Executives Debate Rising Costs of Business Travel at Summit

Best Western, Southwest Airlines and the NBTA Offer Tips and Solutions to Manage Business Travel Cos

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. October 14, 2008

NEW YORK, NY, February 15, 2007. Business travel costs are expected to surge to all-time highs in 2007, as American Express predicts a 13 percent year-over-year increase in domestic airfares, and Smith Travel Research estimates the average hotel room rate will surge to $103 in 2007 - up more than 11 percent since 2005. To address the issues impacting business travel costs, industry leaders from Southwest Airlines, Best Western International and the National Business Travel Association (NBTA) gathered in New York City earlier this week to discuss how businesses and business travelers can more efficiently cope with rising costs.

UNDERSTANDING AND MAKING VALUE WORK

Dorothy Dowling, senior vice president of marketing and sales for Best Western, emphasized the importance of utilizing hotels that save business travelers money by offering complimentary amenities essential to their stay. Since many road warriors use their hotel rooms as satellite offices, staying at locations that don't tack on extra fees for must-have amenities such as high-speed Internet access will save hundreds of dollars over the course of a year.

'Business travelers eager to trim costs are increasingly seeking accommodations that provide the most essential business-friendly amenities that won't break the bank,' said Dowling. 'Every Best Western offers free high-speed Internet access, free incoming faxes, free package delivery, free local calls (up to 30 minutes) and free long-distance access. Every Best Western hotel also offers either continental or full hot breakfast, with the majority of our properties offering this convenience at no additional cost.'

MANAGE COSTS WITH ONLINE CORPORATE BOOKING TOOLS

Businesses and business travelers alike track travel costs to identify ways to reduce or eliminate unnecessary expenses. Southwest Airlines marketing manager, Loretta Hohmann, said the company's SWABIZ program, for example, offers a wide range of tools that give road warriors a way to efficiently plan, book and purchase their business travel needs.

'SWABIZ, which helps road warriors adhere to their company's travel policies, has redefined how business travel is booked,' said Hohmann. 'In addition, SWABIZ provides travel planners and managers a means to track and manage every dollar being spent on business travel, all at no cost.'

Best Western is set to launch a new portal Web site during the second quarter of 2007 that is expected to attract, qualify and retain business travelers who book 10 to 12 nights per year.

BENEFITS OF MANAGED TRAVEL

According to the NBTA's 2007 Business Travel Forecast, nearly 68 percent of survey respondents expect their companies' travelers to take more trips in 2007 compared to 2006. As a result, companies need to be smart about managing their travel spending habits, according to Bill Connors, NBTA executive director and chief operating officer.

'Think of managing travel expenditures the way you manage the purchase of office furniture,' Connors said. 'Just as it doesn't make good business sense for employees to choose their own desk or chair from an unmanaged list of vendors, it also isn't smart for a company to operate without policies and parameters that need to be followed when traveling.'

For companies that already have travel management programs in place, costs can be reduced in a number of ways, according to Connors, including:

o strengthening compliance with corporate travel policies

o increasing the use of preferred online tools for booking travel

o reducing the number of preferred suppliers, thus leveraging increased volume to secure better prices

o booking fewer luxury hotels in favor of midscale properties