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Corporate Travel Agents - Do they provide value?

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Old 26th Jul 2011, 13:27
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Corporate Travel Agents - Do they provide value?

OK, I just want your opinions regarding Corporate/Business Travel Agents, and if, in your opinion, they provide value for money or not.
Also, what are your biggest "gripes" when using them?

Please note - I am only looking for opinions on Corporate/Business Agents, NOT leisure/Holiday booking agents.

Thanks folks.
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Old 26th Jul 2011, 14:23
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Personally, I cannot see why the company I work for uses them. I can normally (90% of the time) find better deals on the Internet for both travel and hotel bookings.

I do not think they provide vfm.
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Old 26th Jul 2011, 15:21
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But how long does it take you to find a cheaper deal? How much cheaper is it?

One other major concideration is CRS (Corporate & Social Resposibility), in that if you book direct (ie not through your Company Agent), then (god forbid) something happens to your flight, would your company have a mechanism in place to know what flight/hotel/train etc you were on?
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Old 26th Jul 2011, 16:14
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The corporate agent was charging us £30 to make an airline booking - and, because we were a low volume user, requiring a credit card number for the fare. BA charge £4-50. A previous corporate agent had never heard of D class fares on BA. They also told me that you couldn't go by train from Stockholm to Copenhagen, and when told that there was a bridge, said it took 24 hours and three changes - they couldn't charge as much for booking train tickets as air tickets!

So my experience is that they aren't worth it, unless, maybe, you are big company with a lot of travel happening where they negotiate deals with airlines. They also come up with unreasonable ideas on which airports to use - again, either to maximise the commission, or in some cases, pure ignorance.
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Old 26th Jul 2011, 16:23
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Wow - £30 for a flight booking is high.

I guess its the same in any business- good agents & bad agents...

For me, it is interesting to note that "agents" are often the bad guys, when in fact, most of the time they are only "enforcing" a your own companies travel policy - ie "go for cheapest cost" - if an agent is any good, they will consider the whole end to end journey, rather than just airport to airport. Not much good offering Ryanair from Stansted if your passenger works/lives near Gatwick for example.

Again, the above does also need the "buy in" from your own companies procurement dept

Personally, I believe business travel should strike a balance between cost to the company, and the needs of the traveller.

A friend of mine has worked in both leisure and corporate travel as an agent, and when asked what the differance is, said "In leisure, you are dealing with travellers who want to travel, in corporate, you are dealing with travellers who dont"
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Old 27th Jul 2011, 00:23
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I have used travel agents some of the times; made my own bookings some other times and delegated the travel arrangements to the company's secretary yet other times.
My experiences are mixed. Best experiences were with the company secretaries who had fun arranging trips; I prefer to book simple trips myself (if it can be done in 15 minutes on the Internet...), but in more complex cases it is good to have someone who is willing to spend the 30 minutes on hold arranging things with airlines... even if it costs some $s

Biggest issue with an agent is that it requires time to explain all the requirements and preferences; things like "find the ticket that is cheapest if we have two changes in flight dates"...

I have had no complaints about the service from the agent I've used; but seen little value, considering that I can book on the Internet without paying their fee.
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Old 27th Jul 2011, 05:23
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My business travel is insufficient to warrant retaining a corporate travel agent, but the following story warned me off travel agencies in general

Early in March 2008, I was contemplating a trip from London to Columbus OH. I visited a certain travel agent in west London, told the employee there that I wanted to travel in business class, that my preferred airport of departure was Gatwick, and sat back to see what she would come up with.

She told me that "the best and preferred" routing was STN-JFK - in premium economy - a transfer to EWR and then on to CMH.

I gently reminded her of the parameters outlined above and asked her why I could not fly LGW/LHR-EWR direct thus eliminating a completely superfluous ground transfer. Again the agent told me that her routing was far better. I reiterated that I wanted to travel in business class; her riposte was that "premium economy was much better".

As reporters on the late (and unlamented) "News of the Screws" used to write, "I made my excuses and left". That particular west London travel agency was so greedy for commissions and kickbacks that it clearly had not the slightest regard for customers' requests or needs.

