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Business Travel Is Booming in Second Cities Around the World

Travelers are skipping major hubs in favor of smaller destinations

by Leandra Beabout

November 21, 2024

Porto, Portugal / Photo: Images Luis/Unsplash

Considering a visit to Porto instead of Lisbon next year? Booking a winter getaway to Fort Lauderdale instead of Miami? These days, more travelers are skipping major hubs in favor of so-called “second cities”—less expensive, less crowded metropolises that still offer top-shelf entertainment and experiences. This trend isn’t just in the leisure sector. Statistics suggest that a clutch of secondary cities are giving business travel mainstays a run for their money.

Charleston, South Carolina / Photo: Peter Ungers/ Stone/Getty Images

“Secondary markets are emerging as prime destinations for events,” says Katrina Pruitt-Andrews, vice president of marketing for data services provider Knowland. “Cost-conscious planners are increasingly drawn to these locations, seeking opportunities for differentiation. Florida, Texas and Kentucky continue to be in the top markets.”

Cheeca Lodge & Spa, Islamorada, Florida / MCFF Media LLC DBA Freas Photography

In the Florida Keys, Knowland tracked an eye-popping 79.5-percent growth in events. The island chain is set to welcome a swell of corporate travelers seeking boardroom-to-beach comfort at new properties such as Three Waters Resort & Marina, a 15-acre Islamorada Resort Collection property, and venerable spots like Islamorada’s Cheeca Lodge & Spa, which boasts more than 16,000 square feet of event space.

Saguaro Hotel, Palm Springs, California / Photo: Delpixart/iStock/Getty Images

Then there’s the West Coast. “Another market that we’ve seen an increased demand for is Palm Springs, California,” says Zach Demuth, the global head of hotels research at JLL’s Hotels & Hospitality Group. The number of flights to Palm Springs has recently exploded. Its convenience and cultural scene make it an easy alternative to Los Angeles for executives who want to squeeze in a round of golf between meetings.

“Business travelers are adding a leisure component,” says Demuth. “As such, we’ve seen business travel growth in markets that cater to a diversified demand, such as Charleston and Raleigh.”

Frankfurt, Germany / Photo: Rudy Balasko/istock/Getty Images

As for the international front? BCD Travel reports that after London, Frankfurt—Germany’s fifth-largest city but home to its largest airport—is the most popular destination for American business travelers.