Sourcing

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

United Preps Distribution Channels For Continuous Pricing

United Airlines is testing continuous pricing on some U.S. routes. The concept frees airlines from the traditional alphabet-based fare class structure and permits more flexibility with smaller jumps between price points. Distributing such fares through all channels is a challenge, and United is pressing ahead on direct booking for corporate accounts. It’s planning a new…

Marriott Opts Out Of Cvent’s Instant Booking For Meetings

Some say instant booking for small meeting space and associated guest rooms is poised to replace the request for proposals process in many instances. Cvent a year ago announced a partnership with Amadeus to develop this, but according to sources, some big chain hotel companies are not on board. They’re pushing such capabilities on their…

Never Universal, Dynamic Hotel Discounts Lose Appeal In Seller’s Market

That they see the lodging sector as a seller’s market right now means many corporate travel buyers are waiting until later than usual to start rate negotiations for the coming year. It also means the dynamic discount model hotels began pushing well before the pandemic — which then served as a component of the dual-rate…

Marriott Sees Progress, Seeks ‘Time And Patience’ To Get Back To Expected Service Levels

Corporate travel buyers and travelers have lost some confidence in the services and quality to expect at hotels, but Marriott International doesn’t see that making its way into contractual relationships with corporate accounts.  “It’s only come up a couple times, and we have actually tried our best not to engage in those conversations,” said Julius…

Is Dynamic Pricing Coming To Corporate Car Rental Deals?

Negotiating a discount off floating market rates is the prevailing model in airline corporate deals and a component of corporate hotel agreements. Is car rental the next sector to take this plunge with its medium-sized and larger accounts? There’s talk, but most observers don’t see that happening in the near term. “Hertz has always maintained…

Corporate-Airline Negotiating Picture Remains Cloudy, But Some Expect Tightening On Price And Shift To Experience

Many companies are uncertain about how much they will travel, but airlines and some mid- and large-market buyers are moving past the deal extensions that characterized the past two years. With planes full and fares high, it’s worth asking why airlines should offer the discounts corporate accounts are accustomed to. At the same time, there’s…

Op Ed: Norm Rose On Attacking Corporate Travel Pain Points With Web3 And Smart Contracts

Travel technology consulting veteran Norm Rose urges a push for smart contracts to improve the efficacy of negotiated corporate travel agreements. Emerging as the next generation of the internet, Web3 has a broad definition. It includes virtual reality in the metaverse, blockchain, token-based economics and decentralization of technology. For the corporate travel industry, the focus…

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