INSIGHTS

DIY vs OBT vs TMC: Your business travel booking options

fcm-hw-image-obt-vs-tmc-blog

Deciding how your company books travel is often top priority for business travel management. It determines how your colleagues will manage trips and is often the number one thing you want to convey in your travel policy.

The default position for booking and managing business trips is a do-it-yourself (DIY) approach. It's perceived to be considerably cheaper and faster. However, you might be a business that changes its plans often so needs flexible airfare options, or wants hotels that include breakfast and Wi-Fi as standard. 

Or consider the time wasted and hassle of waiting hours to talk to an airline when there's a delay or cancellation. Whether you're a growing business or an established enterprise, even the smallest savings in time and money can make a fundamental difference. And unfortunately, DIY isn't always the best fit. Let's explore how using an online booking tool (OBT) and/or travel management company (TMC) can elevate the experience. 

 

Knowing the differences

 

DIY

If your corporate travel booking process favours DIY online, it's typically with an online travel agent (OTA) or directly with airlines and hotels. We understand the perks; building your loyalty points, booking where you like, submitting expense reports after. 

But that's a lot of time spent searching the internet. And it can get sticky if plans change - what are the cancellation fees attached? How do your travellers have easy access to their itinerary; it sounds like a lot of different emails to juggle? And if you don't have a central place to store them all, how do you know traveller locations in an emergency?

 

Online Booking Tool (OBT)  

Unlike browsing multiple sites on the web, an OBT houses a variety of flight, accommodation and car rental options all in one platform. It can be customised to match your travel policy, to favour displaying your preferred vendors, and in line with how you'd like to pay. For example, if you don't want your team to have credit cards, you could centralise payment when your colleagues book trips. 

OBT bookings can be integrated with other tools such as your TMC's platform, risk providers and expense management tools to provide full visibility of your travel budget and forward trips. 

 

Travel Management Company (TMC)

A TMC builds on the OBT booking experience with:

  • World class customer support: When a trip is difficult to book online or when there's an issue while a business traveller is on a trip, you need to know humans are there to help. And not just anyone, but knowledgeable travel experts who know exactly what to do and can get you rebooked in seconds. 
  • Wrap-around technology: Your OBT is only a part of the technology available. By integrating an OBT into your TMC's wider technology platform, you can also get more detailed reports, view safety dashboards and get closer to full control of travel expenses. 
  • An account manager service: From the get-go, your TMC account manager can get you set up in a way that's personalised to your business. They'll advise the best tools for your programme, help you get a hold of your travel spending and identify potential savings. 

 

 

What to consider with your business travel booking options

 

Earn points even with your TMC

A common myth in travel is that you must book on an airline or hotel's website to earn points. But you can earn and use your loyalty programme points when booking through a TMC too. Each employees' loyalty details are stored so they don't have to be read out each time. There's even business loyalty programmes for companies that want to build up rewards centrally. 

 

Free up everyone's time 

Choosing one, or few, suppliers saves your colleagues' time searching multiple sites. Online bookings are typically managed by travellers and bookers themselves, so you need to be confident your choice is easy to use. Quick access to a travel consultant may initially sound like more time, but saves time and stress especially for a complex itinerary or emergency situation. 

 

Saving money 

While there may be a transaction fee involved using a TMC, there are still money saving opportunities in the long run. With full visibility of your business travel volume, you can source your own favourable rates with airlines, hotels and other travel providers. At FCM, you'll benefit from exclusive corporate rates we've secured on your behalf that include the business essentials. 

 

Company culture 

Companies take different approaches to their travel programmes, typically driven by company culture and nuances. Some want a digital-first approach, others still want the personal touch. Goals also vary - yes travel budget is important but some are more focused on experience and safety than others. Your corporate travel booking page and choices should match. 

 

Ease of one contact 

Imagine if your meetings and appointments suddenly changed. Rather than contacting the airline to change your flight, the hotel to amend your booking, someone else for your car rental...you can chat, email or call one travel consultant instead. They'll know everything to know about the itinerary too and what your preferences are as well, so it's quick and easy to reorganise. 

 

Your travel and expense policy 

OBTs and TMC technology is set up with your company's travel policy in mind, driving compliance. For example, they can be set to only display preferred suppliers within an approved budget. The OBT can also be configured to include an approval process. Conversely, booking travel by browsing multiple sites does not allow for much control over what is booked.

 

Personal travel services

An experienced travel consultant optimises your corporate travel by knowing your travel policy inside out, and with their industry knowledge. For example, they will buy flexible tickets based on past behaviour. A TMC will have business traveller profiles on hand and get to know each individual's personal preferences, like their favourite suite or driver. 

 

Specialised travel requirements 

OBTs are useful for simple itineraries e.g. a 2-day trip from one city to another. For more complex itineraries involving lots of places or off-grid locations, a travel consultant is invaluable to help organise. 

Did you know there's also specialist airfares for the marine sector, the oil and gas industry, the entertainment industry and for group bookings? A TMC can give you access to options with extras included. 

 

Managing multiple changes

Some businesses requires you to be agile with meeting scheduling and frequently change travel plans last minute. If that's the case, then using an online-only solution may not be the best solution for you. Managing multiple changes takes time and most OBTs are not designed to fulfil these changes without the intervention of a travel expert, which will add to the cost. With your dedicated TMC team, you know there's always that back up. 

 

Conclusion

Like most things in business travel management, determining your booking processes starts with research and data. Talk to key stakeholders, like your travellers, your finance teams, your safety department. Businesses should think about the processes already in place for things like payroll, HR and expenses; your business travel booking choices can follow suit and may even have potential for native integrations. 

Ready to learn how a leading travel management company can empower better business travel? Get in touch 

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