Small and medium enterprises (SMEs) are rethinking how they approach corporate travel in 2026, putting employee performance and competitive edge ahead of traditional penny-pinching, according to Corporate Traveller data indicators. Three key trends are driving this shift, they say: Premium economy bookings up 35% as companies realise rest drives performance 75% of SME employees now blend business with leisure travel Companies choosing technology that boosts, rather than replaces, human expertise
Speaking at the FACTS 2025 travel industry summit in Sydney, Tom Walley, Australia-based global managing director of Corporate Traveller, said SME travel had evolved from simple point-to-point bookings to complex, multi-sector journeys that look just like big corporate programmes, but with way fewer resources. “Today’s SMEs face the same travel pressures as big corporates – global routes, multi-stop trips, sky-high expectations for smooth journeys,” said Walley. “The difference is they have fewer resources to manage complexity. This makes friction-free travel with a travel management company on your side a real competitive advantage.”
Premium economy bookings have jumped 35% year-on-year as SMEs continue to realise that employee rest directly impacts business results, according to Corporate Traveller’s stats, with research from the past year revealing that travel comfort has a direct link to performance, with 67% of business travellers experiencing productivity impacts due to cramped seating and reduced flexibility. The connection is even stronger for senior management (68%) and C-level executives (81%).
“Companies are ditching the cheapest-fare approach – especially on long-haul,” Walley explained. “They’ve worked out that a well-rested employee in premium economy delivers much better outcomes than an exhausted one in economy. Productivity has become the new reason to upgrade.”
Three in four also now mix business with pleasure. Flight Centre Corporate’s 2025 State of the Market survey has shown that three-quarters of SME customers report that employees add leisure to business trips, and that innovative companies are adapting policies to support the trend.
“Clever SMEs are using bleisure to cut employee fatigue and boost wellbeing. We’ve even observed families travelling with the employees to tack on a holiday at the beginning or end of a trip,” Walley said, adding that their customers want AI for smart logistics combined with human expertise for everything else.
“AI handles the routine stuff brilliantly, but when your flight gets cancelled at midnight in Bangkok, you want a real person who actually cares about getting you home,” Walley (pictured) added.
