Business Travel Innovation: Where Is it?
By Greg Abbott, SVP, Travel & Hospitality at DataArt
The name of the game in 2016 is balancing business traveler satisfaction with travel policies and costs. According to BTN's Travel Happiness Index, travelers in heavily managed programs—those focused on procurement and driving compliance—were only nominally satisfied, registering a 59 on a scale of 100. Their counterparts in less managed travel programs were more satisfied. Today's business travelers desire seamless technology; booking flexibility; and mobile access to as much of their travel as possible. The problem for travel managers is that since technology hasn't kept pace with business traveler desires, travelers are "regularly jail-breaking their travel programs in search of better rates and/or more intuitive shopping and booking paths" (BTN, April 2016).
Strides have been made, no doubt, but business travel technology is far behind the leisure industry. Managed programs are in need of more than updated compliance policies to recapture corporate travelers, they are in need of the technology that allows them to offer travelers flexibility and mobility—and this is the baseline, this is playing catch up. Going above and beyond this is where innovation happens.
That said some companies are pioneering the kind of change that will make business travel more satisfying and cost effective. Here's our take on where the innovation is—and where there could be more.
Where the Business Travel Innovation Is Now
Companies that are innovating are seeing the company and the traveler have needs. These companies are creating models that merge and meet these needs. One of the few accomplishing this is Rocketrip. Their service incentivizes travelers to book wisely (i.e., to be cost conscious) by earning rewards. Their technology offers real-time budgets for business travelers to meet and encourages them to save while still providing booking flexibility.
The business travel industry is so focused right now on playing catch up that much innovation is in very specific features rather than disruptive, game-changing technology. For instance, American Express Global Business Travel has launched a feature that creates a digital travel record (combining travel and credit card data) that allows a travel manager to visualize the location of their travelers. This is especially useful in the event of an emergency in which a company needs to reach their travelers. Another progressive feature from MTT focuses on mobile communication on the "Day of Travel," with real-time flight disruption details, check-in and gate status notifications, and other capabilities that ease stress and elevate communication on travel days.
Where There's Opportunity for Innovation
Clearly, the industry is ripe for transformative technology that will not only change the way corporate travelers get from point A to point B but will also change the way they do business. A technology that integrates a business travel itinerary with the company CRM could mean that a sales person who is visiting a client in Cleveland receives a notification that, according to the CRM, he has hot leads in Pittsburgh and Buffalo. Then the system would ask if he would like to add one or both of these stops to his itinerary, saving on travel costs with one trip instead of two or three, and increasing the potential ROI of the trip.
Open booking is slowly changing managed travel programs. Many travelers are already going rogue, so the opportunity is for companies that embrace it to get a better handle on costs. Technology that supports data integration from disparate systems, specifically integration that doesn't require the employee to forward confirmation emails, can and will usher in a new phase in business travel. Creating a robust, supportive, and mobile-friendly system for open booking is the natural next evolution.
The ideal end is to build programs that work for companies and road warriors. Not only do innovative business travel technologies save companies money, but they also have the potential increase traveler satisfaction, which improves employee retention. tClara has found that 76% of business travelers want easier/faster expense reimbursement, 55% desire better trip planning, and 40% want better mobile apps for traveling. The company, which investigates trip friction for companies with travel programs, suggests modifying travel policies and addressing individual needs. Yes. However, supporting travelers also requires technology. Moreover, this technology should support traveler flexibility, autonomy, and mobility.
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DataArt is a global technology consultancy that designs, develops and supports unique software solutions, helping clients take their businesses forward. Recognized for their deep domain expertise and superior technical talent, DataArt teams create new products and modernize complex legacy systems that affect technology transformation in select industries.
DataArt has earned the trust of some of the world's leading brands and most discerning clients, including Nasdaq, S&P, United Technologies, oneworld Alliance, Ocado, artnet, Betfair, and skyscanner. Organized as a global network of technology services firms. DataArt brings together expertise of over 2,200 professionals in 20 locations in the US, Europe, and Latin America.