OPEN BOOKING & NEGOTIATED RATES
How does open booking affect suppliers and negotiated rate programs? That’s a touchy area, said Carmine Carpanzano, CEO of nuTravel.For one thing, Open booking is too often another term for bypass of negotiated rate programs.
Even when corporate travelers book with a hotel or airline that has negotiated rates, the company may not get credit for the volume, because there is no way to match the traveler with its employer’s negotiated contract.
Breaks the connection
“Suppliers have a problem with open booking,” Carpanzano said. “If you are not driving volume to meet certain goals, you don’t deserve their discount. Open booking breaks that connection.”
It’s a problem for client companies too. As Carpanzano pointed out, “at the end of the day, it is supplier discounts that are meaningful to the company.”
Yes, there is software that can link an out-of-channel booking to a specific traveler and supplier to track the volume. But too often the software requires manual data entry or some other intervention by the travel manager. Plus, not all companies allow those third-party programs on corporate communications or IT networks.
Tags: concuropenbooking.blogspot.com, concur, open booking, tmc, travel, travel management company, travelopenbooking.blogspot.com