In corporate travel, sourcing is all about negotiating deals with airlines, hotels, car rental companies and other suppliers. Of course, organizations want to get the best value, but travel procurement is about more than price. It’s also about using data to monitor performance on both sides, working with intermediaries, building deeper relationships and exploring new technologies that improve processes.

Some examples
Extending or renegotiating contracts
• Assessing marketshare and volumes
• Hotel RFPs, rates, LRA and security
Political and social considerations
Working with intermediaries

Southwest Claims Domestic Corporate Share Gain Based On ARC Data

Southwest Airlines finished last year with roughly 12 percent of U.S. domestic managed corporate travel bookings, based on its analysis of ARC data, up from zero four years earlier. The jump resulted from a combination of market and Southwest-specific developments. Measured by passengers, the dataset encompassed global distribution system bookings through a few dozen of…

What Matters When Choosing A Corporate Travel Consultant

Consulting services for corporate travel program management are popping up everywhere. Even suppliers like Delta Air Lines and Mastercard are ready to help. Incumbents include special divisions of travel management companies, individuals, boutique firms and some of the world’s largest consultancies. How does an organization choose? Primarily, it’s about how well the consultant’s subject matter…

Dispatch 9

Reaction: Responding to Scott Gillespie’s Op Ed on how today’s corporate travel market demands “long-sighted travel policies” prioritizing value and sustainability over traditional cost-cutting, readers generally agreed with the need for change. Microsoft’s Eric Bailey echoed the goal of reducing emissions and minimizing low-value trips but suggested different methods. He recommended carbon taxes and budget…

With Rates Rising, Buyers Turn To Group Purchasing Organizations For Car Rental

BCD Travel is forecasting car rental market price increases of between 5 percent and 7 percent this year. According to travel buyers, joining a group purchasing organization is one effective way to mitigate rate hikes.  GPOs leverage the combined spending of members to extract favorable pricing from vendors, ranging from office supplies and furniture providers…

Op Ed: Bryan Holmes On Next-Gen Corporate Travel Service Level Agreements And KPIs

Consultant Bryan Holmes dissects the components of thoughtful service level agreements in corporate travel management company relationships. Imagine you are a doctor faced with a patient exhibiting puzzling symptoms and debilitating pain. In this critical moment, where effective decision-making is key to relief, you would turn to a blend of clinical evaluation (gathering symptoms) and…

United, AA Take Different Paths In Jettisoning Aging Small Business Programs

Thanks to apparently contradictory messaging from American Airlines, some travel managers said they were confused about how the line between airline small business programs and larger corporate discounts was blurring. Changes are underway at both American and United. AA stopped points accrual for the Business Extra program last month and encouraged enrollees to switch to…

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