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INSIGHTS DECK

BRINGING
SATISFACTION
BACK TO
BUSINESS
TRAVEL
HOW TECHNOLOGY DISRUPTION
AND A FOCUS ON TRAVELER
SATISFACTION ARE SHIFTING PRIORITIES

Sponsored by

Bringing Satisfaction Back to Business Travel Skift Report 2017 1


Bringing Satisfaction
Back to Business Travel
How technology disruption and a focus on traveler satisfaction are shifting priorities

There’s a growing focus on the importance of business traveler satisfaction


and its impact on employee productivity and retention in today’s corporate
travel industry.

Corporate travel managers and their procurement departments have


typically prioritized travel expense before everything else, but the concern
around wear and tear, or “friction” on the frequent business traveler has
grown over the last few years as it’s become increasingly clear that this
can cost companies in the long run. This report examines the value and
advantages of bringing humanity back to corporate travel.

Bringing Satisfaction Back to Business Travel Skift Report 2017 2


Table of
Contents

For this project, we looked at five areas top of mind for travel MASTHEAD

managers worldwide: Senior Editor / Greg Oates


Branded Content Strategist / Matt Heidkamp
Branded Content Associate / Alison McCarthy
Project Manager / Amy Thorkilsen
1. The Increasing Focus on Traveler Satisfaction 9 Executive Sales Director / Anthony Derico
Senior Designer / Ping Chan
2. Mobile: Travelers Expect More 17

3. AI, Chatbots, VR...What’s Next? 23

4. Travel In An Era of Global Uncertainty 27

5. The Sharing Economy: Bracing for Future Disruption 33

6. Voices from the Frontline 37

Bringing Humanity Back to Business Travel Skift Report 2017 3


YOUR GOAL OUR AMBITION

Increase To be the
traveler most business
satisfaction traveler centric
company in
the world Sounds like a
perfect match

Bringing Satisfaction Back to Business Travel Skift Report 2017 4


About Skift About Egencia
Skift is the largest industry intelligence Egencia makes business travel better
platform, providing Media, Insights & by making it more connected and
Marketing to key sectors of travel. complete. Egencia puts travelers at the
heart of business travel, continuously
SkiftX is Skift’s in-house content supporting them with solutions that
marketing studio, working are more engaging and effective. Driven
collaboratively with partners on by consumer insights and technology
integrated projects including webinars, investments from parent company,
video, research, and live events. Expedia, Inc., Egencia connects
everything travelers need – content,
Visit skiftx.com to learn more or email at technology, service and reporting – in
skiftx@skift.com. one place. Egencia provides services in
more than 65 countries. To connect with
Egencia, visit www.egencia.com and
follow @Egencia on Facebook, Twitter,
or check out our blog.

Bringing Humanity Back to Business Travel Skift Report 2017 5


How We Got Here

To show the full spectrum of the evolving business travel


landscape, Skift and Egencia tapped into a number of sources
for insights. Our methodologies for this deck include:

• In-depth interviews with nine corporate travel managers


from a variety of industries—the humans on the frontline who
tackle business traveler challenges on a daily basis.
• An Egencia survey of 4521 business travelers in Australia,
Canada, France, Germany, Norway, Singapore, Sweden,
United Kingdom and United States, conducted by Northstar
• An additional Skift Survey of 61 Corporate Travel Managers,
opting in from our Corporate Travel Innovation Report
newsletter, to reach a consensus of emerging trends at scale.

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Who We Spoke To

Karen Bond, Frank Dolce, Julia Fidler, Carly Jones, Arnaud Le Masne,
Travel Manager, Director, Global Global Employee Senior Manager of Vice President, Global
HNTB Corporation Corporate Travel Experience Lead, Global Travel, Sales & Emerging
and Expense, OSI MSTravel, Microsoft David’s Bridal Markets, Egencia
Systems, Inc.

Rosemary Maloney, Marta Rodríguez Carol Velasquez, Summer Ye, Travel


Senior Manager, Martínez, Travel AVP, Procurement, Manager, Lenovo,
Global Travel, Manager, Compliance Macerich NA and LATAM
Coach & Analytics, Microsoft

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What We Found

The following themes emerged from our research:

1. Most travel managers agree that traveler satisfaction 4. Global uncertainty has become the new normal.
is much more of a focus now than it was even just Travel managers and their travelers have been forced to
a few years ago, as it’s becoming increasingly clear reckon with the current age of travel anxiety through
that it drives compliance, productivity, and overall an increased focus on duty of care, risk management,
employee engagement. and in-policy booking.

