Global GDS channel results confirm that, much to our industry’s delight, travel patterns do not automatically mimic those of the financial markets. Economic worries began to increase in July, and came to a peak in August with the United States’ credit rating downgrade by Standard & Poor’s and renewed debt concerns for various European countries. Despite the stock market chaos that ensued throughout the month, August corporate travel bookings experienced an upswing. Reservations rose by +10.2% over prior year globally – a significant improvement from July’s slower growth pace of +5.8% over prior year. Equally pleasing is that ADR maintained a sturdy growth pace, increasing by almost +5% over prior year. The combination of solid reservation and rate performance increased August revenue by +16% over prior year. These results suggest hoteliers are not reacting to stock market jitters and adhering to the more strategic rate structures that will ultimately yield greater total profits. The business sector has followed the leisure channel’s lead in harnessing trip duration as a means of controlling trip expenses. The average length of stay (LOS) for August 2011 was 2.21 nights versus 2.20 nights in August 2010, increasing by only +0.6%. Companies are looking for ways to trim travel expenses rather than eliminate the business trips that drive profit. Booking lead times are still slowly increasing from last year, mirroring the on-going but slow growth of meetings and conference travel. The average booking lead time in August 2011 was 17.79 days ahead of travel, versus 17.44 days in August 2010. Get the full report at Pegasus (PDF 140KB)