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Airline contracts should ‘go beyond price’

Travel buyers must respond to changing employee demands by ensuring airline contracts go beyond price, according to ACTE.

The travel organisation said workers are choosing companies that allow them to be most efficient on the road.

It said employees expect lounge access, fast-track security, in-flight wifi and priority seating.

“We’ve seen that travel policies and how companies treat their travellers is an important factor in retention and motivation of current employees. Recruits also want to know a company’s travel policy before they sign on so that they understand how they will be treated when on the road,” said Greeley Koch, ACTE’s executive director. 

Koch said the mindset for travel executives has shifted to meld procurement approaches, in terms of lowest price, with the idea that they must secure amenities that will improve the journey.

“Today’s modern business traveller requires more than just on-time arrival for flights into order to stay productive,” Koch said. “Companies want to get the best ROI from every trip. They’re invested in making sure travellers can stay focused on business – not logistics – throughout their journey. Procurement groups now are charged with making sure airline contracts go beyond price.”

ACTE discussed how airline can better meet the needs of buyers and travellers at its latest Education Forum held in Switzerland earlier this month.

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