2. Mobile has become the device of choice for most 5. The emergence of the sharing economy has shifted
business travelers when it comes to accessing services the way people travel for business, though the
on-the-go. However, many travel managers and corporate travel space has been slower than the leisure
travelers themselves agree that the mobile business space to adopt such services. Ridesharing services have
travel experience can be improved. This is especially become mainstream among many business travelers,
true when mobile technologies in corporate travel but travel managers have struggled with how to factor
are compared to those in leisure travel. (Mobile is the Airbnb, HomeAway, and other homesharing services
norm, it just needs to get better.) into their policies.

3. Most travel managers are excited about what’s to


come in emerging technologies––especially in the
ways AI can improve customer service. While such
new technologies are expected to better the business
travel experience, it’s important not to lose sight of
the importance of a human touch.

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THE INCREASING
FOCUS ON
TRAVELER
SATISFACTION

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The Increasing Focus on
Traveler Satisfaction

Traveler satisfaction means different things depending on the travel manager and the
industry they work in. However, most travel managers are in agreement when it comes
just how important traveler satisfaction is––it helps drive compliance, productivity, and
overall engagement, which means savings for the company’s bottom line.

Most travel managers also agree that traveler satisfaction is much more of a priority
now than it was a few years ago, especially as new tools and technologies become
available to help empower business travelers throughout the entire travel journey.
From the time a traveler begins researching a trip, until the time he or she files an
expense report, the process should be as frictionless as possible.

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The focus on traveler satisfaction has
become a bigger priority in the last
few years...

Has improving traveler satisfaction become a bigger priority in


the past 1-3 years?

Yes, very much so 51%

Not yet, but it will be in the future 13%

It’s stayed the same 36%

Source: Skift Survey, 2017

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But saving on costs still trumps traveler
satisfaction for most travel managers

Which of the following has been the biggest priority in the past 1-3 years?

Cost Savings 45%

Satisfaction 25%

Better use of data 16%

Safety 14%

Source: Skift Survey, 2017

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Despite the focus on savings, travel manager
performances are most often measured in
traveler satisfaction
How is your performance as a travel manager measured?

Satisfaction 20%

Expense Mgmt 17%

Savings 14%

Revenue Generated from trips 15%

Compliance 14%

Safety / Duty of care 9%

Negotiation Skills 7%

Employee retention 2%

Source: Skift Survey, 2017

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For most business travelers, engagement
and empowerment translates to compliance
and productivity

We can’t stop things like weather delays or flat tires, but we can provide the tools ahead of time to
manage those things so our travelers aren’t caught off guard. Traveler satisfaction encompasses the entire
experience, from booking to itinerary management, to airline and hotel check-in, to something like
receiving a welcome text when you land in a new city or filing your expense report when you return.

The goal of traveler satisfaction is to increase compliance, increase productivity, and increase overall
employee engagement. If the traveler is engaged and empowered, they’re going to be compliant––and
that’s going to bring in savings.”

–– Karen Bond, Travel Manager, HNTB Corporation

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And on top of their typical duties, travel
managers today often need to work as internal
sales and marketing people

I represent the voice of the traveler. I’m responsible Travel managers now work as internal sales people,
for employee engagement, understanding instead of just as a person who makes the rules
and interpreting the needs of our travelers. I’m and works with vendors and contractors. You
constantly working to comprehend how we make have to be able to show full content with the best
their travel manageable and not a distraction, and options that will keep them safe.
how we align it with the objective of the company.
I tell our employees to be smart with their choices
My role didn’t exist three years ago. It’s a new skill and spend the money as if it were their own.
set and one that we haven’t always had within the Traveler satisfaction is a balancing act between
travel manager community.” total comfort and the company’s bottom line.”

— Julia Fidler, Global Employee Experience Lead, –– Rosemary Maloney, Senior Manager,
MSTravel, Microsoft Global Travel, Coach

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Being transparent and communication are key

Travelers need more transparency. Sometimes corporate rates are a bit higher than consumer rates
online, especially when airlines are doing promotions, so we provide training sessions and issue a
newsletter to make sure travelers have 100 percent visibility about their program.

This is especially important for road warrior types, who may have more personal travel experience than
most. We need to communicate our professional opinion and knowledge to them so they understand
differences between personal and corporate travel.”

