Complexity In Ground Transport Gives Rise To Outsourced Management

Longtime ground transportation tech integrator Groundspan recently created a side business out of helping clients source suppliers and keep them honest. It's no wonder there may be a need; the ground transport category is more complicated than ever. Pricing, alone, makes buyers dizzy.

Speakers during a panel discussion at the Global Business Travel Association convention in August attempted to educate attendees about the predominant pricing models for chauffeured car services. These are flat rates, driven distance, driven distance plus time, shortest distance, dynamic rates, total . . .

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Jay Campbell

Author: Jay Campbell

Jay Campbell in 2004 created travel business newsletter The Beat, in 2006 co-founded Travel Procurement magazine and in 2010 integrated them with Business Travel News. He served as editorial director until 2013. Jay made his travel industry media debut in 1993 at the Air Travel Journal of Boston while earning his undergraduate degree in journalism at Boston University.

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Gaurav Sundaram
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Gaurav Sundaram

Ground transportation is one of the most opaque components of the business travel lifecycle. The advent of Uber, Lyft and Ola has meant that these traditional players have been forced to wake up and be more transparent. However, as is apparent from the article above, the different pricing structures are designed to complicate and confuse the buyer. Further I question the desire of these operators to now offer a global platform with attendant integration. Any such initiative will most certainly include a significant mark up on the net prices of the local vendors. However, given the extreme variations in the… Read more »