India’s corporate travel sector is going through a major change. Earlier, companies focused more on international trips, but that trend is shifting. Today, domestic travel is becoming the main driver of corporate mobility. This shift is largely due to Indian companies expanding their operations across different regions and the fast growth of mid-sized businesses.
According to insights from corporate travel management platform CoTrav, nearly 90 per cent of corporate travel in India now takes place within the country. This is not just a temporary change after the pandemic but a sign that business activities are spreading beyond a few big metropolitan cities.
One of the key reasons behind this rise in domestic travel is the nature of industries such as IT and technology, manufacturing, and pharma and healthcare. These sectors operate across multiple cities and require frequent movement of employees between offices, factories, and project locations.
Data from CoTrav also shows that business activity is no longer limited to a few Tier I cities. Many companies are now setting up offices and manufacturing facilities in regional areas. Better airports and improved highways have also made travel between cities easier, turning business travel into a regular operational need rather than an occasional expense.
Another major factor behind this trend is the growing role of mid-sized companies. CoTrav’s data shows that these businesses now account for almost one-third of the total travel spending on the platform. As these companies expand into new markets and hire teams in different cities, travel becomes essential for managing operations.
Mid-market companies also approach travel differently from large corporations. Their travel is often linked directly to business outcomes such as sales meetings, project launches, and technology installations. Because of their rapid growth, many of these companies are also adopting digital travel management systems early, realizing that manual booking processes cannot keep up with their expanding operations.
At the same time, these businesses want to manage costs carefully while ensuring that travel supports their operational goals. Platforms like CoTrav help them access efficient travel management systems that were earlier mostly available to large companies with established travel programs.
The expansion of mid-sized businesses is also pushing corporate activity deeper into Tier II and Tier III cities. CoTrav has recorded a rise in travel to emerging business centres such as Indore, Jaipur, Coimbatore, Kochi, Chandigarh, Ahmedabad, and Bhubaneswar.
These cities are increasingly becoming important business hubs because they offer lower operating costs and access to new talent pools. As companies build a stronger presence in these regions, travel between headquarters and regional centres is increasing significantly.
However, as companies expand across more cities, managing travel has become more complex. CoTrav, which claims to have handled around 2.5 lakh trips for over 400 corporate clients, is using this data to improve its platform and simplify travel management for businesses.
The company says its platform helps organisations manage bookings and approvals from a centralised system. Businesses can also track travel spending through real-time reports, helping them maintain control over costs while ensuring smooth employee mobility.
This shift in travel patterns has also led to the rise of new business travel corridors across the country. While traditional routes like those in the Golden Quadrilateral remain important, new corridors are becoming more active.
For example, travel between Bengaluru and Hyderabad is increasing as both cities grow as technology and innovation hubs. The Mumbai–Ahmedabad route is gaining importance due to finance and manufacturing activity. Similarly, Chennai and Coimbatore are strengthening as industrial and textile centres, while the Pune–Indore corridor is growing because of automotive and regional operations.
Experts believe this is not just a short-term change but a deeper structural shift in how Indian businesses operate. The rise of the “Bharat economy” and the expansion of mid-sized companies are encouraging businesses to move beyond metro cities and build stronger regional networks.
As a result, domestic travel is likely to remain a key part of corporate mobility in India. With better technology and digital tools supporting travel management, the corporate travel ecosystem in the country is becoming more efficient, resilient, and widely spread than before.
