Savings, Not Discounts
As the travel industry moved from ‘free to fee’, forfeiting airline, hotel and car commissions, management and service fees were passed to the corporate client’s account and suddenly all eyes were on the travel management companies’ margins and deals, looking to cut costs.Ironically two things happened: firstly, companies turned most of their attention to cutting the margins the agencies charged for their services, as opposed to focusing on the majority spend enjoyed by the airlines, hotel groups and car hire companies. Secondly, there became an abundance of new 'corporate travel agencies' whose previous leisure businesses, eroded by commission cutting, were no longer generating sufficient revenues and hence they 'popped up' under the guise of corporate travel management companies (TMC's).
Many further exasperated their problems by discounting their fees in order to win much-needed corporate business. Indeed some established TMC's decided to folow suit in order to protect market share, only to find that providing a professional travel management services carries fixed costs and eroding these margins merely compromises the quality of service a TMC provides, often at great expense to the corporate. Throughout this period Seekers Travel neither discounted, not compromised service values and ironically the few clients that did choose a discounted offering, have returned to Seekers Travel to find a sustainable, long-term partnership working toward common goals.
Proof of cost savings
All TMC’s will boast cost savings, but achieving them comes by way of a creative combination of travel policy management, service level agreements, suppliers negotiations, online strategies and system enhancements, that together allow Seekers to guarantee a negotiable cost saving, of published fares, in year one after taking over a travel account.
Seekers Travel as an added-value business
Seekers Travel as an added-value business
In order to provide a professional service, Seekers Travel offers a suite of travel management services, from which you can choose which facilities and services you wish to utilise. These services will vary as will the service fee they attract according to your needs and wants. However, 'menu'-based pricing has to be formerly agreed upfront so that delivery matches expectations in all cases.
Much of the perceived discounting by TMC's comes about as the direct result of hidden costs, that are not identified by the client during the tender or negotiation process, but are only identified on the new TMC is trading, which is invariably too late.
