Thomas Cook India Report: Business Travel Revival Confirmed Amid Cost Pressures

65% of corporates anticipate a rise in business travel volume for 2026, while 80% report an increase in average ticket prices over the past year.
Reader Takeaway: Business travel revival seen with tech adoption; rising airfares and GST pose budget challenges.

What just happened (today’s filing)

Thomas Cook (India) Limited and SOTC Travel, leading players in India's travel sector, have unveiled their inaugural Business Travel Report 2026. Launched on February 23, 2026, the report surveyed over 25 leading enterprises.

The report highlights a significant expected uptick in business travel, with 65% of surveyed corporates forecasting increased travel volumes. This revival is underpinned by a strong embrace of technology, with over 70% of companies adopting tech-led solutions for booking, approvals, and expense management.

A notable 68% of corporates are also seeing growth in 'bleisure' (business and leisure) travel. Furthermore, 62% are prioritising value-driven decisions, and 56% are focusing on enhancing traveller experience and duty of care. Nearly 60% of companies are revising their travel policies, indicating a strategic recalibration.

Why this matters

This report provides a crucial outlook on the trajectory of corporate travel in India. For businesses, it underscores the need to balance a resurgent demand for travel with escalating operational costs. The findings signal a shift towards more data-driven and experience-focused travel strategies.

For the travel industry, including airlines, hotels, and travel management companies, the report indicates a strong recovery potential. However, it also flags critical challenges around cost management and policy compliance that will shape service offerings and pricing.

The backstory (grounded)

Thomas Cook (India) Limited, with roots tracing back to 1881, and its subsidiary SOTC Travel, founded in 1949, are stalwarts of the Indian travel industry. TCIL, a subsidiary of Fairfax Financial Holdings, operates an extensive network of over 200 locations across India. Following TCIL's acquisition of SOTC's assets in 2015, the group has consolidated its position as a major integrated travel services provider, offering a comprehensive suite of leisure and corporate travel solutions.

What changes now

Businesses are expected to:

• Increase investment in technology platforms to streamline booking, approvals, and expense management for better visibility.
• Re-evaluate travel policies to strike a balance between cost control, traveller well-being, and compliance.
• Focus on renegotiating supplier contracts to mitigate the impact of rising airfares.
• Integrate 'bleisure' components into travel planning to cater to evolving employee expectations.
• Optimise Goods and Services Tax (GST) and Input Tax Credit (ITC) processes to manage travel budgets more effectively.

Risks to watch

• Rising Airfares: 80% of corporates reported an increase in Average Ticket Prices (ATP) over the past year, with over 36% seeing significant rises exceeding 15%, posing a substantial budget challenge.
• GST & ITC Challenges: Over 55% of corporates face pressure from Goods and Services Tax (GST) and Input Tax Credit (ITC) applicability, compliance, and optimisation issues.
• Policy Tightening Impact: Increased cost pressures may lead corporates to implement stricter travel policies and renegotiate supplier contracts, potentially impacting travel flexibility for employees.

Peer comparison

The Indian corporate travel market is highly competitive. Key players include online travel agencies like MakeMyTrip and Yatra Online, alongside dedicated corporate travel management firms such as FCM Travel Solutions and All 4 Season. These companies, operating in a market valued at approximately USD 10.6 billion in 2023, are also adapting to trends of technology adoption, cost efficiency, and enhanced traveller experience.

Context metrics (time-bound)

• Over 70% of corporates are adopting tech-led solutions for travel management by 2026.
• 68% of corporates are witnessing growth in 'bleisure' travel trends in 2026.
• Close to 60% of corporates are revising their travel policies.
• 56% of respondents are prioritising traveller experience and duty of care.
• 55% of corporates are focusing on GST/ITC optimisation.

What to track next

• Actual implementation and effectiveness of new travel policies by corporations.
• Negotiation outcomes between corporates and travel suppliers (airlines, hotels) regarding pricing and contracts.
• The pace of technology integration and its success in driving efficiency and compliance.
• Corporate responses to sustained increases in airfare and other travel costs.
• Further trends in 'bleisure' travel and their integration into corporate strategies.
• The overall recovery rate of business travel volumes against the projected 65% increase.