In past recessions, when the economy was in a recovery cycle, many companies slashed their travel expenses, and may have lived to regret it, as they possibly cut to deep!
Client Relationships building and wooing new customers is the reason we travel. Certainly when times are tough, it is even more of a reason to reassure clients. So what to do?
This is when you make certain that you turn up the dial with clever and strategic travel management. That is if and how your business manages it today.
The idea: is to justify the value of each of your business trips. Make each trip as visible as possible. The reason for this is that increased visibility drives cost reduction. If your company still has not adopted the fundamentals of travel management—consolidation—now is the time to start.
Consolidating travel through a corporate travel management company (TMC) creates visibility into what travelers book and how wisely they spend company money. It also creates an environment of accountability and responsibility. Choosing the right TMC however is vital. The back office systems they have on offer can either make or break the tender. No longer is the pricing the main issue. Importantly, you need to be able to have clarity on their systems, with a data integrity stipulation.
I still find it mind-boggling when Medium and Large Corporate Companies, allow travelers to book travel through "thinkImgettingagooddeal.com," even if that site belongs to a low-cost carrier. Competition is what keeps fares and rates low, not supplier goodwill.
No airline or hotel is always the cheapest, or the best value, on every trip. Understand, that if you book through "supplier.com," you don't even see the competition. Also, companies that don't mandate one travel management company can't even offer negotiated discounts to their customer. If travelers book where they choose, instead of through a designated TMC, companies won't get complete reports. They can get part of the picture from expense reports, but only TMC reports provide insight into such procurement behavior such as as advance purchases, ticket changes or travel policy compliance.
To sum it up.... Traveler choice + Cyberspace reservations = Poorly Managed Travel spend
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