Travelocity Gets Biz Identity Separate From GetThere
Seeking to serve the more than $30 billion market for lightly managed corporate travel, according to its own analysis, Sabre Holdings this month launched Travelocity Business after an April announcement of plans for $5 touchless and $20 agent-assisted transactions (BTN, April 28).
Travelocity Business at the National Business Travel Association convention tried to clarify its position relative to GetThere, which is both a technology provider and sibling company within Sabre Holdings. TB officials at the show sent away clients they thought were in GetThere's purview and expect GetThere to refer clients to them, when appropriate.
"GetThere provides a corporate online booking tool to large corporations, and they have agency distributors," said Ellen Keszler, president of Travelocity Business, during an interview with Business Travel News. "They are a corporate online booking tool company and also a full service provider. By contrast, Travelocity Business is an online-oriented, full service travel management company leveraging GetThere technology with unique Travelocity content and fulfillment capabilities. In terms of customer segmentation, we're focused on companies that lightly manage travel. It is very difficult to draw a line on what that means, but we think it's up to the range of $5 million to $8 million in ARC volume. It's companies that don't have a significant need for customization."
Aside from volume, Keszler said, clients that have more than three policies to apply or want to retain their agency of record are probably in GetThere's market. "There will always be a gray area for some companies," she said. Travelocity Business would consider servicing larger clients "if a large customer were to say, 'I have simple travel management requirements.'
"We certainly could have branded it GetThere," Keszler said of Travelocity Business, "but we decided to brand it Travelocity to have more market coverage. GetThere is focused on the high end, and our perspective is that the small to middle marketplace has been underserved as it relates to online capability."
Travelocity Business is based on GetThere's Direct MidMarket technology, which includes company-negotiated rates for air, car and hotel. Travelocity Business also will offer its own preferred rates to clients, which include Norcross, Ga.-based Hitachi Electronic Devices USA Inc., Denver-based W.J. Bradley Co. Home Mortgage, Honolulu Symphony and Atlanta-based J Boss Group.
"We'll have two or three preferred partners in each category," Keszler said. "If a supplier is a Travelocity preferred partner, they'll make special rates available for our customers. If a company doesn't have their own preferred suppliers and wants our system to show them, we can make that happen. Many of these companies don't have the size to get their own discounts." She noted that TB keeps commissions.
Keszler said TB can filter customized rates, indicate preferred vendors and apply a limited number of policies. "We're not policing the purchase of corporate travel, but we do ask for reason codes when out of policy," she said. "Policy with this group is different. They're not as concerned about compliance." Users can register and build the site themselves, she added.
Travelocity Business is offering free enrollment and a guarantee that its San Antonio call center will answer the phone within 60 seconds or the call is free. Keszler said the company is not putting service-level commitments into contracts. "We have specially trained, dedicated agents that support Travelocity Business both online and off," she said. "Our agents are not outsourced and really care about great customer service."
In measuring performance, Keszler said, "We do have specific targets, but we're not talking about them. We certainly do have a business plan about what our expectations are. We expect to grow rapidly in the next five years."