Business Travel Executive, October/November 2020

Face the Facts The Phat Data strategy you build now can be a powerful tool to deliver value when travel returns T here is no doubt that COVID 19 has taken us to places we never thought the travel industry would ever have to go It is certainly dark times for our suppliers and buyers are trying to find their way and keep their travelers safe While times are extremely tough right now there are also positive opportunities for both buyers and suppliers And Phat Data can help Buyers if you havent used these past few months to renew and refresh your travel program now is the time We say this in at least one issue of Phat Data every year and here it goes again Do you have a Phat Data strategy If not this is the perfect time to implement one A Phat Data strategy consists of getting to wisdom talking to your stakeholders and understanding their needs and objectives And these days trust me they certainly have a new outlook on travel and getting their business done Next take inventory of your current reporting and analytics then determine if it still aligns with your stakeholders needs Do a supplier time out analyze your supplier mix to see if its still right for your business Determine what technologies you have and what you need to support the delivery of your data and analytics Finally dont stop This process never ends If theres a lesson we can take from the pandemic its that business objectives change the landscape of your travelers changes and you always need to refresh and renew This is one of the best opportunities for buyers to get in front of their stakeholders and deliver an entirely new value proposition for a travel program using data A critically important area of the strategys focus is a review of the supplier base Buyers should take a deep look at their supplier agreements and start forecasting if and how they will be able to support those agreements moving forward Gloomy Forecasts A return to 2019 levels of travel is taking far longer than most of us thought when the pandemic first hit Many buyers thought we would see a couple months of not traveling but now predictions are it will be years before we see those levels again Modeling volumes that could be a drop of 50 percent or more from when you entered into your supplier agreements is going to impact the suppliers ability to continue to offer the discounts waivers favors and the like Buyers need to prepare for that now 18 Business Travel Executive askBTE com October November 2020 Additionally your programs footprint on the market is going to be smaller so you should review the ability to support the current number of suppliers The most important thing to remember is to use the data at hand to help support those supplier decisions Start by understanding who is traveling and when then analyze what that reduced spend looks like and how it impacts your suppliers And most importantly be transparent with your suppliers Another area of opportunity to review is the relationship with your travel management company Some buyers have decided to go out to bid for a new TMC whether now is the best time for that is hard to say TMCs are scrambling to figure out everything from what their service offering is going to look like to new pricing models or if they can even survive Buyers should have a seat at the virtual table with the TMC community Just deciding to add a fee for this or that isnt the answer and buyers arent going to tolerate that for long Instead of taking a short term approach buyers and TMCs should come together use the facts and data and reinvent the service model and the fee model These conversations are fed through a good Phat Data strategy because everything a buyer does within their strategy can affect the TMC The time for open dialogue and transparency is now Feel the Pain The list of opportunities for buyers in the time of this pandemic is huge but there is one that more than likely addresses every aspect of the managed travel program Pain Points Taking the time to identify the pain points within your program and analyzing how to solve them through the lens of the relevant data offers amazing possibilities for buyers Since we were just speaking of TMCs one pain point for them might be the never ending calls for copies of itineraries and By Jennifer Steinke This is one of the best opportunities for buyers to deliver an entirely new value proposition for a travel program using data PD PHAT DATA