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Room for Savings: Optimizing Hotel Spend - Carlson

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Understanding why travelers book out of policy is<br />

key to improving compliance and identifying any<br />

required adjustments to the program. According<br />

to the CWT survey, travel managers and travelers<br />

explain non-compliance in different ways. Travel<br />

managers say the main reason <strong>for</strong> noncompliance<br />

with preferred hotels is travelers’<br />

personal preference. Surveyed travelers, on the<br />

other hand, cite mainly practical reasons such<br />

as no preferred hotel being available at the<br />

relevant location or the hotel not meeting<br />

travelers’ needs (Figure 104). In the latter case,<br />

the main reason given is the distance from the<br />

place of business (Figure 105).<br />

Figure 104: Travel managers and travelers cite different reasons <strong>for</strong> booking outside the<br />

preferred hotel program<br />

+<br />

-<br />

Importance<br />

Travel managers' view<br />

Traveler’s personal<br />

preference<br />

Cheaper hotels outside<br />

the program<br />

Traveler’s lack of<br />

awareness<br />

Did not meet<br />

traveler’s needs<br />

Compliance not a high<br />

management priority<br />

Lack of reporting tools<br />

to track non-compliance<br />

TMC not strictly<br />

en<strong>for</strong>cing the policy<br />

Preferred hotel data<br />

incorrectly loaded into GDS<br />

Travelers' view<br />

No preferred hotel at<br />

the location<br />

Did not meet<br />

traveler’s needs<br />

No rooms available<br />

Did not choose the<br />

hotel<br />

Preferred hotel directory<br />

serves as a guide only<br />

Cheaper hotels outside<br />

the program<br />

<strong>Room</strong>s available only<br />

above authorized category<br />

Other<br />

Source: CWT Travel Management Institute<br />

Based on surveys of travelers (5,016 responses) and travel managers (101 responses)

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