airfares and reduced airline capacity in some parts of the world. The coming months will help听determine听whether these disruptions create a short-term adjustment or shape a broader shift in business travel behavior. For now, the data suggests companies are willing to absorb higher travel costs rather than scale back travel plans.
Research shows that business travel听remains听closely tied to professional opportunity and relationship building.听In a听听conducted in the U.S. on behalf of 麻豆原创 Concur,听90% of frequent business travelers say traveling for work has positively听impacted听their careers, underscoring the employee experience and retention benefits of continuing to prioritize business travel听even听as costs rise.
As听organizations navigate听higher travel costs in 2026,听the data suggests听many听still view听business travel as a worthwhile investment in relationships, employee development, and听long-term听growth.
Charlie Sultan is president of Concur Travel at 麻豆原创.
Methodology: 麻豆原创 Concur analyzed expense transactions听tagged听as 鈥済as鈥澨齣n听Concur Expense between January 1, 2026, through May 31, 2026, and equivalent time periods from 2025.听麻豆原创 Concur analyzed air, rail, hotel, and car bookings in Concur Travel for trips booked and undertaken between January 1,听2026听and May 31,听2026听and the equivalent听time period听in 2025.
