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Management

Survey: Four Of Five Not Tracking Ancillary Fees

By Michael B. Baker / August 17, 2011 / Contact Reporter
Business Travel News on X

Most travel buyers do not track ancillary air or hotel fees, though many are making it a priority to do so within the next year, according to a study of 651 travel managers, mostly in the United States, conducted by the Global Business Travel Association Foundation and Egencia.

Only 21 percent of respondents indicated they are tracking ancillary fees, although 41 percent said they plan to do so in the next 12 months. Most buyers who track them do so through expense management tools, though about half also do so through their corporate card supplier.

The survey indicated that most buyers are willing to reimburse travelers for bag fees and itinerary changes but not for other charges. Only 47 percent reimburse for in-flight meals, and only 35 percent reimburse for in-flight wireless Internet use. Very few reimburse for such amenities as preferred seating, extra legroom and priority boarding.

On the hotel side, most buyers reimburse for parking, Internet and airport shuttle use, but less than a quarter said they reimburse travelers for late checkout or early check-in fees. Only about a fifth said they reimburse for fitness center usage.

The survey also indicated slight tightening of compliance rules compared with a similar 2010 survey. Most buyers (61 percent) said their travel policy is a guideline; 36 percent said their policies were mandated, a percentage point higher than in the 2010 survey.

Additionally, 22 percent of buyers said travelers face possible nonreimbursement if they violate policy, up from 19 percent the previous year. Even so, 56 percent of buyers said policy violations warrant "slap-on-the-wrist" reactions, such as email directives to adhere to policy.

More buyers are enacting air travel booking-window requirements, according to the survey. About a quarter require travelers to book at least seven days in advance of travel, compared with 18 percent in 2010. Buyers with no advance purchase requirements or designated timeframe for air travel booking, meanwhile, dropped from 38 percent to 33 percent.

Buyers also continue to increase restrictions on premium-class air travel. Sixty-nine percent surveyed said they limited premium-class travel during the past two years, up from 66 percent who said so in 2010. Even so, fewer buyers are taking the hardest line against it, with only 42 percent saying they do not allow premium-class travel under any circumstances, down from 47 percent who said so last year.

Buyers are less restrictive in the hotel category, with only 28 percent saying they've updated policies to limit travel to certain hotel tiers during the past two years. 

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