6 signs it's time to change your TMC

Posted by QBT Marketing on 8 Feb 2017, 10:49:17

6 signs its time to change your TMC

No one likes change. Change is a long, often costly, painful process. And who's to say the grass is always greener... better the devil you know, right?

When you've been with the same Travel Management Company for a long time, it's comfortable. You are familiar with their consultants and their technology. Changing to someone else seems a huge amount of effort for a seemingly indefinable return on investment.

But how do you know if the change is not just necessary, it's well overdue?

Here's a list of tell-tale signs that indicate you should consider changing your TMC, or at the very least, start a much needed conversation with your current provider.

1. You're not seeing any return on investment

When you engage a travel management company, you're paying for a service that goes above and beyond the booking of travel. They should be constantly delivering, or at least suggesting process efficiencies and cost savings initiatives that deliver value to your travel program. Not only this, but they should also be reporting on the value they have delivered. If you're not seeing it, it may be time to move on.

2. Technology is the same as it was 5 years ago

Travel technology moves at a fast pace. You only need to look back to how you were booking your own personal travel five years ago, for evidence of this. With new online and mobile technology, automation and travel industry disruptors coming out frequently, if your travel management company is not keeping up with this, then they are behind the times.... and by extension, so is your travel program.

3. Consultants don't think outside the box

More often than not, your TMC's consultants are veterans in the travel industry with more than seven years' experience in the field, but experience isn't the only consideration. There are two different types of consultants - those who take orders and those who provide solutions. If your travellers are the type who book the 9:30am Qantas flight from Sydney to Melbourne every week then order takers are great! However, if you need someone to take your complex travel brief and 'get creative' with finding you the best fare or route, with timings and details to suit your business purpose, then you definitely need an expert consultant who thinks outside the box.

4. Your travellers constantly find better rates

I'll admit, this one is a little bit controversial! When it comes to fares and rates, you really want your TMC to do three things:

  1. Load your organisations' specially negotiated fares and rates
  2. Make their own specially negotiated fares and rates available to your travellers
  3. Integrate content from third party sources (i.e. ticket consolidators and online travel agencies)
  4. Use all of the above sources to book (or allow you to book) the best available fares and rates

If your travellers are continuously complaining that they are able to find better rates themselves, then one of the above areas is falling over, and it might be time to have a conversation with your TMC.

5. You have no visibility into what you are spending

One of the many perks of having a TMC is complete visibility across every aspect of your travel spend. Technology has advanced so much that reporting is now available at your fingertips, online in real-time. Additionally, data that is consistently inaccurate can also be a concern.  What's the point of having it if you can't rely on it to gain insights or make decisions? Continuous data integrity issues also might be symptomatic of a larger quality control issue.

6. It's their way or the highway

If you have approached your TMC with an idea or new approach you would like to incorporate, only to be met with a ‘we can’t do that’, it's a clear warning sign that they might not be as progressive as they initially promised. If your requests are constantly met with a firm no, without any alternative options offered, then strongly reconsider sticking around. Business travel is dynamic and constantly changing, meaning a dogmatic, steadfast approach to advancement or innovation will significantly hinder a travel management company and their clients.

Where to from here?

If a few of the above areas are a concern for your business, the best approach is to start a dialogue with your incumbent and see if you can address these issues. You already have a relationship and they should know the ins and outs of your account already, so try to salvage what you have.

If you want to find out how your travel program measures up, complete our travel program assessment.

Assess my travel program!

If your TMC is slow to make any changes or makes no changes at all, then it might just be time to flex those fingers and get cracking on an RFP.

Download our Sample RFP Template

Topics: RFP