Business class fares on intercontinental routes remain high, powered by corporate demand and rising surcharges, but economy fares are easing, signaling how economic uncertainty is hitting leisure travel, according to the Q42025 Travel Price Index from Advito, the consultancy arm of BCD Travel.

Other insights from the research include:

• Aircraft shortages and network rationalization continue to push domestic and regional fares higher, showing how supply constraints remain a defining factor.
• Europe, Africa and Latin America are seeing strong double-digit, year-over-year rate increases in several markets (Iceland up 25%, Ethiopia up 50%, Brazil up 13%), while North America and Asia show more mixed results.
•  Rail demand is accelerating in Europe, Asia and the Northeast US, driven by sustainability and airline capacity cuts. At the same time, car rental fleets are adapting to growing demand for EVs and compact vehicles.

Olivier Benoit, senior vice president Advito, told BTE, “Our latest price index shows that travel managers can’t rely on discounts alone.” With airfares and hotel rates increasing across many European and global markets, he said, there’s a strong case for building better cost avoidance strategies into air and hotel programs to drive savings and improve traveler satisfaction. At the same time, in the US where the market is softening, said Benoit, travel managers have more room to negotiate favorable discounts on air, hotel and car. Both approaches, he said, “will be critical as traditional supplier discounts become less competitive overall.”