Corporate booking tools (CBTs) have been rapidly growing for several of factors with cash benefits being the most relevant of them. CBTs certainly have lots of strong points, but they also have a few disadvantages.
Corporate booking tool strengths
The use of CBT outcomes on direct benefits since booking autonomy reduces agencies’ travel management amount of work allowing them to reduce the TMC fees.
The adopting of such alternatives outcomes on oblique benefits too. The access to self-booking resources increase the time in advance the booking is created which allows tourists to take advantage of lower fares/rates.
Additional benefits can be accomplished by setting corporate travel policies make certain its conformity. Corporate booking solutions provide travel strategy conformity reviews during the all the reservation process, leading tourists or travel managers to choose cheaper choices or choices more arranged with its company interest like driving them to reserve with a preferred source.
Even with travel policy compliance reviews during the booking, approvers’ permission may be a requirement. Travel read write are assisted when working with a CBT, since notices and trip policy compliance reviews is provided to the approvers to help them screen the trip reserved and guarantee a fast approval work-flow.
Business travel reporting is another appealing component of corporate booking tools since it is important continue companies’ quest to reduce travel expenses. It can be used to help organizations to study employees’ bookings and detect trends. This information is crucial not only to correct employees’ booking behavior but also to spot potential vendor partnerships.
The goal is ultimately to save the organization cash and to make sure all corporate tourists are booking their visits according to the company’s travel policy.
Corporate booking tool weaknesses
Corporate booking tools aren’t a checkpoint to all business travel related alternatives so there are still several of alternatives corporate tourists need to reserve and use that CBTs don’t provide. This decentralization requires tourists to use different alternatives to strategy their real business journey and turns it harder for organizations to reduce the full journey price and improve employees’ travel plan.
Corporate bookings tools business structure is not arranged with travel organizations business structure. Travel organizations revenue generation is based on tickets released while corporate booking tools usually charge a price per reservation, this disconnection between the two business models has avoided many travel organizations from offering a CBT to their customers. CBTs usually have also execution expenses which are a hurdle to travel agency adopting due to the wind turbine involved.
Other part that makes travel organizations wonder about its adopting is that Corporate Booking Tools have been known for being complex to create, demanding specialized groups to manage the device which means human resources expenses have also to be taken in consideration in the CBT equation.
These are factors why CBTs are usually only used by big corporate customers. With these expenses in mind, from the perspective of journey agent, offer of a CBT to SMEs customers would hardly have an interesting financial commitment return.