American Express Global Business Travel predicts travel price increases for 2016

The American Express Global Business Travel Forecast 2016 predicts air, hotel and ground transportation prices will see modest gains in 2016, as a slowly-improving global economy and stronger demand outpace increases in supply.

Led by favorable market conditions in North America and tempered growth in Asia, the airline industry will see slight pricing gains as increased demand is offset by similar growth in capacity partially spurred by lower fuel costs.

Global hotel performance is also expected to improve moderately in 2016, as limited increases in inventory fail to keep pace with the growing global appetite for travel.

Overall, North America is expected to continue its momentum from 2015 and experience healthy rate increases, while Asia-Pacific and Europe will show moderate gains. Ground transportation rates are expected to remain relatively flat as overcapacity, strong competition and a continued focus on ancillary fees persist globally.

American Express Global Business Travel´s annual Forecast provides subscribers with over 1,800 pricing predictions across airfares, hotel rates and car rental rates in the Americas; Europe, Middle East and Africa (EMEA); and Asia-Pacific (APAC), as well as related travel management program recommendations.

American Express Global Business Travel has operations and network partners in nearly 140 countries worldwide with approximately 12,000 employees. American Express Global Business Travel ranked first among corporate travel providers in the 2015 Corporate Travel 100 (“CT100”), an annual listing compiled by Business Travel News which ranks companies with the largest volume of US air bookings