Muslim business traveller market to be $22b by 2020: study

The Muslim business traveller market is projected to be worth $22 billion by 2020 as the number of businesspeople from Muslim-majority countries making trips abroad is growing, according to a new study.

Muslim business travellers will make up 10 percent of the expected 168 million Muslim travellers by 2020. In total, Muslim travellers will spend more than $220 billion by 2020, said the study of Mastercard and CrescentRating.

The study report was launched at the inaugural “Halal in Travel – Asia Summit 2016” in Singapore yesterday. The global Muslim travel market was worth $150 billion in 2015.

The Mastercard-CrescentRating Muslim Business Traveller Insights looks at the behaviour and preferences of Muslim business travellers across the world, including Asia Pacific, Africa, Europe and the US.

The study report is based on an online survey and interviews conducted with 250 frequent Muslim business travellers from across the world, including countries such as Malaysia, Singapore, the US, South Africa, Qatar, Sri Lanka, the UK, India, Canada, Australia, Germany, Denmark and Pakistan.

The main reasons for business travel are to attend conferences or exhibitions (57 percent) and to meet clients (45 percent) or potential clients (44 percent), with an average trip lasting between three and four days.

“Muslim business travel is a niche market on its own which is only set to grow bigger,” said Fazal Bahardeen, CEO of CrescentRating and HalalTrip, in a statement.

He said the travel industry can reflect positively on the trends related to business travel, which bodes well for its immediate future.

Aisha Islam, vice president for consumer products, Southeast Asia, Mastercard, said the Muslim business travel market is expected to continue to expand over the next couple of years, alongside the growth of emerging economies such as Indonesia and Malaysia.

“Industry players looking to tap into this market for the first time will benefit from the insights gathered from the new Mastercard-CrescentRating Muslim Business Traveller Insights,” Islam said.  

The study showed that 38 percent of Muslim business travellers spent between $2,000 and $5,000 per business trip, with 44 percent spending less than $2,000.

The availability of prayer facilities (78 percent), halal dining options (71 percent) and wi-fi (67 percent) at airports are the top three most important services for business travellers.

While booking a flight, the availability of halal food and airfare emerged as the most important considerations for Muslim business travellers.

The majority of respondents (70 percent) avoid travelling during Ramadan.

Asia and Europe are the two leading regions for attracting Muslim visitors, accounting for 87 percent of the entire market.

When planning their trips, 88 percent of them rely on online research, while only 44 percent seek advice and information from family and friends.

More than one in two book their own flights and hotels rather than rely on their company or travel agents.