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.
[UPDATE, April 8, 2016: We published new information related to this article here.] The seller’s market in lodging continues unabated this year. U.S. occupancy is on track to hit record highs, hotel execs are rocking and rolling and business travelers are paying more. Recent data on New York City, though, raises questions. The nation’s biggest…
Personalization. It’s not just for people anymore. Lufthansa is using Amadeus technology to offer product and service add-ons to passengers based on where they work rather than who they are. The capability applies in direct and indirect channels, including travel management companies that use Amadeus or integrate using Web services. Negotiated discounts are not the…
Hotels had to reckon with Expedia before it acquired Travelocity and proposed the same for Orbitz. If it’s able to enhance its negotiating power, Expedia could reinforce the notion that online travel agencies offer lower lodging rates than traditional managed travel sources. In a Feb. 13 research note, Oppenheimer analyst Manish Hemrajani wrote that Expedia’s “Hulk-esque proportions…
A federal court in Brooklyn, N.Y. on Thursday ordered American Express to revise its merchant agreements. Provisions that bar merchants from preferring another form of payment need modification or elimination, the court found. Absent a winning appeal, the decision seems likely to hurt Amex’s competitiveness. It appears merchants such as airlines would be free to promote…
Starwood Hotels & Resorts appears poised to drop Wi-Fi fees for loyalty program members booking through its apps, websites and call centers. A similar plan at Marriott International announced last month and due to take effect Jan. 15 is upsetting many travel management professionals. This is collateral damage for Marriott, which is aiming to build traveler loyalty and better compete with online travel agencies.
[UPDATE, April 8, 2016: We published new information related to this article here.] Corporate obligations on business travel safety are taxing the already hideous hotel request for proposals process. While some companies rely on brand reputations or assume travelers won’t stay somewhere unsafe, others ask hoteliers to answer hundreds of questions about each property’s lighting,…
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