U.S. corporations employ new cost-saving measures for travel

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Faced with a slowing economy and rising travel costs, travel managers for U.S. corporations began employing new mea-sures to level out their travel budgets in 2001, and most expect to have to continue these measures this year if the economy does not recover, according to a re-cent survey conducted by the National Business Travel Association.|ret||ret||tab|

In the survey, which polled more than 220 travel managers, 74 percent say they are using new measures to reduce travel expenditures. |ret||ret||tab|

When asked what areas are targeted for these cost reductions, air expenditures and hotel purchases were the two most prevalent areas, at 58 percent and 57 percent, respectively. |ret||ret||tab|

Other cost-reduction methods mentioned in the survey included videoconferencing, increased use of corporate/ charter planes and online booking.|ret||ret||tab|

"In these uncertain economic times, American corporations are focused on the bottom line," said Marianne McIn-erney, executive director of NBTA. "Meeting essential business objectives while keeping travel costs down will be a major priority in 2002."|ret||ret||tab|

In order to trim costs on hotels in 2002, 60 percent of travel managers said their corporations are reducing non-essential travel, while 52 percent are re-ducing the number of meetings held at hotel sites.|ret||ret||tab|

To reduce air costs, 51 percent of the polled travel managers are booking flights on "discount" airlines. Also, 61 percent of travel managers surveyed are booking flights more than a week ahead, and 43 percent are using alternative airports. |ret||ret||tab|

"Last year, we saw many corporations reducing their overall travel," said McIn-erney. "In 2002, they are getting back on the road by using more lower-priced tra-vel options. Many corporations are choosing low-fare airlines and discount rather than full-service hotels this year as a way to meet their travel objectives for less money."|ret||ret||tab|

The survey also indicated that travel managers expect that airline industry consolidation, increased discrepancies in leisure and business fares and a continued economic slide will be the factors that further increase corporate travel costs this year, the release stated. |ret||ret||tab|

Established in 1968, the National Bus-iness Travel Association represents more than 2,400 corporate travel managers and travel service providers. NBTA members manage and direct more than $130 billion of expenditures within the business travel industry. The organization's Web site is found online at www.nbta.org.[[In-content Ad]]