6 key things to make your business travel cost effective
Corporate travel is on the rise as companies have started viewing business travel as a non-discretionary spend. As per FCM’s State of the Market survey, organisations have understood the importance of in-person meetings and the impact on the bottom line.
That said, inflation is also shooting up with airfares and hotel rooms prices soaring. In this view- as employees will be travelling more- travel managers will have to balance business travel cost and business traveller experience, without compromising on quality and goal of every business trip.
Here are 6 quick tips that’ll help you maximise business travel cost savings and enhance corporate travel management:
1. Tighten your travel policy
There is more to a business travel policy than mere booking and reimbursement rules. A well-rounded corporate travel management policy also accounts for well-being of business travellers, sustainability, preferred airlines and hotels, and ground transport suppliers, cancellation charges, etc. A solid travel policy sets the tone of your corporate travel programme, and it should address every aspect of business travel.
2. Review supplier agreements
When was the last time you reviewed your supplier contracts and renegotiated? To stay ahead in the ever-evolving market, it’s essential to re-look at agreements and check for validity periods of contracts, negotiate outside of peak seasons for hotels, and consolidate vendors where possible. In this view, by partnering with a global travel management company (TMC), you can access to network of suppliers across the world that can help maximise savings.
3. Monitor spends and expense management
Despite your efforts to ensure the traveller is booking within policy, some bookings can still go astray, with business travellers booking through their preferred channel or choice of supplier. Many organisations face this issue where out of policy bookings lead to higher air, hotel, and car rentals expenses. Keeping track of travel spend, average business trip cost, daily costs incurred on business travel and keeping a track of other metrics is a quick win to maximise savings and holistic business travel management.
If you’ve partnered with a TMC, they can help you with visibility—if not, we do. With FCM Platform, we provide real-time insights and detailed reports and you can monitor where your money is being spent, double-check compliance, and make informed decisions to optimise your budget.
4. Bundle up
Combining flights, hotels, and car rentals and keeping an eye on ancillary charges allows you to streamline your travel process and maximise savings. So, the next time your travellers start booking their business trips, you can ask them to book services together or make it a must-do in the company's travel policy, remember: flights + hotel + car hire = more savings, less hassle. Happy travels.
5. Use travel tech to encourage shift
By leveraging tech tools by travel management company like FCM Platform, you can guide business travellers to make informed decisions, nudging them towards options that will help your travel programme save travel costs. For instance, through online booking tool, FCM Platform informs the traveller, at the time of booking, if his/her is booking out of policy. In addition, you can also track policy compliance, time taken to book after trip approval through Power BI.
6. Seek professional help
When it comes to cost-effective travel programmes and adhering to business travel budget, it’s best to leave it to the experts in corporate travel solutions. Through a dedicated TMC, you can achieve greater results. By leveraging efficiency, expertise, and industry insights, your organisation can maximise business travel cost savings, improve travel experiences and employee satisfaction. Plus, you can offload the burden of expense management, allowing you to focus on other critical aspects of business travel. Moreover, TMCs offer negotiated rates and with global reach and local support, you can expect the best for your organisation.
In a nutshell
Just because you are travelling more doesn’t mean you need a bigger travel budget or increase business travel expenses. Contact us today and leave no stone unturned to maximise savings in corporate travel.