Travel agencies? Who needs them?

Last edited by Chuchinchow; 27th Jul 2011 at 05:35.
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Old 27th Jul 2011, 06:31
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I had a similar experience with a travel management company last year.

Having looked for an A-B-C connection (it took them 7 days to reply), they then announced that it was impossible without an overnight stay.

Within 30 seconds, I found three suitable connections on Amadeus.

It does make one wonder about the commissions.
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Old 27th Jul 2011, 06:44
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I think it is fair to say that company travel policies are produced by the people who don't travel, and regards it as a privilege. One gripe with my last employer was the use of Concur for expenses - what previously took 20 minutes then took at least an hour, and that when I was conversant with the system. But the people who introduce these systems look at saving their department time, not other departments where, for exampl, engineers were charged for at $150 an hour, but accounts people at $100 and hour.....Similalry when the travel agent wants a longer journey time.

Letting purchasing loose is even worse. Going to Sweden? Use Ryanair - it's only £30. Except if I want to go next Monday, and I want to go the north side of Stockholm, not over an hour the other side, and Stansted is an extra hour and a half away.......at $150 an hour but they don't see (or want to see) that.

But my experience of corporate travel agencies over the last 30 years is definitley not brilliant. At one time, when the company was part of Plessey, it was policy to use a certain travel agency owned by the wife of one of the directors - and they were hopeless, as well as expensive. The directors, too, in some cases.

During the volcano shutdown, Mrs Radeng was stuck in Israel. She could get to Madrid, and travel agent said,'Oh you can get on a train and go ot Caen for the ferry, but we can't issue you a ticket.' I checked - no seats on trains for 4 days, except by using multiple local services which would not have got there in time for the ferry. Agent couldn't book a car becasue Avis didn't have any at Madrid and wouldn't book Hertz because of 'company policy'. (She did rent from Hertz!)
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Old 27th Jul 2011, 12:16
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We can all sit here and reel off bad experiences. However, each post just seems to give one bad experience that doesn't demonstrate and indemic problem.

I have no affiliation to business travel agents, I once worked in a leisure agent part time whilst at uni but I do know that the business agents are normally very knowledgable and skilled in what they do. In an age where times are hard and where businesses are becoming ever shrewd in how they spend their money, the business agents appear to still be valued.

The problem on a site such as this is that we are all interested in aviation, and quite often, wider travel/transportation. Thats why we enjoy making our own travel plans, tailoring it so that we can catch the A380 etc etc but your average employee usually couldn't give a toss, let alone be asked by their employer to search for the best deals themselves. And thats where much of the misinterpretation lies. Business travel isn't just restricted to businessmen/women and executives but the wider workforce including blue collar workers. Employing someone internally to search and book travel might well be an option but probably just as, if not more, expensive than using an agency. Plus, as someone else has mentioned, agents usually add value purely for being there when things go tits up. Easyjet has also benefitted from selling through business agents, it's model once being dead set against such practice.

So yes, you might get an agent who doesn't know there is a bridge between Sweeden and Denmark and you might get the odd one who is so focused on incentive rather than requirements (the actual Agent wouldn't endorse such practice as ultimately they lost a sale regardless) but by and large I would hazard a guess that they do provide value due to the fact they are seen as providing a valuable service by the business world.
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Old 27th Jul 2011, 12:52
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Looking at the problems that both myself and Mrs radeng have had over the last 30+ years of corporate travel agents, we have had enough messed up trips. Then my colleagues. have had as much trouble..

One of them was booked to arrive at Phoenix from London on BA at 1730, and booked out on America West to San Diego at 1830. The agent said 'an hour is plenty of time for a connection'. It's a hell of a long way from the B stands at Phoenix (where BA ariives) to the A stands where the San Diego flights generally left from.....and forgetting immigration.

I had a trip to Paris. They had sent me confirmation of the flights, but when I came to check in to return, they had never booked the return - only the outward..

They booked me on a flight into CDG and a departure 45 minutes later from Orly....seemed amazed when I said it wasn't long enough as the airports are on opposite sides of Paris.

