Carlson Wagonlit Travel has urged travel managers to use preferred suppliers to optimise savings on air travel.
The travel management firm’s 2012 Travel Management Priorities research showed savings of 8% were possible through consolidation of air sourcing.
“One of the basic principles of air sourcing is that the more business a company can commit to an airline, the better the discounts it can obtain,” CWT said.
Shifting to low cost carriers could also help companies to slash costs by around 11%, but the report underscored the “significant trade-offs” involved in making the switch.
Instead, it advised looking for ad-hoc savings through low cost carriers “while ensuring they do not erode the preferred carrier program”.
Ancillary charges and fuel surcharges were highlighted as key costs, accounting for 5% to 10% and 7% to 12% of the corporate air budget respectively.
The report advised negotiating these costs where possible.
Choosing restricted fares over flexible fares could generate savings of 30% to 40%, with earlier bookings also resulting in significantly lower prices.
“The main challenge is getting travellers to book earlier than they do,” the report said. It suggested imposing a 14-day deadline to ensure savings.