–– Summer Ye, Travel Manager, Lenovo, NA and LATAM

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MOBILE:
TRAVELERS
EXPECT
MORE

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Mobile: Travelers Expect More

The business travel experience is now one that takes place across multiple devices,
as using mobile to navigate at least some portion of the business travel journey has
become a given. A traveler might begin a search on their smartphone, continue
researching on a tablet, make the purchase on a desktop computer, and check-in
back on their smartphone.

Mobile has brought about new means of connection and engagement for travelers,
who can now book flight and hotels, reserve ground transportation, file expenses,
chat with customer service representatives, and access a vast amount of other
services easily on the go. Thinking about the journey from a cross-device perspective is
essential to reach travelers where they actually are.

But while it’s hard to argue against the fact that mobile has empowered business
travelers in a meaningful way, many travel managers feel that there’s room for
improvement when it comes to how mobile technologies, functionalities, and user
experiences in the corporate travel space compare with those in leisure travel. Many
travel managers agree that taking the mobile experience beyond its current state is
the next step to achieving business travel satisfaction.

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Travel managers believe business travelers
expect to be able book or manage travel across
all of their devices
Business travelers want to book or manage travel across all of their devices

Strongly Agree 66%

Agree 26%

Neutral 3%

Disagree 3%

Strongly Disagree 2%

Source: Skift Survey, 2017

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But they want to do even more with their
mobile phones, such as check into a hotel,
rent a car, and use mobile messaging to update
their travel

90%
of travel managers agree
83%
of travel managers agree
or strongly agree that or strongly agree that
business travelers want business travelers want
to do even more with to use mobile messaging
their mobile phones, to update their travel
such as check into a arrangements
hotel and rent a car

Source: Skift Survey, 2017

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Travel managers and their travelers are on
board with mobile, but want more when it
comes to function and user experience

All of our travelers are now onboard with our For us as a technology company, the lack of
mobile options available, and that’s been a functionality of certain mobile tools is frustrating.
big, positive shift. However, I do think there’s Travelers’ needs today are very focused on
an opportunity for the major booking tools to mobility and being able to modify things on the
improve their user experiences and functionalities fly. This is often more difficult than it should be,
even further.” especially when compared to tools available to
leisure travelers.”
–– Carol Velasquez, AVP, Procurement, Macerich
–– Marta Rodríguez Martínez, Travel Manager,
Compliance & Analytics, Microsoft

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Especially knowing how much mobile
technology in corporate travel lags compared
to that in leisure travel

It’s frustrating how slow corporate technology We’re really pushing to provide access to tools
moves. There are all these amazing things in in corporate travel that are similar to the ones
the leisure travel space that don’t exist in the available to leisure travelers. Corporate travel
corporate space yet. There are good corporate technology has come a long way, but it’s not fully
travel apps out there, but most don’t match the there yet.”
options out there for leisure.”
–– Arnaud Le Masne, Vice President, Global Sales
–– Rosemary Maloney, Senior Manager, & Emerging Markets, Egencia
Global Travel, Coach

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AI,
CHATBOTS,
VR...
WHAT’S NEXT?

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AI, Chatbots, VR...
What’s Next?

Mobile usage has become standard among business travelers, and while there
is room for improvement, most would agree that it has changed the travel
experience for the better. New technologies, ranging from chatbots powered by
AI, to augmented and virtual reality, are expected to take traveler engagement
levels even further.

And while some travel managers can’t get their hands on new technologies
fast enough, others are skeptical of how much value they’ll actually bring to the
company and their travelers. However, there’s little doubt that some of these new
technologies will be essential to incorporate into a corporate travel program to
help enhance the business travel experience.

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AI offers potential opportunity to close the
gap between the leisure and business travel
environments

AI definitely addresses the concerns travelers


have around the gap between the consumer 58%
of travel managers agree
environment and the business travel or strongly agree that
advancements in artificial
environment. If we can close that gap by offering
intelligence will improve
travelers something in the business travel the business travel
booking experience
environment sooner than they can get in the
consumer world, then that’s fantastic. “

–– Julia Fidler, Global Employee Experience


Lead, MSTravel, Microsoft
74%
of travel managers agree
or strongly agree that
machine learning will
help traveler managers
mine data and drive travel
program cost efficiencies
in the near future

Source: Skift Survey, 2017

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Travel managers have But no matter how far
to do the work to stay technologies advance,
up-to-date with the a human touch will still
emerging tech and tools be important
out there

Gone are the days of 2 to 5 percent increases Emerging technologies can do a lot to
or decreases in travel spending. Instead, the help customer service and serve as a true
question is, “What mobile app can you create concierge for travelers, but it’s important to
and deliver to our travelers?” This challenges make sure a human touch isn’t disregarded.”
me to become familiar with all of the new
–– Carly Jones, Senior Manager of Global
technologies and products out there and
Travel, David’s Bridal
determine if we can or need to fit them into our
program and budget.”

