This is the age of traveller-centricity, leading to the development and research many new intelligent services. Travelling has seen a shift in the command-and-control perspective. The focus is now on the individual traveller and how productive each trip is. Travellers must get the best return on their investment. Young managers and employees are becoming more adept at being travellers. Recognizing that employees who travel on business trips often consider some of their trips to be leisure, it is essential to allow for more flexibility. With increasing globalization and the rise in companies sending their staff overseas to network and connect with their offshore prospects/customers/suppliers, corporate travel is a highly profitable tourism segment. Before we discuss how tourism companies can better serve business travellers, let’s first examine why they prefer to use corporate agencies over traditional agents.
Why should businesses use corporate travel agencies?
This is the most fundamental question a travel agency needs to ask about why they should use companies specializing in corporate travel when there are many regular agents on the market. This is why corporate travel agencies need to have online systems that allow business travellers to access their entire itinerary.
CTAs have the following information at their disposal:
- Full business itinerary details
- Up-to-date tracking information of flights (including delays and rescheduling).
- Transparent details regarding additional costs, such as baggage fees and in-flight charges
- Travel alerts in the destination area, if any
- Complete and current information about visa procurement policies and identification is required
- Conversion rates and currency requirements
What can corporate clients expect of Corporate Travel Agencies?
Negotiated Fares
Many Corporate Agencies have tie-ups with hotels, car rental companies, and airlines. They have access to discounted fares that can only be used by frequent business travellers. They offer room upgrades, VIP check-in lines, flight upgrades, and discounted prices.
Comprehensive information on the travel industry
Corporate travel agents have faster access to travel resources than leisure travel agents and can make reservations quickly. Further information can make business trips more convenient and enjoyable.
Itinerary
There are high fees when an airline ticket has to be rescheduled, cancelled or rescheduled. Schedule changes can usually be made at no additional cost when booking through a corporate travel agent.
Viable emergency contacts
Business travellers need to be able to contact the right person when they have a problem. The corporate travel agent has the professionalism and experience to ease stress for the business traveller and the company.
What are you supposed to do when corporate travel grows?
According to Business Travel Barometer, corporate travel is experiencing an increase in growth. If it is not managed well, it can become a problem and a disadvantage to companies. CTAs and corporations must consider certain factors to travel most of their time.
Creating a travel policy
A corporate travel policy must be defined that is easily understood and can be followed by all employees. This policy should be used as a guideline to help improve business travel. This policy will ultimately reduce the cost of the whole package.
Don’t limit the freedom of travellers.
Budgeting for travel is the responsibility of the management. This helps with cost management, but it is also essential to allow the traveller some autonomy. Flexible enough to allow employees to adjust the trip to suit their needs, the policy should be flexible.
The security of the traveller should be a top concern.
Security is essential for business travellers. To ensure the integrity of employees, the company must adhere to its standards. CTAs must have reliable partners (travel insurances, airlines, hotel chains, etc. ).
Automation and mobility
Automated processes should be used to manage management platforms to save time and simplify the process. Mobile solutions should provide travel alerts, ticket reservations, search options, and travel notifications. It is easy to access and use on the move.
2016 Trends in Corporate Travel
Trends in corporate travel tend to be constantly changing. 2016 was no different. Both corporate travel agencies and travel management companies (TMCs) are focused on providing a steady, if not more vital, axis throughout the country. They focus on the MICE sector, mobile and significant data investments, and a greater focus on duty-of-care.
Rising Prices
Global suppliers agree that the buzzword is “flights, hotel rates, etc.” Rising fares are the buzzword among global suppliers. Suppliers sometimes offer discounts to encourage travellers, even if demand is declining. The buoyant world economy in 2016 has seen an increase in air fares by a few percentage points. Hotels will likely see a 4%-6% rise in average global rates, while the competition in car rental services will remain moderate.
Duty to care
Corporate risk management is a key focus. Customers of corporate customers allow new policies and better technologies to track employees’ locations in the event of an emergency. This is especially important for travellers who are travelling to foreign countries. Concur Risk Messaging, for example, helps identify travellers travelling around the globe and provides alternative travel arrangements as needed.
MICE
The corporate travel trend is growing in the meeting industry. Corporate travel agencies must align their meeting procurement methods with transient travel sourcing. Incentives trips could be one way to increase the number of meeting services.
Investing technology
Mobile-friendly technologies can help you focus more on your customers and increase value. Corporate travel agencies must invest in mobile and big data to make their platform more attractive.
After Brexit, Travel analysis
CAPA and ACTE shared their predictions about Brexit. They believe that weakening the sterling against other currencies will immediately impact the travel industry. Greeley Koch, Executive director of the Association of Corporate Travel Executives, stated that currency fluctuations will significantly impact the business travel market. Some companies may take advantage of the weaker Pound and travel more, while others might withhold business travel until the world markets reach their level.
Terrorism’s impact on corporate travellers
The rising terror threat must be taken into consideration by travel policy and administration officials. Executives and staff who travel for business purposes should be reassured by their travel insurance. Surveys of corporate travellers show that business travellers are concerned about the threat of terrorist attacks. The terrorist threat is changing business travel patterns, but it is not difficult to see how. This has a significant impact on the travel companies that provide services for business travellers. They need to increase their security awareness and reduce the risks associated with delivering services to corporate clients. Recent research shows that travel managers are more confident in addressing risk than business travellers.
Conclusion
The corporate travel industry has made steady progress, but many challenges remain. Before planning corporate trips, you need to consider the following: a rapidly changing consumer market, new business models, technology’s impact, and natural crises.
