How to save money on business travel
‘Cheapest’ rarely equals ‘best’. This is true in life, and business travel is no exception. After all, you wouldn’t want to ask your Head of Sales to stay in the cheapest hotel in New York City, would you?
Business travel is an investment and one that can deliver incredible returns, especially if you have the right corporate deals and discounts. It’s a balancing act, but it doesn’t need to be over-complicated. Here's 5 top tips to get you started.
Optimise your costs with these steps
1. Show me the money!
Want to know the fastest way to reduce your travel costs? Start with data. When you can see what you’re spending, you make more informed decisions. Find a travel management company that can provide the data (and analysis) your business needs to make great cost-reduction decisions.
With great data, you’ll know what you’re spending on flights and hotels, and you’ll also have access to other metrics that can really make an impact on your bottom line. Find out how far in advance your travellers are booking, whether there are opportunities to consolidate trips, and who might be booking outside of policy.
2. Create a tight, but flexible, travel policy
A well-thought-out travel and expense policy helps set your company’s travel budget and it also sets clear expectations for travellers and travel bookers.
Your travel policy is not something that is written in stone either – it can adapt and evolve with the times. Good policies start with a foundation of clear objectives and some supporting data. For example, what should your travellers do if they fall ill overseas? With a crystal-clear travel policy in place, the traveller would know exactly what to do and your company has the best chance to manage costs and reduce the chance of wasted money. Your travel provider can help you craft a travel policy that's specific to your organisation.
3. Plan ahead (as best as you can)
Business travel has to be more fluid than leisure trips – you're at the behest of clients, project milestones, varying priorities, and you simply need more flexibility. However, saying that, planning can be one of the best ways to save on business travel. That means setting your policy up so your team has direction on when to book trips, and the appropriate flights for what they need.
Last-minute bookings can cost you financially, but it also costs a lot for your travellers who might feel more stress or more discomfort.
4. Review your travel spend regularly
From the data collected through your travel management company, you'll be able to understand your patterns and habits. This is powerful; you could talk to airlines or hotels about organising a specific corporate discount for you, or you might find there's small tweaks you can make that will save money. When you partner with a travel provider, your account manager/customer success manager will work with you to analyse your travel expenses and create a forward strategy.
5. Knowledge is power for corporate discounts
You might be a pro at launching a start-up or running HR…but perhaps not so much on travel. Having an expert travel consultant on speed dial is your gateway to tonnes of travel knowledge and insider contacts. They're the ones who will talk to airlines about reducing a fee, or know the best hotel options that aren't just the right price, but in the right location and have the right inclusions too. The best TMCs will listen to your company goals and needs, and then find money-savings and other efficient solutions.
Get in touch!
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