As we head into another new year, corporate travel buyers are, once again, facing the pressure to cut costs and maintain quality. Oh yes, it's that time again, when the Business Travel Show buyer survey flags up the pain points for buyers in the next 12 months.
Business Travel Show event director David Chapple
The
poll of 243 business travel buyers asked, “What is the biggest issue facing you over the next 12 months?” Cutting
costs reigns top of the list for the third consecutive year, followed by an
increased focus on duty of care for the second time in a row.
In
third place (up five from last year) is rising hotel rates and, more specifically, availability. Rising airfares is at number six, a drop of three
positions. Brexit – a new entry on the table in 2017 – features again in fourth
place. Enforcing compliance continues to freefall down the table, from second
place in 2016, to fifth last year and seventh for 2018. Unsurprisingly, GDPR –
which comes into force next May – features on the list for the first time in
tenth place.
It’s
not surprising to see cost cutting and duty of care as the top two challenges
facing buyers over the next 12 months, especially given the recent spate of
terrorist attacks across Europe and further afield; it’s simply not an
opportunity for buyers to ignore traveller risk anymore, it must be a priority
for them, their organisations and their partners.
Buyers
have been so vocal about the debate around hotel availability this year that it
was also not unexpected to see the issue around hotel rates rate so highly. But
I was a little surprised to see Brexit so high on the table, given that many
people feel the initial instability it caused for corporate travel was
short-lived and the after effects will remain somewhat of an unknown until
March 2019 at the earliest.
Additionally,
when asked the follow up question, “What will the biggest change in the way you
buy/manage travel in the next 12 months be?” buyers responded as follows.
1.
No
change
2.
Increased
use of technology
3.
Change
TMC
4.
Increased
online bookings
5.
Increased
compliance
6.
Brexit
7.
Pressure
to reduce costs
8.
Engage
a TMC
9.
Direct
bookings
10. Consolidate suppliers
11. Value for money
12. Find a new travel and expense tool
13. Increased focus on safety
14. Reduce travel
15. Managing with a reduced budget
The Business Travel Show is
the leading event in Europe for corporate travel professionals, taking place
21-22 February 2018 at Olympia London. Buyers can register for a free visitor
pass at www.businesstravelshow.com/register.
Buyers with a minimum annual spend of £1 million can also apply
to attend as a hosted buyer at http://www.businesstravelshow.com/hosted-buyers.
