How the Covid-19 pandemic has changed the role of a TMC
Director of sales and operations at ATPI Corporate Travel explains how everyday operations have changed for a TMC over the last twelve months
How the Covid-19 pandemic has changed the role of a TMC
With corporate travel subdued, it would be easy to assume that TMCs have locked up and pulled down the shutters for the duration of the pandemic, but that couldn’t be further from the truth.
Almost a year has passed since the early stages of the Covid-19 outbreak and although it feels like life, for many, has been on pause, a lot has changed.
For those in the corporate travel sector, day-to-day operations have altered significantly. With a variety of travel restrictions being imposed, lifted and then imposed again around the world, corporate travel now looks dramatically different. For example, many countries have most recently banned flights from the UK in a bid to halt the spread of the ‘UK
variant’ of Covid-19 - a move that has added a further layer of complexity to corporate travel.
Although essential work continues to take place for a small number of organisations, the vast majority are working to stay prepared and get ready for when the world begins to open up again.
With corporate travel subdued, it would be easy to assume that TMCs have locked up and pulled down the shutters for the duration of the pandemic, but that couldn’t be further from the truth.
“TMCs have acted as essential support systems for corporates since March 2020,” says Katie Skitterall, director of sales and operations at ATPI.
We talked to Katie about how everyday operations have changed for a TMC over the last twelve months, as well as how procurement professionals can use this insight to inform their procurement process:
Katie Skitterall, director of sales and operations at ATPI
“We never thought we’d see this”
How things have changed for TMCs and their clients
“We never thought we’d see this” : How things have changed for TMCs and their clients
“One of the most noticeable shifts that we have seen due to the outbreak of Covid-19 is the swing from online to offline booking,” explains Katie. “Prior to the pandemic, many of our clients and prospects were focused on self-service solutions that would allow them to book their travel online, whenever they wanted, without input from a TMC. We were spending time finding the right tools to allow this and supporting clients in improving their online adoption rates.”
“Fast forward twelve months and we’re now seeing that hardly anyone wants to book online. It’s a trend that, as an industry, we never thought we’d see. Take hotel bookings, for example. Prior to Covid-19, hotels were one of the most simple elements of a business trip to book.
Now, however, clients aren’t even sure whether many hotels are open for business. If they are, then clients want to know more about cancellation policies, health and safety practices and whether they need special or written permission to book. It’s at this point that they’re looking to take things offline and talk to an agent who can reassure them. At ATPI we now also provide this service via phone, chat and Microsoft Teams, with a pilot underway for Whatsapp.”
“As a result of shifts like this, the role of the TMC has turned into one that is more service-driven than it has been in recent years,” continues Katie. “Clients are seeing their TMC as more of a travel information source, rather than as a way to book.”
“There are so many questions and uncertainties involved in travel right now.
"Is an airline flying? Do I need a test in order to fly? How do I book that test? How far in advance should I book a test? In the future, we expect that these questions will be focused more on protocols around vaccines and vaccine passports.”
“Constant rolling news and ever-changing travel restrictions make it easy for clients to feel overwhelmed and at a loss when it comes to making a travel booking, if they need to,” Katie explains. “As a result, they’re looking to their TMC to make sense of everything and present information back to them in a way that’s relevant and easy to digest.”
“The time it takes to make a travel booking has increased significantly when compared with pre-pandemic bookings, particularly for some of our specialist sectors, such as marine and energy,” Katie shares. “Checking travel restrictions, entry requirements and ascertaining the necessary travel documents is a huge drain on time and can have an impact on efficiency, which is why we have introduced a Covid support desk to our service offering."
"When a booking request comes in, it is shared with the support desk who then do all of the necessary guideline checking and then feedback to our agents. This ensures that the proper amount of time is spent on gathering travel information together, but also allows for our agents to continue servicing other clients in the meantime.”
“We’re also exploring the ways in which we can use our existing technology and product suite to overcome new challenges,” says Katie. “For example, ATPI Travel Approval System is now being used to make travellers, and their organisations, feel safe and protected, whereas historically it has been used as a way of controlling cost."
"Giving permission to travel has provided a way for organisations to continue with essential operations and journeys, while still retaining control during a challenging time.”
“Allow more time for the RFP process in the coming months”
How the process of procuring a new TMC has been affected by Covid-19
“Allow more time for the RFP process in the coming months”
How procuring a new TMC has been affected by Covid-19
“The good news is that the different stages of procuring a new travel supplier have remained largely untouched by the pandemic,” Katie explains. “Although corporates will want to add in questions about a TMC’s response to Covid-19, there are no new processes that they need to consider or add into the mix.”
“However, we are seeing that the procurement process is taking longer,” warns Katie. “This is due to a combination of factors on both the client’s side and the TMC’s side, but it mainly comes down to the fact that there is less resource now."
"It’s a good idea for procurement departments to allow more time for the RFP process if they want to meet their deadline and keep the project on track.”
“Prior to the pandemic we saw that most corporates were focused on decreasing travel spend and finding new, impressive technology,” Katie explains. “Now we’re seeing that service delivery and reliable communications are top priorities.”
“Solutions that leave your team feeling confident and informed”
What procurement departments should focus on for the future
“Solutions that leave your team feeling confident and informed”
What procurement should focus on for the future
“High-touch service and increased visibility of travel will be essential as the world begins to open up again and business travel resumes,” Katie predicts.
“After a year of constant news updates and travel alerts, travellers are used to easy communication and updates and so TMCs should be offering this too. Mobile communications should lead the way, as this will allow travellers to feel reassured, confident and informed as they are travelling.”
“An important thing to note is that the way TMCs create savings has changed,” explains Katie. “A year ago the majority of corporate travel savings came from air fares and corporate rates. For example, one way to
make savings was to increase lead time. As a result of the pandemic, we’re seeing that last minute bookings are the way to go. This means that the tech TMCs use to find savings is different - it’s a good idea for procurement departments to stay up-to-date with this.”
Katie concludes: “Customer references and case studies have always been important, but they’re now an even more essential part of the procurement process. The outbreak of Covid-19 will have tested many TMCs and gathering evidence on how they supported their customers and kept operations going will provide the most powerful insight into what it’s like to partner with them.”