–– Karen Bond, Travel Manager, HNTB


Corporation

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TRAVEL IN
AN ERA OF
GLOBAL
UNCERTAINTY

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Travel In An Era of
Global Uncertainty

Travel managers are now faced with the challenge of managing their travelers in
a time where global risks––whether terror, climate, or health-related––seem to be
elevating year after year. Duty of care and risk management have become more of a
focus for many travel managers compared to a decade ago, and with that, making
sure that travelers book within policy has become essential to knowing where
travelers are at all times.

The majority of business travelers are at least somewhat affected by this state of
global turmoil. A 2016 ACTE survey found that 56 percent of business travelers were
moderately to severely anxious about a terrorism threat during business travel,
while 58 percent were more anxious than they were the previous year. Fortunately,
new technologies and mobile tools that help better connect travelers might help
alleviate the anxieties that all too often come with today’s travel journey.

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Duty of care and risk And business travelers
management have become are increasingly anxious
more of a concern for travel about travel
managers in recent years...

Focus on duty of care has moved up on the list I spent the whole year talking about risk

for us. Unfortunately in our day and age it’s not management. Things are different today

‘if’ but ‘when.’” compared to a few years ago. It almost


seems like a major event happens every few
–– Carly Jones, Senior Manager of Global Travel, days, whether in Stockholm, Manchester or
David’s Bridal Paris. Travelers are more eager to get much
more information. They are much more
anxious. Luckily, technology can help smooth
down that anxiety.”

–– Carly Jones, Senior Manager of Global


Travel, David’s Bridal

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This means that booking in policy is more
important than ever when it comes to travel
management

Safety and duty of care have become much bigger issues in the last few years. 9/11 was a big wake
up call for American businesses when it comes to duty of care. Companies didn’t know where
their travelers were. It took companies a while to put their systems in place to avoid this. We have
sophisticated tracking tools to help know where our travelers are, as well as a strict in-policy program. I
tell people, ‘If you book on your own, you’re on your own.’”

–– Frank Dolce, Director, Global Corporate Travel and Expense, OSI Systems, Inc.

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And that tightening up safety processes should
be a top priority

There has been an increased focus on safety, especially in the last two years.

We’ve been polishing our processes around safety. If an accident happens, the travel manager will be
aware and our security department will contact the traveler to see if they need assistance or to come
back home. We also run security checks on any hotel we work with and keep an eye on the traveler’s
itinerary and know how to locate them in case anything happens.”

–– Summer Ye, Travel Manager, Lenovo, NA and LATAM

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Most travel managers would be willing to incur
a higher cost for travel if it meant keeping
travelers safe during their trip
Would you be willing to incur a higher cost for travel (lodging, ground
transportation, etc) if it meant keeping travelers safe during their trip?

Depends on the situation 59%

Yes, within 10% of the hotel rate cap 28%

Yes, within 25% of the hotel rate cap 11%

No 2%

Source: Skift Survey, 2017

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THE SHARING
ECONOMY:
BRACING FOR
FUTURE
DISRUPTIONS

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The Sharing Economy:
Bracing for Future Disruptions

Ridesharing services such as Uber and Lyft have become permanent fixtures
in corporate travel. However, the verdict is still out on how large of a footprint
homesharing services such as Airbnb and HomeAway will have on the corporate
lodging landscape. Some travel managers believe they may simply be a fad
when it comes to traveler satisfaction, while others feel that including these new
homesharing services in policy is now essential.

As the sharing economy has overhauled leisure travel, corporate travel managers
have been forced to examine how they fit into their specific programs. While the
convenience of such services have attracted business travelers, there are concerns
around duty of care, risk management, cost, and compliance for travel managers. No
matter what their feelings on such services, the sharing economy is a sector traveler
managers should watch for future disruptions in business travel.