And so it goes on. Yet when I book myself, it nearly always works except for weather or tech failure - on about 30 trips a year.

The original question was 'Do they provide value for money?'

There may be some that do - the radeng household have just never come across them.
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Old 28th Jul 2011, 12:04
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Yes & no

From personal experience, if you know the route/options you want then they offer no value and just increase the cost (typically +£5 for bookings made via agents websites and +£20 if you speak to an agent on the phone). They also don't successfully pass on all your seat/journey preferences that would be embedded in a booking if you made it direct with the airline.

If ever I need to change a booking detail, request a check-in over the phone etc I always contact the airline directly and don't waste time with the agents.

I would accept that they offer some use in showing routing/comparitive price options for routes you're not familiar with however.

A frequent reason trotted out for using agents for all bookings is that companies have a corporate responsibility to ensure employees safety and to know where employees are at all times. Well, the view of everyone I've worked with and canvassed their opinion on the subject is the first place I'd go to find out where a colleague was would be a secretary, other colleagues etc - not a travel agent.

It's an established fact that airlines offer travel perks (like BA Exec Club black cards) to those who control corporate travel policy for large companies. I wonder if a similar policy operates with travel agencies?
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Old 28th Jul 2011, 12:12
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Radeng - I would concur about Concur - I hate it... I'm actually trying to do them as I write this

We now have a recommendation to use the Corporate Travel Agents online booking tool rather than speaking to an agent - which from perspective defeats the object of having a Corporate Travel Agent in some respects.

I don't know what kind of value the Company gets at the end of the day. As the end user, I find the service agents can either be helpful or useless. I travel on average 10-20 sectors a month - so for example being able to call them at 1AM (when you arrive from Tunis into Gatwick to find your flight next day to Malaga has been cancelled) is great.

On the other hand to be told my only option is to fly at 7AM to London to get a 9PM connection to India is not, particularly when I know in reality I can take a 2PM flight with another carrier to catch the same 9PM flight - its just a case of helping them along the way and explaining the do's and don'ts.

Going back to value and slightly off subject - my company issues us with a Corporate CC from CitiBank - in USD - they charge 1% commission on every foreign currency transaction - which in my case is 99% of all transactions made. If you consider I am one of 51,000 employees - they should be making some commission....
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Old 29th Jul 2011, 00:46
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I can speak of positive experiences but they were in the boom times - the second half of the 80s - so I guess there was enough money around.

I was working in the City of London for an American Merchant Bank and we had a well known American travel and charge card company with a base in the building. They were BRILLIANT. You could pop in and make sure they knew your preferences and they could do deals and, if you got stuck somewhere - you could ring any of the local branches. It worked very well.

Later, I was doing mor contract work and so tended to do it myself even before the Net changed everything. Nowadays, if they have a corporate travel agent they normally get minimal fees (or zero) and have to make it all off each booking. inevitably they can't do much. On the other hand, what is the cost of someone spending too long booking a trip than to be doing their job?

