The average daily cost for meals, car rentals, and hotels for business travel in the U.S. rose to $321 per day according to the recently released 2017 Corporate Travel Index compiled by Business Travel News.. New York City, as could be expected, had the highest priced city per diems in the U.S. at a whopping $549 a day followed by San Francisco $534; Boston $510; Washington D.C. $462; and Chicago $443 . Bakersfield, CA was the lowest priced per diem of the top 100 cities at $241 a day. Other cities include #17 Dallas, $363; #44 St. Louis, $311; #50 Kansas City, $304 and #69 Omaha at $287 a day. For complete look at the 2017 Corporate Travel Index please CLICK HERE.
Every time a company sends a traveler on a business trip it costs $1413 –
Many businesses focus their attention on the cost of an airline ticket ($450 average) when they figure out what the cost is to send a business traveler on a business trip. Using the per diem cost of $321 a day and figuring the average business trip lasts 3 days mean that $963 will be spent on meals, car rental and hotels plus an average of $450 for an airline ticket for a total of $1413 every time someone gets on an airplane for a business meeting. The next time a supervisor sends someone on a business trip you need to ask yourself, “Will we get more than $1413 of value out of this trip”?
Hotel costs average of $177 a night –
The 2017 Corporate Travel Index study also showed that the average daily hotel costs in the top 100 U.S. cities was $173. New York City was at the top at $385 followed by San Francisco $379, Boston $337; Washington D.C., $320: and Chicago at $275. Three cities that our company does a lot of work in were Omaha, Nebraska came in at #64 at $153 a night: St. Louis came in at #43 at $169 a night; and Dallas came in at #29 at $190 a night. I always expect San Francisco and New York to be at the top of the list of hotel costs. This year the most amazing thing that stuck out to me is that in New York City you will pay an average of $52.55 per night in taxes and fees for your hotel room! WOW! CLICK HERE for details of hotel costs in the top 100 U.S. cities.
Think about it! It costs more for your hotel room than your airline ticket –
Once again many companies focus the majority of their attention on trying to lower the cost of the airline ticket for their business travelers when the average hotel cost is now more than your airline ticket. Take a 3 night stay times $177 a night equals a total hotel cost of $531. Compare that to the $450 cost for the airline ticket. If a company wants to get serious about managing the cost of their business trips then hotel cost should be their number one priority.
Good news as the average car rental cost stayed flat at $48 a day –
This is one of the big bright spots in the 2017 Corporate Travel Index. Car rental prices actually stayed flat this year. Taxes and fees now make up an amazing 35% of the total car rental prices. That means you pay an average of $13 in taxes and fees per day for every car rental.
Business meals now average $97 a day –
One of the hardest areas to control costs is in the area of meals on the road. The 2017 Corporate Travel Index says that business travelers spend an average of $15.54 on breakfast, $25.07 on lunch, and $56.98 on dinner in the top 100 cities. This seems a little high to me but I also realize this can go much higher if a business traveler has to entertain on the road.
Now I must do a little bragging –
Executive Travel is excited that we are one of the premier companies today that businesses engage to help them build a comprehensive travel management plan that implements systems that can dramatically reduce the cost of your travel expenses. If saving money spent on business travel is part of your job you should call me at 402-435-8888. You will be amazed at how much money we can save your company and how easy we can make the system work for you.
Final Call for Alaska! Cheers to Germany! –
Secure your spot today on some of our most captivating tours this fall! This is the absolute FINAL CALL for our amazing “The Wonder and Awe of Alaska” cruise tour, including two nights and a fascinating tour program in and around Vancouver, a seven night unforgettable glacier discovery cruise and an incomparable Denali National Park extension! All included in our tailor costumed trip! If you have always dreamed about attending the REAL Oktoberfest in Munich, appreciate great beer and European culture, then reserve your spot immediately on the most incredible “Germany Brewery Tour & Oktoberfest” trip ever! Call our friendly Group department today at 402-435-8888 for all the details or CLICK HERE to receive a tour brochure. Do not hesitate – tour registrations are closing shortly.