Conventional wisdom suggests that technology makes service impersonal — however, the right technology can lead to the exact opposite.
The latest technology is paving the way for TMCs to deliver a truly personalised service for business travel buyers, which is driving an evolution in booking travel.
The consumer retail sector has used technology to create appealing online purchasing platforms, because their business model depends on them making it easy for people to purchase. Amazon, for instance, isn't always the cheapest place to buy, but it's often the most popular choice because of its ease of use.
Businesses should be asking more of their TMCs and demanding that they provide slick interfaces, personalised recommendations and straightforward booking processes, what you'd expect in the consumer sector, be the standard, rather than the exception. That's because ultimately, these interfaces will help you keep down your travel costs and increase policy adherence.
That's because traditionally, decisions to hire a TMC are made on a corporate-wide basis, typically by procurement - which means to date, most TMCs have focused on their requirements rather than those of the individual booker.
That's led to bookers being provided with clunky, unfriendly B2B-style interfaces that are unpleasant to use because individual user demands simply haven't figured on the agenda. This causes 'leakage' where travellers use their own tools, often consumer ones, in place of those provided by the TMC. This then defeats the major reason for hiring a TMC in the first place, because policy becomes harder to enforce, while costs go uncontrolled and unmeasured.
Better technology enables systems to be tailored more effectively to suit individuals — increasing policy compliance and making for happier travellers. A more consumer-style interface delivers a better experience for users, which in turn will deliver a better response for the business.
Connecting travellers, cutting costs
The 'front of house' element of technology, the booking system, is only part of the picture. The real revolution is taking place under the bonnet. The introduction of IATA's New Distribution Capability (NDC) is a technological change in the industry that's also driving a personal one.
NDC enables TMCs that have an integration in place, to share 'richer content' with users. In short, it means those booking travel have a wider range of options and get a much clearer idea of exactly what they are buying. It also allows them to customise the booking and easily add or remove ancillary products, which provides major cost-saving opportunities for businesses because it allows the booker to select exactly the type of fare, seating and products they require.
There is now a generation of workers who actively prefer being able to manage all aspects of their lives online. In 2018, employees shouldn't have to spend additional time on the phone to make minor additions to their booking that should be possible at the time of booking online. TMCs that can quickly add new NDC content from airlines can ensure that these travellers can do all of these things online as soon as possible. In short, TMCs should be earning their keep by making it as straightforward as possible to personalise flight bookings.
Evolving expertise
Traditionally, a TMC would earn your business by providing a team of people to handle making bookings and alterations. In short, you paid your fee so that someone, somewhere else, could click a mouse. However, once you introduce your travellers to a booking tool with a consumer look and feel where they can make all their bookings on a mobile, many will want to make their bookings themselves. It's hardly a leap of logic to see that the days of TMCs making money from teams of 'clickers' and agents are numbered.
That's an exciting opportunity for the travel buyer, because it means the next generation of TMC is evolving to become a true support service, rather than an administrative one and buyers should demand expertise for their fees not simply admin.
B2B deliverables, B2C service
With an attractive booking platform that prevents leakage, the next generation of TMC will be able to get a real insight into your business's travel requirements and behaviours by capturing all data related to your travel bookings. Meanwhile, the administrative functionality of managing bookings can be done by the bookers themselves, all while directly connecting to suppliers to get precisely tailored options for travellers.
This data collection, together with an elimination of administration functions, means a TMC can provide you with far greater value. By turning its resources to analysing the data and using the expertise of its people to ultimately save you money on business travel, you get a clear, measurable return on investment — the comparison between what you spent on fees, against the savings you've made on travel costs as a result.
That's what you should be paying for, and that's what TMCs should be providing — management of your travel programme, rather than administration. Again, it's not a case of faceless technology removing the human element. Rather, it's using technology to better monitor, measure and evaluate what people need, allowing a more tailored, personalised travel programme that truly saves money.
In short, pay your TMC for providing B2B deliverables, with a B2C service. The TMCs that are best placed to support businesses in the future will be those that have moved away from charging you for a person to make bookings and developing faceless policies. The future is the TMC that takes your policy, combines it with technology, and saves you money, all by helping you engage your people.