By Team Mystifly on Aug 30, 2017 7:56:20 PM
More than $1.2 trillion was spent globally on business travel in 2015, an amount roughly equivalent to the GDP of Australia! And this figure is only expected to reach $1.6 trillion by 2020.
Travel is the second largest controllable expense in a corporate budget. If made to choose between expansion and expense, any organization would prefer the former option. Air travel costs are exactly what are stopping you from optimizing your ROI and expanding your business. You don’t have to wait too long for a budget to initiate marketing strategies that’ll help scale up your business. And you don’t have to wait for expansion too. You can do it right now by signing up with travel management companies that use smart airfare booking systems to do their booking.
There are many other ways through which you can reduce your business air travel budget. We have made a list of a few that seemed noteworthy:
1. Book in advance
Planning an office trip well in advance can result in huge savings. Last-minute travel is sometimes unavoidable in business, but it’s always wise to avoid such situations. So, when you know that a trip is coming up and you have time on hand, book in advance. In a study last year, Concur, a travel management company found that by booking at least eight days before departure, businesses can save an average of $148 per ticket.
2. Book tickets from travel companies that have access to global content
Travel companies that do not have access to all the GDSs worldwide find it difficult to help you when you request that they do an international flight booking on your behalf. The inability to transact in multiple currencies is what turns the knife even more in the wound. As the customer base grows, without any access to global airfare content, managing the global spread locally becomes a mighty task for travel companies.
However, signing up with a global airfare consolidator like Mystifly takes care of these issues, owing to access to global content from over 600+ FSCs and 180+ LCCs in 70+ countries, all available on just one single platform - MyFareBox. This could result in a considerable cost reduction of up to 40% in air travel costs when the booking is done from such a booking platform.
3. Let reward programs chip in too.
Nearly every hotel chain and airline has a rewards program for its frequent customers, offering free stays or free flights. While it may not always be practical for large corporations to incorporate these rewards into travel costs, companies with fewer employees can use these reward programs to cut costs by hundreds, if not thousands, of dollars per year.
4. Virtual meetings might suffice wherein physical presence is not needed
Face-to-face meetings are sometimes essential, but it's easier and cheaper than ever to have a teleconference with clients or co-workers in different cities. Skype or business-centric tools like GoTo Meeting or WebEx may act as an acceptable alternative for routine check-ins. Last year, British telecommunications firm BT Group said it estimated the use of web and video-conferencing result in annual savings of £180 million ($259 million) for its company alone.
5. Chalk out the plan with your employees
Involve your employees in the air travel budget cutting exercise. Make them feel responsible for this endeavour. Together decide what the best steps are to manage costs effectively. Reward an ‘economy class flight’ instead of a ‘business class flight with a better hotel’. Your employees will be more likely to adhere to ideas that they played a part in creating.
These are just some of the many ideas on how you can reduce the air travel budget in your company. All of these do not require a lot of effort on the company's part and are easily manageable.
Have more such ideas on how to save business travel costs? Comment below and let's get discussing.