Myth Buster: Do business travel experts really help you save money?
Many corporates still entertain the erroneous idea that booking their own business travel will be cheaper and quicker.
A travel management company (TMC) can actually help you make significant savings. Image: iStock
Eliminating wasteful expenditure is a key focus for most companies today. Why, then, would anyone consider paying a travel expert to book a flight when this is something easily done online? The answer is simple: a travel management company (TMC) can actually help you make significant savings.
Oz Desai, general manager of Corporate Traveller, explains that many corporates still entertain the erroneous idea that booking their own business travel will be cheaper and quicker. “This simply isn’t true,” he says.
“Although there are costs associated with partnering with a travel consultant, the fees are negligible when considering the time, effort and money a TMC can save your business in the long run.”
Desai sums up five ways TMCs help companies make the most of their travel budgets:
- By increasing your global buying power
Size matters when it comes to travel, and the volume of your travel book can certainly mean better rates. However, negotiating corporate agreements with suppliers such as airlines, hotels and car rental companies can be a challenging and time-consuming process.
By partnering with a TMC with some serious global negotiation clout, such as Corporate Traveller, you can take the hassle out of the negotiations. As part of the Flight Centre Travel Group, Corporate Traveller offers a very wide range of airfares, as well as thousands of flexible corporate rates at hotels all over the world. What’s more, travellers can benefit from some great perks.
- By teaching you the tricks of the trade
Simply by booking your flights at the right time, you can make considerable savings. A TMC’s specialist Air Product and Airfare team will keep up to date with the latest fares, ensuring their clients always have access to the best rates.
They also know a few tricks of the trade that will help you get the most out of your airfares. They’ll tell you, for example, that it’s always better value to book as early as possible. In 2016, the average client booking through Corporate Traveller saved 28.4% on the cost of a domestic flight when booking 22 – 30 days in advance, compared with clients who booked just 3 – 7 days before travel.
Your TMC will also advise you that rather than choosing fully flexible fares, you can actually save with semi-flexible fares, which allow changes. Also that booking different cabins for the outbound and inbound journeys can, in fact, reduce the overall price of a return ticket, especially when flights are busy.
- By helping you see the bigger picture
“Making savings is not about shaving a few rands off the cost of the flight, hotel or transfers,” says Desai. “It’s important to look at the bigger picture. For instance, if Corporate Traveller’s data reveals that a client is using 500 different hotels in 50 cities, we would advise reducing this number and negotiate a discount with the remaining hotels. It is all about creating efficiencies.”
Reporting is an important tool to help your company identify areas where efficiencies can be made and costs can be cut. Desai explains: “If you work with a TMC or other travel partner to book your travel, the easiest way to gain a clear overview of your spend is to ask for a few key reports each month. That way, you can summarise the most useful data and won’t be overwhelmed by figures.”
- By placing the latest travel technology at your fingertips
It’s essential to keep abreast of the latest developments in travel technology, as these can be your gateway to booking stress-free, discounted travel. For example, an online booking tool, designed for simple point to point domestic travel, could increase productivity for your travel bookers, as well as offering discounted transaction fees.
It has also become widely accepted that employee productivity is intrinsically linked to their well-being, which is why it is vital to allow road warriors the opportunity to recharge their batteries. To this end, Corporate Traveller’s new chatbot, Sam, suggests which restaurants and attractions to visit at their destination and alerts travellers about traffic delays.
The chatbot is programmed to keep travellers informed throughout their journey, from delivering weather updates at the destination to information on a traveller’s terminal gate, flight time changes and where to collect their baggage. Not only will chatbots such as Corporate Traveller’s Sam make the booking experience more seamless and fun, but travellers are also helped to adhere to the rules and regulations of their company travel policy, while keeping all info in one app, ensuring that the traveller does not have to use multiple apps while travelling.
- By saving you time
Do you really want your executive team to waste valuable time browsing the Internet for the perfect travel deal?
Recent surveys suggest that, on average, business travellers spend 20 minutes reading hotel reviews before they book. “High earning top executives should not waste valuable time trying to pick the perfect hotel, or spend hours on the phone with airlines trying to rebook a ticket,” says Desai.
For more information on how a TMC can help companies streamline their business and drive savings, check out Corporate Traveller’s whitepaper, Seven Steps to Business Travel Savings.
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