NBTA Survey Points Toward RecoveryAfter years of holding out for a business travel recovery, it looks like corporate travel managers can begin to exhale—albeit with bated breath, according to a survey of 265 travel managers released last month by the National Business Travel Association. Given rising travel levels so far in 2004, NBTA said that "indicators remain positive for the duration of the year, into 2005." More than 70 percent of those surveyed said they will use more hotel room nights this year, and 60 percent of respondents said their companies are spending more on travel compared with last year. "For the first time in three years, we observe a cautious increase in business travel levels by the midyear mark," NBTA's report said. As travel itself is increasing, prices are following the demand. Nearly 70 percent of travel managers foresee increases in air travel prices, among other segments. "Travel managers agree that air, hotel, car rental and meetings and conventions will likely experience a slight increase of up to 5 percent by the end of 2004," the report said. While the report shows optimism slowly overtaking caution, only one-third of the respondents said the "travel industry is currently experiencing recovery that will bring it to levels comparable to 2000," with more than half expecting that level of recovery to occur in 2005. NBTA president Carol Devine said the report continues to show the value of corporate travel managers. "Travel is one of the top three controllable costs corporations incur, and travel managers are proving their importance by managing expenditures as travel costs and travel volumes increase," Devine said. "As the industry continues to recover, demand and pricing will continue to grow, and having a professionally managed travel program will become even more important."
ACTE, DHS: Registered Traveler Moves ForwardDuring a Webconference hosted late last month by the Association of Corporate Travel Executives, U.S. Department of Homeland Security Assistant Secretary for Policy and Planning, Border and Transportation Security Stewart Verdery asserted that although CAPPS II in its current form may be dead, the Registered Traveler program will not supplant it as the federal government is moving forward with a new security screening program. "Press accounts have been overblown," Verdery said. "We are beginning to work on a next-generation passenger-screening program. We're working on options on how to improve that, and that will continue whether it's under the CAPPS II name or not. We don't see Registered Traveler as a replacement. It's a complementary program." As the Registered Traveler pilot program continues its rollout at five airports throughout the United States, many questions have yet to be answered. Thus far, the Minneapolis pilot has yielded shorter wait times, yet Verdery said results on the program's time-savings are far from conclusive. "For registered travelers, there have been no lines," he said. "It's a marked decrease, but I wouldn't read much into it because their wait times have been low already." Verdery said DHS will begin analysis of the program in October—when three of the five airports will have concluded their pilots—to determine "lessons learned" and "savings derived" thus far from the program. Meanwhile, when Boston Logan Airport this month launches its pilot of the program, Verdery said, "there will be some kind of parking benefit for enrollees." Yet, a TSA spokesperson said firm plans for parking benefits in Boston or the Registered Traveler program at large have yet to be determined but remain a possibility. While the airports only are accepting U.S. citizens and legal residents for the trials, in the "longer term we're open to having the program open to non-citizens," Verdery said.
NBTA Lauds Biometric Passport ExtensionThe National Business Travel Association praised the passage of a bill that extends by one year the Oct. 26 deadline that requires travelers from countries in the Visa Waiver Program to carry biometric passports when visiting the United States. The Senate last month joined the House in approving the bill, which was sent to President Bush for signature. "In our global economy, supporting international business travel is vital to our national interest," said NBTA president Carol Devine. "The Visa Waiver Program countries are the United States' most valuable business partners, so giving them adequate time to implement new passport technology just makes good sense." The Visa Waiver Program allows citizens from 27 countries, including most European Union nations, Japan and Australia, to enter the United States temporarily without a visa. The passage of the bill, however, does not extend requirements effective Sept. 30 that mandate travelers from those countries be photographed and fingerprinted upon arrival in the United States—similar to a process launched in January for visa holders
(BTN, June 15, 2004).