According to American Express CEO Steve Squeri, who spoke with CNBC’s Jim Cramer on Wednesday, remote workers will create fresh demand for business travel.
“I anticipate there will be a lot more internal travel,” Squeri said, “where colleagues and employees will come into the headquarters to be with their team for a few days.”
According to American Express CEO Steve Squeri, who spoke with CNBC’s Jim Cramer on Wednesday, remote workers will create fresh demand for business travel.
“I anticipate there will be a lot more internal travel when colleagues and employees will come into the headquarters for a few days to be with their team.” And they might do it several times a year.
As a result, I believe that portion of business travel will be a new component.” In an interview with “Mad Money,” Squeri remarked.
This year, travel has recovered quicker than projected, which big airlines hope to offset increasing expenses in areas such as jet fuel. According to Adobe, travelers spent $6.6 billion on airline tickets on carriers’ websites last month.
American Express has experienced an increase in leisure travel in recent months, according to Squeri.
“In the fourth quarter, we’re at 80% total [travel and costs], with consumer spending up 100% from 2019.” “When we look at our travel bookings, we saw an increase in December, and that has continued to expand in January and February,” he added, noting that the figures only include consumer travel.
According to Squeri, Russia’s invasion of Ukraine has had “no real” impact on American Express’s travel volumes.
On March 6, the payments company stated that it would cease operations in Russia, joining the hundreds of other businesses that have committed to halt or reduce operations in the nation.