travelport--

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8/9/2019 Travelport-- http://slidepdf.com/reader/full/travelport- 1/4  WHITE PAPER THE ONLINE CORPORATE TRAVEL REVOLUTION The only constant is change. This is especially true in the travel industry, and the corporate market in specific. So far in 2003, the going has been tough for all players in the travel equation after an even more challenging year in 2002. General concerns about the economy have restricted corporate travel budgets, maor airlines, once industry titans, are no! reorgani"ing under bankruptcy protection. #onference calls and $eb conferences are up, business travel is do!n, travel agencies, once operating on commission and fees, no! see those profit sources shrinking. Service and support are key to the travel management value proposition, but no! more than ever, price can be the determinant factor. %veryone !ants the lo!est price & for every product & every time. 't least that(s !hat they say. %)amine !hat they mean and it turns out that !hat they !ant is value* !hich in the case of corporate travel, is the best price taking into consideration a number of other crucial and fundamental service and product factors such as+  handle their travel needs at a lo!er transaction cost and at service levels that meet or e)ceed those they enoyed in the past. Travel management companies are faced !ith an environment of nternet channel shift, reduced number of staff to manage a greater number of travel transactions, all in an environment !here vendor commissions for their services are eroding or have long since disappeared. -o! does a corporate travel management company, squee"ed on one end by bankrupt air carriers and on the other by corporations !ith comple) and e)tensive travel policies to curtail costs, manage to not only survive, but also thrive /or many, the ans!er is simple & create an “in-house” channel shift and move eligible transactions online. CHANNEL SURFING  'ccording to the latest studies, the share of business travel handled by traditional offline travel management !ill continue to erode into other channels, primarily online /igure 1. The good ne!s, is that the trend over the coming three years does not sho! significant erosion of share a!ay from the agency distribution channel. The challenge faced by travel management companies is ho! to best approach !hat is clearly a marketplace mandate to shift transactions to the corporate online channel.  personalized service  efficiency and speed in booking travel  accuracy in fares quotation  timely ticket delivery  easy to follow business process  comprehensive management reports 1y and large, travelers continue to prefer to !ork !ith full service travel management companies over other marketplace options /igure '. 's corporations solicit bids for their business, they e)pect their travel management companies to Traditional Agency 4! Online Agency "#! S$%%lier &'! Ot(er)No Re*%on*e "+! Source: PhoCusWright, arch !""# Travelers prefer the service and support of a travel management company over any other distribution option  Figure A  Figure B Source: PhoCusWright, $ctober !""#

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Page 1: Travelport--

8/9/2019 Travelport--

http://slidepdf.com/reader/full/travelport- 1/4

 

WHITE PAPER

THE ONLINE CORPORATE TRAVEL REVOLUTION

The only constant is change.  This is especially true in the travel industry, and the corporate market in

specific. So far in 2003, the going has been tough for all players in the travel equation after an even more

challenging year in 2002. General concerns about the economy have restricted corporate travel budgets,

maor airlines, once industry titans, are no! reorgani"ing under bankruptcy protection. #onference calls

and $eb conferences are up, business travel is do!n, travel agencies, once operating on commission

and fees, no! see those profit sources shrinking. Service and support are key to the travel management

value proposition, but no! more than ever, price can be the determinant factor. %veryone !ants the

lo!est price & for every product & every time. 't least that(s !hat they say. %)amine !hat they mean and

it turns out that !hat they !ant is value* !hich in the case of corporate travel, is the best price taking into

consideration a number of other crucial and fundamental service and product factors such as+

 

handle their travel needs at a lo!er transaction cost and at service levels that meet or e)ceed those they

enoyed in the past. Travel management companies are faced !ith an environment of nternet channelshift, reduced number of staff to manage a greater number of travel transactions, all in an environment

!here vendor commissions for their services are eroding or have long since disappeared.

-o! does a corporate travel management company,

squee"ed on one end by bankrupt air carriers and on the

other by corporations !ith comple) and e)tensive travel

policies to curtail costs, manage to not only survive, but

also thrive /or many, the ans!er is simple & create an

“in-house” channel shift and move eligible

transactions online.

CHANNEL SURFING 'ccording to the latest studies, the share of business

travel handled by traditional offline travel management

!ill continue to erode into other channels, primarily

online /igure 1. The good ne!s, is that the trend over

the coming three years does not sho! significant

erosion of share a!ay from the agency distribution

channel. The challenge faced by travel management

companies is ho! to best approach !hat is clearly a

marketplace mandate to shift transactions to the

corporate online channel.

 personalized service efficiency and speed in booking travel  accuracy in fares quotation timely ticket delivery  easy to follow business process comprehensive management reports

1y and large, travelers continue to prefer to !ork

!ith full service travel management companies

over other marketplace options /igure '. 's

corporations solicit bids for their business, they

e)pect their travel management companies to

Traditional

Agency

4!

Online Agency

"#!

S$%%lier 

&'!

Ot(er)No

Re*%on*e

"+!

