Small changes can make a big difference to business travelers
Friday, December 14, 2012
Business travel remains a necessity for many organizations. While advances in technology are making the world a smaller place, closing a deal in person is often the preferred means of doing business for most executives. Despite its importance, business travel can be costly, and many companies are doing everything they can to bring down the cost of traveling.
It all adds up
Frugal executives and travel management professionals have known for some time that serviced apartments and corporate housing represent excellent value and offer superior service. However, to further cut costs, executives may want to follow the suggestions of the Daily Comet, which recently outlined several small ways for businesses to save money.
For example, traveling during January and February is often significantly more affordable than later in the year. This could be especially important to travelers seeking to purchase business-class seats, which can often cost several thousands of dollars. Similarly, flying to smaller airports and taking connecting flights is another way cost-conscious executives can reduce the price of their trip. Larger aviation hubs may be convenient, but they typically cost significantly more than smaller airports.
While many executives choose to stay in corporate suites in chain hotels, it is important for business travelers to thoroughly research the true cost of their stay. Hidden surcharges, additional taxes and cancellation fees can soon mount up, driving the price of a stay higher than it needs to be.
Many business travelers in emerging markets such as Asia are dissatisfied with the offerings of traditional chain hotels. As such, many people are turning to serviced apartments as a means to save money without compromising on quality.
This trend has been observed most recently in China. According to China Daily, the number of commercial real estate developers investing in the construction of managed corporate housing will increase dramatically in the coming years to cope with heightened demand.
"We will buy at least two properties and operate six to eight new properties under management contracts every year," Tan Tze Shang, Ascott China's regional general manager for the north and central western regions, told the news source. "What we offer is a home away from home."
As travel management professionals and executives seek to lower the cost of business travel, the popularity of serviced properties could increase during the coming years.