Why Can't I Book My Own Travel?

OK, but there are Web-only bargains that I'll miss out on.

Yes, there are. There have always been specials and bargains flashing on and off in the retail market that corporate booking processes can miss. Many of these specials are now on the Web. But from your company's point of view, it is the average cost of all travel that counts. There are two reasons why retail travel agents and websites are unlikely to offer the cheaper option, overall.

Travel management company discounts
First of all, there are discounts that they miss. Travel management companies have buckets of discounted airfares and hotel rates based on their large spend with suppliers. They are particularly competitive for international and business class travel. Rather than pan-flashing specials, they are continuously available discounts.

Better fare and rate searching
Second, one of the key features of a travel management company's booking software is its capacity to automatically search the market place for best fares and rates, wherever they may be. There are many places to go, and the software is stretching to keep up. But good corporate booking engines are still the best searchers in the market place; better than the retail search engines, and better than you or me clicking around on the net.

OK, but I keep seeing cheaper travel on Web sites

Granted. Sometimes you will find unbeatable bargains on the Net. But the corporate prices might be lower than you think. When travel is booked through a travel management company, you might not see all the discounts. There are two types: negotiated discounts, and commissions that the supplier pays to the travel management company and the company then pays to you. The end cost of corporate-booked travel is often lower than it looks.

But watch this space.

The amount of discounted travel available only on suppliers' Web sites is growing. Airlines, hotels, and car rental firms are promoting their own Web sites by withholding some lower-priced fares and rates for their Web sites only. You would expect them to since Web-direct is a low-cost distribution channel. And airlines in particular need to manage down costs.

Travel booking is pure information exchange, and so travel lies on the frontal surge of Internet commerce. The domain of the travel management company is getting smaller as pricing gets simpler and as software develops. In the future, your choice will be between a corporate online booking tool, retail online booking tools, and suppliers' Web sites -- no manual travel management company services required. But even then, booking direct on suppliers' Web sites probably won't be the best option for you or your company, overall.

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