So, not relevant but it WAS good when it was good!
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Old 29th Jul 2011, 09:09
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I spent most of my working life with same multinational.
At first we used a local travel agent in the town where our business was located, they were brilliant and always got us very good deals.We were their major customer and they realised that.
We then had to use the travel agent who had the contract to provide services to the company's European arm based in London, they were expensive but if we could show them a better deal they would match it because of a clause in the contract.After a year the deal was renegotiated and the clause was removed.Fortunately i was senior enough to be able to create a fuss about the extra expense on my budget and my VP took it up. At the next renegotiation the agency lost the contract and i was advised that(because of my vigilance!!) all air travel was being transferred to corporate travel at our headquarters in the USA.
Corporate travel then moved from expensive to very expensive and my travel budget almost doubled, i complained about it and was ignored. I then instructed all the people who reported to me to get a comparable deal from our local travel agent and if it was cheaper use it.The local deal was always much cheaper often 50% of corporate.After about 6 months i was hauled up to the London office and told that if i didn't conform to corporate travel policy i would be disciplined.My proof that my way was much cheaper was ignored and as i didn't understand the big picture i was wrong. I was told that the company received a commission from the agency used by corporate every six month's depending upon the amount spent. I then tried to get a credit to my budget for my share of the commission. I never did get it and i could never find out how much commission was paid although i was told,on the quiet, that it was nowhere near the amount i could save.
In short using corporate travel is expensive but they can be a powerful organisation in the company!
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Old 29th Jul 2011, 12:07
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Ah yes - it's who you know! 1DC, that is a MOST instructive post, Thank You. Sounds like the kind of deal that was struck on the golf course?! There are many possible explanations but some of the usual ones are:
  • Old school chum who needs the biz
  • Paying back of favours
  • Generating favours for the future
  • Free holiday travel in F for the Chairman/CEO/CFO and their families
  • Someone owns shares in the travel company
  • Someone part owns the travel company
  • Someone's wife owns the travel company
  • etc.
Cynical? I wasn't born this way but living amongst humans has made me so.
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Old 29th Jul 2011, 14:24
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Cynical, Us Paxboy!!
Sometimes our Senior Senior Management were totally out of touch with reality. I remember the markets going south so quickly the Pres. and CEO made an executive decision that the entire company would save 10% of the years budget, even though it was already June. The situation was so serious that he would personally visit the major business centres to make sure we understood. The great day arrived and the company jet turned up at our local airport, the Pres./CEO got off followed by his wife and daughter(she was travelling because she had just gone through a divorce and they were trying to take her mind off it). It cost us about £1K to entertain his family for the day, in the manner to which they were accustomed.
He left thinking he had done a good job and we were left to try and persuade guys that the company was struggling and we had to cut the budgets, they thought it was BS otherwise the Pres. would have been trying to save money as well.
Mind you the corporate travel policy probably arranged for his wife and daughters costs to be lost somewhere!!
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Old 29th Jul 2011, 15:09
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GroundedSLF,

Very quick and easy to find a better, even if it isn't the best, deal available.

For flights go to such a site as Cheap Flights | Search & Compare Flight Offers - Fly.com , select a route and dates then click then, as applicable, make purchase.

Next, select another couple of routes and if it is the same vendor that consistently offers the best deal on these different routes/dates then I shall be VERY surprised thus defeating any object of appointing a sole corporate travel agent.

Now how long did that take you to enter two airport codes, two dates, and click 'go' for a better deal, less than a minute?

There is also one hotel site that springs to mind, for price comparison purposes, but I/we shouldn't really be commercially advertising here.
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Old 29th Jul 2011, 16:17
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My company just over 12 months ago decided to save my time in booking flights, hotels etc to engage a corporate travel agent. We spoke to a few and eventually settled on one that 'understood' our requirements and could get us the best deal around.

My first problem was on the very first booking where they had ignored my requirement to depart from a Northern airport and offered me LHR or LGW ( I did not preclude transferring via these airports just wanted to start the journey in the North not drive to London). I politely corrected them and they came up with the most ludicrous routings. I therefore worked out my own itinerary and asked them to price it, which they did and quoted £300 over the prices I had seen when sorting my own routing. When this was pointed out they remarkably noticed an error and the price came down.

Since then we have had a catalogue of errors culminating in me standing in the Business terminal at Dubai debating with an agent over whether I was booked on a flight or not, unfortunately the 24 hour helpline wasn't being answered at the time. Eventually I padi £200 for a flight change which was refunded when I returned because of a 'booking' error.

So now I give them the flights I feel will be best suited for my requirements and offer them the opportunity to suggest alternatives, all of which defeats the object so the my directors have now agreed that rather than saving time usung a corporate agent costs time so we are going back to booking ourslves.
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Old 29th Jul 2011, 18:52
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Speaking from the point of view of a humble employee Ive never understood the point of a corporate travel agent.

I have to travel for business to the Middle East several times per year as well as the odd trip to continental Europe and the USA.

Ive found that it is easier just to go to ebookers or similar, find the flight that you want and then tell the agency to book it. Often the deals found on the internet are cheaper e.g. I had to fly from BHX to Brussels. The corporate travel company quoted £200 more than ebookers for the same return flight.

Im not saying they are incompetent but I am struggling in my particular case to work out what value they actually add.
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