10 ways to cut your travel budget!
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Do you have a Travel Policy? When was it last reviewed? How is it communicated and to whom? A Travel Policy can be an effective Management Tool that ensures that the company’s guidelines on travel are efficiently communicated to all concerned, so ensuring that there is optimum control over the travel budget. Too often the policy is not updated to reflect changes in the market or changing needs by the company. A Policy needs to be ‘owned’ by someone and communicated effectively from the top downwards. Preferred suppliers need to be acknowledged with an explanation as to what the collective corporate benefits are. One of the valuable services offered by Millennium is our Travel Policy Consultancy service. Experience, time and time again demonstrates to us that companies are better able to take up Millennium’s cost saving recommendations, and hence achieve greater real savings, when there is a meaningful travel policy in place.
You can afford to travel in First/Business & Premium Economy cabins with reputable airlines for a lot less than you might care to think! Here at Millennium, we have an amazing selection of discounted fares which will facilitate your travel policy and open up a window of opportunity to consider ALL classes of aircraft travel for your personnel regardless of company status. Well respected major airlines are constantly introducing promotional fares and complimentary upgrades to entice business travellers to sample their full range and in-flight benefits which would normally be out of reach due to cost prohibitive ceiling limits. Please call the Millennium Team for current offers and comparison cabin price structuring.
Most frequent travellers will have their preferences, likes and dislikes. How might this be translated into purchasing patterns? Are travellers selecting certain airlines or hotels over others for personal reasons or gain? Is this possibly at conflict with the corporate objective? A certain airline for example, by many considered the nation’s favourite, may be the first choice for many by virtue of its profile, loyalty schemes or general popularity, but there are comparable alternatives based upon service and scheduling who have slightly different products or fare structures, better suited to the company wanting to control costs. Aligning the company with suppliers selected objectively will save money.
Is the organisation of travel directed through one supplier (travel management company) or is it fragmented with employees doing their own thing? Whilst the corporate culture of certain companies is to empower budget holders to make ‘the right decision’, by allowing the purchasing process to become fragmented, many benefits may be lost. A suitably selected travel management company, working in partnership with its client, should demonstrate accountability and add value. This in turn will add benefit in the following areas: Consistency of service Consistency of price Centralised purchasing Centralised billing Streamlined processing of expenses Control through the production of Management Information Travel Policy adherence
All types of businesses need to expand their markets. This may sound a bit obvious but in order to develop your marketing opportunities, with careful strategic planning, you can organise your business trips to see potential clients in new markets of the globe, by booking well in advance of your intended travel dates. This will secure the lowest available fare options in order to minimise your initial outlay therefore enabling you to speculate and accumulate further market product awareness for your company's future growth and profitability.
Millennium through their association and membership consortia have access to consolidated airline fares and by having access to these heavily discounted fares with a significant number of well respected carriers to major global business destinations, your travel costs will be minimized without necessarily compromising on product enjoyment and comfort, thus arriving at your destination in better physical shape to actively represent and promote your company’s benefits to your customer base.
These no frills start up airlines have continued to increase their passenger market share and have enhanced their products to align themselves more closely with today’s business traveller. They have mastered the art of survival and have established a niche market for both the leisure and now ever more so the business traveller. EasyJet being a prime example by developing and expanding their European network and their fare flexibility and in flight product options with the business traveller firmly in the forefront of their marketing strategy. Our GDS booking system allows us to make your reservations in a more streamlined way. Millennium can book/manage all your low cost travel itineraries for a nominal charge thus ensuring full travel compliance and meeting the EU requirement of the Corporate Manslaughter Act which requires all corporations to actively know the whereabouts of all of your travelling employees in the event of natural disaster occurrence.
On Line booking tools can be used for a variety of reasons, but certainly one of them is to reduce processing costs / fees. Millennium Corporate Travel uses several on line booking tools and we will select the right one for you. You will still have an assigned team of consultants supporting you as it may be that not all of your travel needs can be managed this way. Whilst there may be set up costs and support charges these should be more than offset by the reduction in agent staff costs. The true savings will therefore kick in when adoption rates exceed 50% or so.
Are you paying your agent for travel services on account or by means of a charge card? With all agents increasingly obliged to manage (and reduce) their cost of sale there is a tangible cost in extending a credit facility to the client. This will have to be factored in to the agents costs. The use of a card system (Air Plus, American Express, Diners Club etc) offers a series of benefits including extended credit which obviously represents a saving. However, in addition to that Millennium Corporate Travel can usually acknowledge a reduction of costs for those clients who pay by card.
The most likely answer is “YES” . It is estimated that 70-80% of SMEs use independent travel management companies and your current annual turnover ranges from £50K to £2million. You require a personal service and attention to detail that cannot be provided by large multiple agents . Millennium works exclusively with SMEs in this niche market.