The 2016/17 edition of the Global Serviced Apartment Industry Report (GSAIR), produced by The Apartment Service, provides a fascinating insight into the trends and key drivers impacting the serviced apartment sector worldwide.
With the continued growth in short-term assignments being reaffirmed by the results of many recent global mobility indices, one of the key questions addressed by the report is how the strength of supply of serviced apartments globally is responding to this increasing demand. Is supply keeping pace?
Supply and Demand
The report shows that globally the supply of serviced apartments is approaching the landmark figure of 1 million units. The 2016/17 survey shows over 826,000 units available worldwide, a 10.5% increase since the previous survey was released, and double the number of units reported in the first edition of GSAIR 8 years ago.
In terms of demand, almost 50% of corporate buyers of serviced accommodation reported that their usage had increased since the previous survey, with business restructuring and re-engineering cited as key drivers for the increased uptake.
Duty of care
Another item high on the agenda for both business travel and mobility buyers is the corporate duty of care for the employee travelling on business, with a focus on the need to understand where employees are staying, and the protocols in place in case of emergency.
Historically, a lack of transparency around brands has meant identifying the operator of the apartment an employee is staying in has not always been straightforward, making traveller tracking difficult and causing nightmares for global mobility and travel buyers.
The world today seems a more dangerous place with recent terror events in Brussels, Nice and Paris to name only events in Europe. In this environment of heightened risk, the pressure is on the corporate buyer or mobility professional to know exactly where their employees are staying; which operator, which apartment, when they arrive, and depart, with emergency contact information, in case the worst should happen.
With the continued trend for globalised programmes in mobility and business travel - to ensure consistency of experience, transparency and cost effectiveness – buyers need to ensure their chosen provider(s) are able to provide the level of visibility of travellers necessary in case of a critical incident. Alerts or tweets on the corporate home page are purely reactive, where a more proactive check on the traveller is essential.
For more information
For a copy of the 2016/2017 GSAIR report, please see the following link: