OP-ED: Booking Product Selection Is Just The First Step
<B> OP-ED: Booking Product Selection Is Just The First Step</B>
By Ralph D. Brown
<i>Ralph D. Brown is president of R.D. Brown Company, a travel consulting firm headquarted in South Elgin, Ill.</i>
I f your company is in the process of selecting an interactive booking product or has just begun to consider supplier products, you may be surprised to find much more work ahead of you than expected. Selection of a product is only
the beginning, similar to the "iceberg effect" where you see the visible part but can't quantify the unknown part. The unknown factor here is the training, promotion and education of employees necessary to have a truly successful interactive program.
The importance of implementing an interactive booking alternative is growing and the products offered by suppliers continue to improve in functionality and usefulness. Although the products themselves are easy to use, making it relatively simple to train employees on "pushing the buttons," the real key to success is the training of employees on the benefits of using the product.
Our research, at this point, indicates that savings through interactive booking products can range from 5 percent to as much as 20 percent on airline spending. There are several reasons for this surprising level of savings: 1) travelers see the cost differential of fare options rather than hearing the savings potential and are more likely to recognize the value; 2) employees feel challenged to find better rates and are more likely to search for better fares; 3) travelers see more options themselves, whereas travel arrangers frequently turn down savings opportunities rather that bother the traveler, and; 4) preferred supplier discounts are better supported with more visibility and built-in restrictions.
There are significant savings to be gained by using an interactive product, but many companies are experiencing low usage, usually under 10 percent of transactions. Most travel managers get a product and roll it out thinking that because it is user friendly it will sell itself, but savings will be lost unless more aggressive training and education methods are employed during the early stage of implementation.
The reasons for low usage of a product include: 1) employee reluctance to lose personal service through the telephone; 2) employee misperception about the difficulty of the task; 3) traveler or arranger "ego" ; 4) lack of trust in the system; 5) fear of the computer, and; 6) reluctance to change.
After initial testing of a product with a base group, the following steps should be considered to improve the use of the interactive product and maximize success:
1. Promote the product before rollout to create enthusiasm and interest. A "roadshow" demonstration in major company locations can gain attention.
2. Provide a strong initial training program that focuses not only on the use, but on the value of product and the benefits to the company. Establish structured training sessions that must be attended by all users and aggressively push use of the product.
3. Establish initial and follow-up communication to employees through e-mail, bulletin boards and newsletters promoting and reporting the usage of the product and to get their feedback.
4. If use cannot be mandated, promote the use of the product through incentives and develop promotional materials to support the effort. Establish reasonable goals that can be targeted and measured. As a savings incentive, some companies actually charge back a lower agency transaction cost to the department when using the interactive product.
5. Establish "manager training" to encourage department mangers to push the use of the product. By explaining the savings potential and benefits to the company, managers will be more forceful in directing employees to use the system.
6. Create a user "help desk" through the travel agency to support those employees needing assistance or a source for questions and answers.
7. Establish follow-up focus groups to determine product acceptability, help identify problem areas and generate ideas for increased functionality.
The extra work and cost of a structured rollout that includes training and promotion will result in greater success and savings for the company.