There is a current move to demonize the corporate travel, catalog of waste at a time when cost reduction is especially important. Occupy the front pages of newspapers such as the cases of executives in Detroit to fly to Washington on private jets to request assistance from the Government.
The truth is that companies need to travel in the day to day business, and though some technologies like videoconferencing can help to do some traveling, they are still vital for most companies.
Now more than ever it is to maintain maximum productivity and maximize profitability of the voyage. The hotel companies are trying to increase profitability by offering products such as wireless, Express check-in, etc.. that succeed in increasing the productivity of the same. Travel agents have a very wide field of action to help increase the profitability of travel: getting to our customers the best price.
We discuss a lot about travel policies, rates and how to use to executives involved in the generation of savings. The reality is that when these executives traveling to particularly within the Internet and hire flights much cheaper than when they do the business, then save, and much is possible. You just need to be motivated to adopt certain habits and, as far as possible.
Our experience, as well as comments and suggestions from our customers has helped us develop this decalogue: 10 rules that can generate substantial savings and maintain a business with 30 or 40% of cost savings:
1) Use the cheapest rates on the Internet. The same seat on a flight to London can cost between 50 and 1,000 euros. Can complement an economy fare with a cancellation insurance all-risk “for a minimum amount, you could not travel for any reason. If, however, reserve tickets “just in case,” without clear dates, tickets will have to search very flexible closer to the 1,000 euros the previous example. The use of cheaper fares profitable, even though you would lose some seats.
2) Book in advance. This point is closely related to the previous paragraph, because if you wait to the last day is very possible that rates no longer exist and have to pay 100% more than they could pay 10 days before booking. Although in many cases this is not possible, but many companies try to create awareness among passengers about the importance of this planning in their travels, and in fact introduce these parameters in its travel policy so that employees are measured at depending on their compliance. A good measure is to obtain lists of advance purchases in half and distribute it to employees, so that each passenger is seen as contributing or how much you need to get closer to the average of the company.
3) take advantage of the “visual guilt” or “guilt factor” that offers online. In an online travel agency is all the rates of all companies in a single screen. For an employee generates a rejection rate face a choice to go in a particular airline on the same screen where it shows an alternative to 80% cheaper.
4) Adapt the reunion as much as possible at the best prices. If you find a very cheap rate to be in for 10 in the morning, made a commitment to be at 9 in the morning can mean having to pay double for their ticket. If you find a good fare, book your ticket and close the meeting and then buy the ticket. There are even features in the websites that offer information on the cheapest days to travel within a week or a month. If the dealer can visit Malaga on Thursday instead of Friday and save 30% of the ticket, why not? Many SMEs have already taken into account in these considerations.
5) Do not stick to one airline. The best websites on the Internet offer objectively combinations for all airlines that the final price is the lowest. Go back one and another can give good savings, since it offers the best advantage of all the companies. There is much talk about low-cost airlines, but we are constantly seeing offers of scheduled airlines beating the price of any company “low cost”, ¡leverage too!
6) Clearly define the objectives of the meetings. It is not about doing less meetings, but to assist people to meet the objectives. In incentive trips, the U.S. Travel Association recommends no more than 10% of executives from the sponsoring firm.
7) Find the best hotel deals online. Even if you already have negotiated rates, in some instances it may be desirable to take advantage of the hotel chain that offers published on the Internet, both in their own webs and in the agencies on-line. Another good option is to exploit the advantages in price by booking flight + hotel.
To distribute among employees reporting average costs in the main routes. All those who are consistently above try to download them to suit your company has that.
9) To reward and encourage savings among employees. An economic incentive in the savings generated can reduce travel costs to a large extent and traveler awareness on the adoption of necessary measures discussed above (book in advance, among all airlines seeking, adapting the meetings, etc.).. It is also very effective “example” that a CFO can give travelers a “low cost” to London
10) Trying to benefit from special rates that the airlines on the market on weekends. The airlines own websites and online agencies are best tend to show these options. Many SMEs already know and are connected to the Internet on Sunday to book flights a week.
Today everyone recognizes that the Internet will generate the best savings, because the solution is used mostly for travel and the search for particular flights. They are businesses, not just small firms, still less take advantage of these benefits.
Certainly there are two issues closely related to all travel management within companies and must be assessed together with the potential savings from the Internet: a) the administrative tasks and b) control of expenditure.
You can appreciate the first point with the following example: Suppose a company spent 200,000 euros a year in travel. The option to use Internet for their travel along some of the rules above can give you more than € 50,000 of savings, and should only be responsible for managing 50 individual invoices per month (slightly less than one days work per month).
Regarding control spending on travel, there are many alternatives that are already implementing many companies. It may be one person per department in charge of booking the same. Another possibility is that each passenger individually online booking and may be an officer of the company to receive a copy of the purchases made to control expenditure at the time that occurs (50 mails per month in the previous example).
At the time of the current economic slowdown, there are solutions to maintain the substantial savings achieved
