Professional Travel Management Adds to SME’s Botto
7th October 2005
Professional Travel Management Adds to SME’s Bottom Line
Best practice travel management has traditionally been the domain of large New Zealand corporate entities. With the introduction by BTI New Zealand of a specialised SME travel management offering, the company is providing travel management for small to medium businesses that directly meets their unique needs.
BTI New Zealand Chief Executive Tracy Meade says BTI’s research shows it is highly important for small to medium enterprises (SME) to achieve cost efficiencies but opportunities to do this are often limited.
“BTI has developed a new offering for the SME market, so it too can achieve the benefits of professional travel management, particularly when it comes to the bottom line. The key to our SME offering is that it is based on the best practices we use for our large corporate clients. These have been tailored to meet SME needs, as a ‘one size fits all’ approach does not apply to business travel.”
BTI believes that to ensure businesses keep travel costs well controlled, a holistic travel management approach is needed. Leading the cost saving process BTI is introducing; standard travel policies, a simplified online booking tool, and access to travel spend reporting and recommendations. Adopting a user pays approach to services also means that SME’s will only pay for the services used, and BTI will be able to readily demonstrate the value provided.
“The move to a tailored SME offering is one of a range of initiatives which are part of a comprehensive growth strategy being rolled out by BTI New Zealand over the next six months. This has meant that BTI’s philosophy of ‘pain free business travel’ can be experienced throughout all businesses in New Zealand,” says Tracy.
With New Zealand companies becoming more global, increases in the frequency of travel leads to an increase in overall company travel costs. Added to this expenditure pressure is the impact of fuel surcharges.
“Business travel in New Zealand is seeing a steady increase after quiet years in 2002 and 2003. International business departures are up 13 percent from last year to 27,750 for August and up 12 percent for the second quarter of 2005 (April – June). The total number of international business departures for the year, September 2004 to August 2005, was 269,540, an increase of more than 11 percent on the previous year,” says Tracy.
BTI’s research shows the majority of SME businesses have less than 15 regular travellers (from a staff of generally less than 50) and spend up to $300,000 a year on travel. This is often handled by a personal assistant or by administration staff, rather than through a separate procurement division. This underlines the importance of using a dedicated travel management company which provides true cost savings and ensures a first class service offering.
Business travel data, Statistics
New Zealand “Purpose Of Travel” response for overseas trips
by New Zealanders, September 2004 – August 2005.
BTI survey, n=262 including 185 SME companies, May 2004.
BTI New Zealand was formed in 1987 and is one of New Zealand’s leading travel management companies. BTI New Zealand is the New Zealand partner of Business Travel International with offices in Auckland, Wellington and Christchurch.
Business Travel International (BTI) is the world's leading travel management organisation operating in over 100 countries. With substantial global capabilities and specialist local expertise, BTI is the acknowledged expert in the delivery of corporate travel solutions.
unrivalled knowledge in shaping the standards in global
business travel service, delivery and client care, and in
its cutting edge approach to technology. Its
international clients include major multi-national corporations, but the company prides itself on also being able to respond to the needs of smaller national organisations.