Source: PhoCusWright, arch !""#

Travelers prefer the service and support of a

travel management company over any other

distribution option

  Figure A

  Figure B

Source: PhoCusWright, $ctober !""#

Page 2: Travelport--

8/9/2019 Travelport--

http://slidepdf.com/reader/full/travelport- 2/4

 

WHITE PAPER

THE ONLINE PANACEA,

Travel management companies and corporations !ho

have successfully integrated a corporate online booking

tool and have achieved benefit from doing so cansummari"e the key to their success in three simple

!ords & Adoption, Adoption  Adoption! The

number of 4.S. online corporate travel transactions

today is roughly 35.6 million, !ith an adoption rate of

appro)imately 378, and is e)pected to rise to 79.6

million over the ne)t three years, !ith adoption rising to

6:8 by 2009 /igure #.

The introduction of an online booking tool is not a

panacea that !ill immediately lo!er costs, improve

efficiency and enhance traveler satisfaction. /eaturesand benefits of a corporate online booking tool alone are

not compelling reasons for the maority of corporate

travelers to amend behavior. ' reliable, intuitive and

easy;use;use product is a necessary element of

effective adoption.<ey drivers of adoption include a more diverse offering of

eligible travel transactions such as international itineraries,

refunds, cancellations and ticket e)changes combined !ith

tangible cost savings that are evident to the corporation. 's

!ith any change management obective, an implementation

strategy that is cross;organi"ational, involves allstakeholders and provides for incentives for participation is

key to reali"ing a compelling return on investment. The

ultimate goal of an effective adoption strategy is to create a

culture of self sufficiency !here travelers instinctively

navigate to their booking tool !hen planning travel as

opposed to reaching for the telephone.

“Adoption rate is calculated as the

number of actual online transactions

divided by the number of transactions

eligible to be booed online” 

Source: PhoCusWright, arch !""#

  Figure  

  Figure "

The pro#ection of increased and

sustained rise in online corporate

travel transactions is tied in large

 part to enhanced functionality ofonline booing tools.

WH- TRAVELPORT,Travelport is a recogni"ed leader in providing solutions

for corporate travel management programs. $e

combine market;leading technology !ith unmatchedservice and support ; all !ith an eye to meeting your

business travel management needs ; higher adoption

and efficiency. Travelport solutions and services are

designed for easy integration and modification, so

travelers are more likely use Travelport every time they

travel. =ur customers have adoption rates of over 378,

and our leading customers have adoption rates greater

than 508. Together !ith the Galileo G>S, !e offer a

corporate online booking tool perfect for you and your

corporate customers.

Page 3: Travelport--

8/9/2019 Travelport--

http://slidepdf.com/reader/full/travelport- 3/4

 

THE TRAVELPORT SOLUTION

Starting !ith Travelport(s proprietary implementation

and development methodology, continuing though the

testing stage and the launch, the e)perts at Travelport

are ready to consult, advise and customi"e a solution

that makes sense for your travelers, your process and

your bottom line. $e ?re e)perts at adoption

strategies, !ith our most successful customer

achieving over 508@

$ey %roduct "ifferentiators

Fir*t to .ar/et 0it( 12L Str$ct$red 3ata

Tec(nology4 T(e 5ene6it o6 t(i* %lat6or. i* t(at

$%date* to t(e *o6t0are can 5e .ade 0it(o$tloading *o6t0are locally4

2ore t(an 7$*t a 5oo/ing tool8 t(e Agency

Co..$nication* Portal and Interacti9e Tra9el

2anager %ro9ide t(e 5ene6it o6 targeted and

interacti9e .ar/eting to cor%orate c$*to.er*4

Increa*e c$*to.er *ati*6action and red$ce error*

5y en*$ring all tra9eler and cor%orate data i*

acc$rate and *ync(roni:ed 0it( t(e G3S and

ot(er data5a*e *o$rce* 0it( Pro6ile 2anager4

2ore o%tion* and greater 6le;i5ility 0it(

Ad9anced Policy to a%%ly r$le* 5a*ed on t(e tri%

%$r%o*e or t(e organi:ational gro$%ing or

(ierarc(y

Sa9e ti.e and red$ce error* 0it( PNR Fini*(ing

to en*$re all 5oo/ing* contain t(e re<$i*ite

re%orting and doc$.entation 6ield* 6or .id and

5ac/ o66ice

WHITE PAPER

In addition to t(e *tandard car and (otel

5oo/ing 6$nctionality8 Tra9el%ort 6eat$re*=

&otel 'apping , allo!ing your travelers to quickly

get their bearings and effectively plan their

movements and activities in an unfamiliar city.

'eetings (ntegration to broaden your service

offering and increase revenues

#omprehensive Aeporting to ensure you and your

travelers are getting most from Travelport

W(en %o0ered 5y t(e GalileoG3S8 Tra9el%ort o66er*=

 Automated Transaction

%rocessing  to streamline process and

reduce errors.

%referred Travel ontent  

available only to Galileo customers

“)e selected Travelport above the

competition for three ey reasons.

First, because Travelport could

guarantee that *e *ould meet our

e+tremely aggressive adoption goals

*ithin the first months *e achieved a

/0 adoption rate. 1econd, because *e

needed a solution that could

immediately support our operations.

Third, because Travelport too the time

and initiative to truly understand our

business goals and *or *ith us to

meet our needs.” 

2inda Bunt 

"irector of 3lobal Travel 

1iebel 1ystems

4ur aggressive product roadmap ensures you have

access to the most valuable functionality to drive

adoption and remove costs

Page 4: Travelport--

8/9/2019 Travelport--

http://slidepdf.com/reader/full/travelport- 4/4

 

WHITE PAPER

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