GUEST BLOG: Bags of money

As Ryanair and Virgin introduce new luggage policies, buyers must ensure these are communicated to travellers, as small changes can have a big impact on a trip, says Denise Harman, senior director of programme management, UK & Ireland, CWT

Last month Ryanair rolled out its new baggage policy that only guarantees cabin bags for priority passengers, and Virgin confirmed it will no longer allow ‘smart baggage’ anywhere on its aircraft, if batteries can’t be removed.

We’re only at the start of 2018, but already it’s obvious that travel managers will have to be faster than ever to adapt and communicate changes to airline policy than ever before. In 2017, travellers had to react to a cabin ban on laptops to and from certain destinations, and ensure their devices are charged enough to turn on and be tested.

Having a travel policy that can flex when suppliers change the rules is really important. For some companies, it could be more cost efficient to upgrade their policy to include priority boarding than to have people wait 20 minutes at baggage collection. With larger volumes of travellers a week, they could work with their TMC and suppliers to negotiate a better deal.

At the root of all this is obviously safety and efficiency – efficiency at turning round a plane for Ryanair, as lateness both hits their bottom line and annoys customers, and for Virgin, the safety of passengers with battery stability. But also communication here is key – it’s so important for travel managers to be able to relay these changes quickly to avoid any unexpected delays, cost – or at worst – missed flights.

As a weekly business traveller, I want to get off the aircraft and head straight through passport control not worrying about the baggage collection as I’ve got my wheelie with me. For my hops from Dublin to London, it makes sense to me. So, it’s a double-edged sword for frequent flyers – as more people travel with large cabin baggage to avoid the charges on checking in bags, it takes longer to load the plane and get on the runway, and that causes us and the airline a delay, which I also don’t want.

Time is money. And money is bags!

This post was written by CTW who will be exhibiting at Business Travel Show on 21-22 February 2018. Visit CWT at stand B230 and talk to our teams from across the business, who will be there to help you find more about how to effectively manage travel and expenses. You will even uncover new efficiencies through the perfect blend of data and a customised traveller experience.

WHEN IT COMES TO CUTTING COSTS: CHEAP ISN'T ALWAYS CHEERFUL

This morning, Iceland’s WOW air launched a one-way air ticket for transatlantic flights between London and Boston and Washington DC priced at just £99. No one doubts this is an amazing price. But, of course, there’s a snag. The flights all require a stopover in Reykjavík, adding between two and five hours to each leg.

Iceland's WOW air.

And just over a week ago, it was reported in the UK press that a major – although unnamed – ‘US legacy’ airline is considering introducing an ‘economy minus’ cabin that could feature even tighter gaps – just 30 inches – between passengers’ seats. If this goes ahead, it will also no doubt result in cheaper airfares. But is it also proof in point that cheap is not always cheerful?

In the business travel industry, there is undoubtedly still pressure on travel buyers to cut costs. Nearly a third of respondents in the annual Business Travel Show survey claimed their 2013 budgets were lower than in 2012 and 24pc said their airline spend would be reduced for 2014, which has led to strong demand for budget offerings.

This was reflected in the news in May when easyJet reported a 6.3pc increase in its first half-year revenue pointing to its success in the business travel market as the cause: 12 million business passengers had flown with easyJet in the 12 months to 31 March for the very first time.

In August, Ryanair also announced it was entering the business travel market with its ‘Business Plus’ ticket, which includes flexible ticketing, priority boarding and a ‘premium’ seat.

However, and this is where I think things get interesting, The Daily Telegraph polled its readers about this announcement asking, ‘Would you ever fly Ryanair for business?’ Of the 2,216 readers that responded, 28pc said yes, they would, because price is that important, but 73pc said no, comfort and service take priority.

Ryanair for business.

The reason I find this interesting is because it shows that, when it comes to the business travel industry – yes, there is pressure on travel managers to get more for their money, but they are also under pressure to keep travellers happy, and balancing both is a fine art, which means cost cannot always come first, and the likes of WOW air will always lack the wow factor in business travel.

This post was written by David Chapple, event director of the Business Travel Show. Find out more about the show at www.businesstravelshow.com. Contact David at david@businesstravelshow.com.