Measuring Success – The Value of Data

By BCD marketplace partner Tripism

In the dynamic landscape of the travel industry, success for travel managers goes beyond the mere booking of flights and accommodations. Data is critical for success across the board – from optimizing cost structures to enhancing customer experience to achieving sustainability goals, data is the compass guiding travel managers toward success. By understanding what data is available, what it means, and how to use it effectively, travel managers can make informed decisions that lead to favorable terms and conditions for their travelers while remaining within employer travel policies.

For procurement professionals, data is vital to provide insights into supplier costs, trends, and capabilities. This information can be used to identify cost savings, negotiate better prices, and select the most qualified suppliers for the needs of the travelers. By leveraging multiple sources of data, travel managers can level the playing field with suppliers and ensure that their business travelers are getting the best possible value for their procurement spend. In today’s data-driven world, organizations that do not use data to inform their negotiations are at a disadvantage and are in danger of overpaying for services or not receiving the expected level of service. McKinsey estimates that “companies that holistically address digital and analytics opportunities throughout their organizations have the potential to see a 15 to 25 percent earnings improvement.”

But how do you collect data in an efficient, effective, and meaningful way? Some of the areas to look at include the following:

1. Optimization: Determine which services and products are being utilized well, and show where requirements are high or where demand is being lost.
2. Segmentation: Identify individual customers and group regional patterns, specific to which products are being purchased and how often.
3. Relevance: Understand which products are most beneficial to the employees and the company’s goals to ensure they have access to the right products and services to suit their business travel needs.
4. Fraud Prevention: Recognise areas where there is potential for fraud or abuse.

All of this intelligence can then be used to make decisions about how to allocate resources or develop supplier strategies. By understanding where and how customers are using travel products, procurement professionals can make sure they are being used appropriately. Several key performance indicators (KPIs) reflect the effectiveness and impact of data-driven strategies in travel management. The most important dashboard KPIs will vary depending on the specific business and industry, but here are a few that Tripism tracks and maintains:

1. Cost-Savings: We help you analyze whether data insights have led to better sourcing strategies, improved customer experiences, and business travel efficiencies, ultimately saving your business operational costs.
2. Employee Satisfaction: We make it easy to monitor employee satisfaction metrics, such as feedback and improvement in employee travel experiences. This information is then used to identify trends, which are monitored by our team and discussed with suppliers if required, helping to continually improve the employee experience.
3. Sustainability and Environmental Goals: We provide deeper insights and sustainability information on travel inventory, allowing employees to make more informed choices regarding business travel, and ultimately furthering the company’s overarching environmental goals.
4. Return on Investment (ROI): We help calculate the ROI of these data-related investments. The information we provide can help you determine whether the benefits derived from data-driven decisions outweigh the costs incurred in implementing and maintaining this data infrastructure.

Through robust data analytics and insights, travel managers can make informed decisions that optimize their travel programs. Data-driven strategies contribute to smarter decision-making, cost-effective resource allocation, and the cultivation of a responsive and agile travel management ecosystem. As we navigate an era increasingly shaped by information, embracing the potential of data is not just a recommendation—it’s a necessity for those looking to thrive in the dynamic landscape of modern travel management.

For more information on Tripism, email hello@tripism.io

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