TMC-Corporate Ties Need Service + Technology

Is value-added service or technological enhancement the key to strengthening the professional relationship between travel management companies (TMCs) and their corporate clients?

According to several leading agency executives interviewed by Travel Market Report at the recent National Business Travel Association Convention & Exposition in Houston, the answer to that question is not an either/or proposition. Here are some of their insights:

• “As the industry evolves, clients are seeking more consultative services from their TMCs, not just order taking,” said Pat Fragale, president of Directravel. “They look to their TMC as an expert to guide them in travel-policy development and provide value-added services to enhance their existing travel programs. They want benchmarking and reports that allow them to drill down and ‘slice and dice’ the data so that they can make informed decisions about their travel budget. In addition, they are looking for the TMC to take the lead by providing negotiating assistance and utilizing their expertise to ensure the client is maximizing savings opportunities from all travel vendors.”

• “Our greatest opportunity is in our service provision, it is to provide exceptional personalized service, which leaves the travelers — and their companies — in no doubt of the value that we add,” said Mary Ann Harvey, vice president of operations with Americas for Wings Corporate Travel. “We are always going to have the challenge of being compared to the Internet, so we need to ensure that clients truly understand the full value proposition with TMCs. This value is part of a total cost of ownership that addresses assisting with financial controls, safety and efficiency, and policy-adherence, all supported with the most up-to-date technology solutions possible.”

• “Opportunities vary widely from company to company, since every corporation has its unique business objectives and culture. That said, we think emerging technologies offer great opportunities to corporate travel programs, “ said Kathy Bedell, senior vice president at BCD Travel. BCD “is working to help clients use new technologies, including mobile applications, to influence the decisions of individual travelers to align with travel-program objectives. For example, when arriving at a particular airport, a traveler could receive a text message instructing them which train to take in order to avoid a taxi fare.”

• “Mobile application is the key for the future as everything we do will be based on a Smartphone — including payment of services,” said Roger Gould, a senior executive with Travel Leaders.

•  “Mobile applications for managing and purchasing travel, combining different sources of information in just one application,” are the wave of the future, according to Mark van Iersel, executive director of marketing and partner recruitment for GlobalStar Travel Management. “This is already happening today, but we are just beginning.” Given “the immense opportunities with mobile devises, I definitely think this will change the way companies buy and manage their travel,” resulting in more control over traveler activities and bringing greater efficiencies into the whole travel-management process. “It will improve travelers’ awareness of travel policies, and it will increase traveler satisfaction by having all information consolidated into just one device.”