Good News For Corporate Travel: Business Bookings In The 'Golden Triangle' Have Increased By 12%.

Recent data from Flight Centre's corporate division has shown increased business travel within the 'Golden Triangle' of Sydney, Melbourne, and Brisbane.

According to exclusive data from Flight Centre Corporate’s FCM Travel and Corporate Traveller, the volume of flight bookings between the three major airports rose by 12 per cent in the first half of 2024 compared to the first half of 2023.

Melbourne captured a larger share of the arrivals, with 38 per cent of corporate travel between the three cities landing in the Victorian capital, compared to 39 per cent into Sydney in the first half of 2024. This is an increase from 36 per cent in Melbourne and a slight decrease from 40 per cent in Sydney in the first half of 2023. Brisbane maintained a consistent 23 per cent share of the arrivals in both periods.

The top five industries travelling between Australia’s key business hubs in the first half of 2024 were services, finance and insurance, construction, arts, entertainment and recreation, and health and social services.

Flight Centre Corporate COO Melissa Elf highlighted the significance of increased travel between the ‘Golden Triangle’ amidst ongoing economic pressures. “More business travellers are taking to the skies between our major cities of Sydney, Melbourne, and Brisbane, and we see Melbourne edge closer to the rate of travel into Sydney, with 38 per cent and 39 per cent of the arrivals, respectively.

“This increase is largely due to the returning capacity of airlines operating across and out of Australia since all state borders reopened fully. We’ve also seen new routes being added, particularly by carriers such as REX Airlines, which prioritize connecting regional cities with major state capitals.

“Sydney has long been the corporate travel favourite, but this year is shaping up to be particularly strong for travel into Melbourne, bolstered by ‘bleisure’ travel.”

Elf noted that Melbourne hosted major events such as the Australian Open, Taylor Swift concerts, the Melbourne Cup, and Formula One, drawing business travellers who combined their trips with these events. “During these periods, you might expect business travellers to avoid busy airports and accommodations, but we actually saw a significant increase in corporate crowds, who were eager to experience the events while attending business meetings and events.”

Elf also pointed out that Brisbane is emerging as a growing market for business travel, accounting for 23 per cent of all bookings within the ‘Golden Triangle.’ “Brisbane is rapidly becoming a key business hub within Australia and a destination of choice for company headquarters.”

"Brisbane will go from strength to strength as it continues to benefit from both public and private investment ahead of the 2032 Games. As a broader region, Queensland is resource-rich and sees significant travel movement from mining, oil, gas, and construction workers.

“It’s evident across our corporate customer base that travel is non-discretionary, and falling airfares both domestically and internationally will keep demand for business travel strong against the backdrop of economic pressures.”

According to BITRE’s Air Passenger Movement Report, Brisbane Airport is forecasted to have an average annual growth rate of passenger movements of 4.5 per cent over the decade to 2026. Sydney and Melbourne Airports are projected to have a 4 per cent average annual growth rate over the same period.

This amounts to 38 million passengers passing through all three airports in 2026—far more than the combined population of Australia and New Zealand.

The Global Business Travel Association predicted a 27 per cent growth in business travel in Australia for 2023. It also revealed that in 2024, for every US$1 spent on business travel, businesses would see a US$1.45 return in sales."