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The sharing economy has forced travel
managers to examine their policies

The emergence of the sharing economy a few years ago was one of the most significant shifts we’ve seen.
There was a lot of confusion in our policy at first. It turned us into a so-called ‘call center’ for a while, with
our travelers constantly asking what was allowed. It forced us to learn what’s out there and what the
benefits are from a corporate perspective so we can define our positions and modify our policies.”

–– Carol Velasquez, AVP, Procurement, Macerich

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The demand for sharing But there’s still some
economy services is all hesitation when it comes
about flexibility... to these services

The demand for Airbnb is all about flexibility, Ground transportation has evolved where
and it’s something that we have to stay open to. it’s not as big of an issue as it used to be.
We’re working to understand what people are Some companies have concerns around ride
looking for with Airbnb. Do they want apartment hailing services, but travelers like them and
style accommodations? Unique locations? Once they’re convenient.”
we uncover what’s driving them to it, we then try
–– Frank Dolce, Director, Global Corporate
to reach a happy medium to answer their needs.
Travel and Expense, OSI Systems, Inc.
We’re in the process of evaluating that.”

–– Julia Fidler, Global Employee Experience


Lead, MSTravel, Microsoft

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Voices From The Frontlines

These quotes are actual opinions included in Skift’s survey of corporate travel managers.
We’ve kept the respondents anonymous.

For a procurement professional, there's still an awful lot of “Corporate travel is a dinosaur––anyone who can
time spent in operations. Instead of getting easier, it's actually take it to the next level and be more geared to
getting more complex, while travelers' expectations and the average consumer is going to win.”
knowledge are increasing.”

“Greater focus on personalization and a decreasing


“Creating better data sources to make informed decisions
focus on the importance of the booking channel will
will improve the corporate travel landscape. Organizations
evolve the corporate travel landscape”.
that rely solely on travel management company data will
miss a very large part of the equation.

“The sharing economy is evolving business travel. “Technology is changing rapidly, but airlines,
Our company is working to allow Uber in place of a hotels, and other travel providers are not catch-
traditional car service.” ing up fast enough. The technology is there, but
many systems are still archaic.

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Executive Letter
Technology. Love it or hate it, it’s increasingly woven into Technology can also reduce risks. Today, business travelers can
every corner of our lives. If the industrial revolution was the get assistance with a single tap. Chatbots and text are making
integration of power into everyday life, then this revolution is two-way communication possible in ways never done before.
doing the same with technology. With technology, travelers can more easily and quickly connect
with experienced, compassionate humans who are ready to help.
When revolutions come, things change fast. This is exciting
and comes with breathtaking possibilities. It also creates We can lessen the loss of continuity by turning every plane and
tremendous uncertainty and confusion. It can be disorienting, hotel into a secured communications center where travelers can
removing us from the comfortable patterns we knew. It’s not work with all of the amenities of the office.
surprising, then, that Skift chose “Humanity Returns to Travel” as
one of their 2017 Megatrends. Will technology solve all of business travelers’ frustrations? No.
Flexible, traveler-friendly policies are important. Empathic, skilled
At Egencia, we are fascinated by the convergence of these two travel agents are a must. But technology can ease many of the
seemingly separate paths—technology and humanity. Service issues that drive traveler discomfort, allowing them to focus on
is paramount, but how do you “serve” millennial travelers who what they enjoy—productive, in-person meetings… and a night off
view phone calls as unnecessary, even an invasion of privacy? when they’re done!

The truth is that change, driven by incredible advances in
technology, won’t stop. So we have to master it to lessen
the fear of the unknown, to lessen risk, to lessen the loss of
continuity. To bring humanity back to travel.

How? First, by focusing on the new possibilities. Today, travelers
can use technology to make languages and landscapes more
Rob Greyber
accessible. Navigation is no longer a worry when an app can
President, Egencia
direct you to your hotel, and even help you ask for assistance in
a foreign language if you need it.

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Like What You See?

Skift is the largest industry intelligence platform, providing Media, Insights & Marketing to
key sectors of travel.

Through daily news, research, podcasts, and Skift Global Forum conferences, Skift
deciphers and defines the trends that matter to the marketers, strategists, and
technologists shaping the industry.

SkiftX is Skift’s in-house content marketing studio, working collaboratively with partners
like Mastercard, Hyatt, Adobe, Lyft, and many more on custom projects to engage the
world’s largest audience of travel influencers and decision makers.

Visit skiftx.com to learn more or email at skiftx@skift.com.

Carolyn Kremins
President, Skift
ck@skift.com
212-564-5830

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