Around one fifth of corporate travel buyers increased their use of serviced apartment suppliers during 2017.
According to a recent poll carried out by PA Life’s media partner the Business Travel Show and the Association of Serviced Apartment Providers (ASAP), a similar number of buyers directed more spend to budget hotels, while over a third chose to use mid-range hotels.
28 per cent of those interviewed revealed they use five-star hotels less compared to 12 per cent on serviced apartments.
“Our research is great news for the serviced apartment community and is testament to the work ASAP has done in raising awareness of, and building trust in, the industry and its suppliers,” said David Chapple, event director of Business Travel Show.
“It’s also an honest reflection of the state of the market. For the last two years, our annual survey of travel buyers has shown that the number one challenge facing them is cutting costs while maintaining quality and value for money. With this in mind, it’s no surprise that more buyers are looking to alternative and budget accommodation providers and incorporating these in their travel programmes alongside more traditional four and five-star business hotels.”
When asked why they use serviced apartments, 57 per cent said it was because they provide more value for money, which was closely followed by flexibility, convenience, extra space and long-term suitability.
Meanwhile, more buyers are choosing to include a higher percentage in their budget to go towards serviced apartments. For example, in 2017, seven per cent of buyers spent between 11 and 25 per cent of their budgets on serviced accommodation.
James Foice, chief executive of ASAP, added: “It’s absolutely fantastic to see that 20 per cent, or one in five, of corporate buyers have increased their use of serviced apartments this year. The popularity of our serviced apartment product has never been higher with the significant increase in supply this year – more than 2,000 new serviced apartment units have opened right across the UK in 2017.
“17 per cent growth in supply is forecast by 2020 so this trend is all set to continue. More corporate and leisure travelers prefer this more flexible way to stay offering a bit more space to live, work, sleep and eat.”
The Business Travel Show takes place on February 21 to 22, 2018, at London’s Olympia.
To arrange a meeting with PA Life, who will be exhibiting at the show, please contact Charlotte Russell on firstname.lastname@example.org now.