Corporate travel agents: Why businesses use them
As businesses grapple with challenges* such as rising travel costs, limited travel budgets, and travel disruptions, understanding the value of partnering with a corporate travel agent could be your game-changer.
*Global Business Travel Association - GBTA, 31 Jan. 2024
This guide includes:
- What do travel agents do?
- Skills to look for in an agent
- Use a TMC or hire in-house?
- The benefits of travel agent help
- Which businesses need agents?
- Signs you could use an agent
- How Aletek improved its travel program with an agent
- Identifying the right agent
- Downloadable checklist
- Other success stories
Let’s say your team’s next big meeting is in another city, and you’re stuck figuring out flights, hotels, and transportation. The clock is ticking, stress levels are rising, and you’re wishing there was a better solution. Should you DIY, hire an individual agent, or partner with a Travel Management Company (TMC)?
In today’s dynamic business landscape, efficient travel management is crucial. Whether it’s sealing deals or attending crucial meetings, seamless travel can make all the difference - especially in SMEs.
Managing travel in-house might seem cost-effective, but this DIY approach is often exhausting. It means juggling multiple bookings, dealing with disruptions on your own, and often missing out on exclusive deals that a corporate travel agent can secure. It’s like trying to bake a cake without a recipe - it’s doable, but way more risky and stressful than necessary.
In this guide, we’ll explore why hiring a corporate travel agency is a game-changer, how they can simplify your travel woes, and the benefits you can expect when you partner with the right TMC.
Understanding corporate travel agents
Imagine having a sidekick who knows all the ins and outs of business travel. That's your corporate travel agent. They handle everything from booking flights and hotels to managing travel disruptions, all while tailoring the experience to your company’s unique needs.
With the right skills, travel agents have the power to turn a confusing, frustrating travel program into a well-oiled machine. But what are the right skills?
Key skills of a good corporate travel agent
1 - Negotiation and Industry Expertise
The ability to negotiate exclusive deals for your bookers while accounting for industry-specific travel needs is essential to your travel flexibility and to protecting your budget.
2 - Crisis Management
Disruptions are going to happen, no matter how hard you plan. Having an agent that can assist 24/7 is extremely important, so that travellers are always supported on the road - no matter where they are in the world.
3 - Compliance and Policy Knowledge
Staying within your travel policy is vital to staying within your budget. You need an agent who can help you customise your travel policy to meet all your business’s needs and close spending leaks.
4 - Client and Customer Satisfaction
No one wants to be treated like a number. Find an agency that knows you and your team, including your preferences, policies, and travel plans. Forget the call centres and chatbots, and get real human support.
In-house agent vs. travel management company (TMC)
An in-house corporate travel agent works independently, offering personalised services to their clients. They might manage bookings, find deals, and provide direct support. They bring a hands-on, customised approach to travel planning, perfect for smaller companies or those with less complicated travel needs.
On the other hand, a Travel Management Company (TMC) like Corporate Traveller goes beyond individualized service by offering a broader range of services. A TMC combines the expertise of its internal travel agents and leverages advanced technology to manage complex business travel needs efficiently. TMCs provide comprehensive travel solutions, including 24/7 support, detailed reporting, and travel policy compliance.
For businesses with extensive travel requirements, a TMC can feel like a superhero - ready to tackle any travel challenge with ease.
Benefits of partnering with a corporate travel agent
Alright, let's get to the good stuff! Why should you consider partnering with a corporate travel agent, particularly one from an established agency or TMC? Because they’re the secret ingredient to better business trips.
Choosing a corporate travel agent within a robust agency or TMC network opens the door to an array of services, support, and expertise that outmatch what a lone agent can provide on their own.
This partnership can be your passport to effortless, worry-free business journeys. Enjoy benefits like:
Who needs a corporate travel agent?
Small Businesses & Startups
Construction companies, sales teams, consultants, and mining or marine-based industries are just a few examples of small businesses that need complex or frequent travel needs could benefit from an agent to manage itineraries and costs.
Mid-Sized Companies
Businesses offering professional services in technology industries, logistics companies, and regional construction require cost-effective travel solutions, which are flexible enough to manage emergency disruptions and last-minute bookings.
Large Enterprises
Enterprise travel that can benefit from a travel agent is less industry-specific and more focused on whether you’re supporting large numbers of employees or high annual travel spend, and juggling several complex multi-part itineraries simultaneously at any given time.
Signs you may benefit from a corporate travel agent:
Why should you hire a travel agent? Ask yourself these 4 questions:
- Is your travel program consuming too much of your internal resources?
- Is your travel budget spiraling out of control, despite your best efforts?
- Is managing travel disruptions overwhelming for your team?
- Are you missing analytic visibility, because you don’t have the resources to manage and track everything effectively?
Here are a few other telltale signs you could use some travel agent help:
- Number of employees: If your company has 50+ employees, especially with 20 to 500 frequent travellers, it’s time to consider a business travel agent. Coordinating travel for a large team can be a logistical nightmare alone.
- Travel spend: Companies with a travel spend above $50k annually benefit immensely from a corporate travel agent. They can help you get the most bang for your buck, optimising the impact of every dollar spent.
- Travel destinations: Are your employees jetting off to exotic or remote locations? Certain destinations require expertise. An experienced corporate travel agent has the knowledge and connections to navigate these tricky travel routes.
- Industry: Some industries have specific needs when it comes to business travel. For example, sports teams, marine workers, oil & gas engineers, and entertainment professionals often have unique travel requirements. Corporate travel agents understand these nuances and can provide personalised travel solutions.
Consider how partnering with Corporate Traveler transformed Aletek’s travel program
As a key player in mechanical engineering known for its robust exhaust systems and thermal solutions, Aletek frequently visits industries from mining to rail. Their scattered travel bookings were missing savings and dragging out account reconciliations. Using our booking tool Aletek was able to start securing the best deals and tracking travel spend like a hawk.
The result? A massive seven weeks of accounting time saved annually, putting $14,800 back in their pocket. By partnering with Corporate Traveller, Aletek now enjoys crystal-clear visibility and control, all through one seamless platform. It’s a perfect example of how you can turn travel chaos into cost-saving mastery.
Whether you're a small company with growing travel needs or a large organisation with complex travel demands, the purpose of a corporate travel agency is to simplify and enhance your business travel experience.
Finding the right corporate travel agent for your business
Alright, so you’ve decided you need a corporate travel agent. But how do you choose the right one? Stepping into a corporate travel partnership is like starting a new journey. You’ll want a co-pilot with the right experience, a proven track record, and a suite of services tailored to your destination.
Key factors to consider
First, you need to evaluate your options. Here are the key factors to consider:
- Experience: Look for an agency with a proven track record. How long have they been in the business? You want seasoned pros, who know the ins and outs of corporate travel management - not a rookie trying to find their footing.
- Reputation: Check out reviews, testimonials, and case studies. What do other clients say about them? A stellar reputation is like a Michelin star, earned through consistent excellence.
- Services offered: What can they do for you? Make sure they offer a full suite of services that meet your business travel needs. You need more than just bookings - think support, tracking, reporting, and personalised service.
Questions to ask potential agents
You need to ask the right questions to see if they’re a good match. Before you sign on the dotted line, ask these questions:
- Experience: How long have you been managing corporate travel?
- Specialisation: What experience do you have with companies in our industry?
- Support: What kind of support do you offer? Is it 24/7? How do you handle travel disruptions and emergencies?
- Technology: What travel management technology do you use?
- Customisation: How can you customise your services to meet our specific needs?
- Cost Savings: How can you help us save on travel costs? Can you provide examples of cost savings you’ve achieved for other clients?
Find the right support for your business travel
Looking for more than bookings? Get business travel support built around your business.
Get the checklist
Grab our ‘Essential Questions to Ask Your TMC’ worksheet now to make sure you're asking all the right questions.
From hidden fees to service quality, this checklist helps you dig deeper and make sure your corporate travel agency can actually deliver.
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FAQs
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What is a corporate travel agent?
A corporate travel agent is a professional who manages business travel for companies, including booking flights, hotels, transportation, and handling travel disruptions. They help streamline travel management, ensure compliance with company travel policies, and optimise travel budgets.
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What is the difference between a corporate travel agent and a travel management company (TMC)?
A corporate travel agent may work independently or within a small agency, providing personalised travel support. A travel management company (TMC) offers a broader range of services, including technology-enabled booking platforms, travel analytics, 24/7 support, policy compliance, and risk management.
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How can a corporate travel agent save my business money?
Corporate travel agents have industry contacts and access to exclusive corporate rates. They also help avoid unnecessary costs by ensuring compliance with company travel policies and optimising itineraries to reduce inefficiencies, cancellations, and last-minute booking fees.
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What are the main benefits of using a corporate travel agent?
- Cost savings: Access to exclusive rates, discounts, and efficient itinerary planning.
- Time efficiency: Agents handle all bookings and logistics so your team can focus on core work.
- Expertise: Agents provide insider tips and destination knowledge.
- Support: 24/7 assistance for travel disruptions or last-minute changes.
- Technology: Tools for tracking spend, reporting, compliance, and traveller safety.
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How can I measure the impact of hiring a corporate travel agent?
The impact can be measured by:
- Reduced travel spend and increased cost efficiency.
- Time saved on booking and travel management.
- Fewer travel disruptions and quicker issue resolution.
- Improved compliance with travel policies and reporting.