The creation of your Phat Data strategy starts with taking an inventory of the data that you currently receive. The TMC is certainly a big part of that data set. While it’s only a piece of the pie, we realize it’s a critical piece because it provides great insights into whether your program and policies are effective.
Therefore the vital point is to ensure you are obtaining actionable data from the TMC, some of which you may already receive – and some that you have never asked for before.
Whether your travel program is a large global program or a small to medium enterprise, as a buyer you should be having conversations on the data set that you are receiving. Sharing your strategy with all suppliers is important and since the TMC is holding a huge amount of data, you the buyer should be setting the expectations for the information you need. The next step is to determine how that information can be made actionable to fit into the overall success of the program.
It’s no longer enough to slap a pretty dashboard on the same old stale data. TMCs should be moving from data reporting to data analytics – and many are. But the analytics are only as good as their effectiveness for the travel buyer and the program.
As a real-world example, when economic times aren’t exactly booming, the typical response is for companies to cut their travel budgets by X percent. Not necessarily the best idea, but it happens. In these situations, buyers are oft times not involved in the decision making, nor do they have input into how to spend the remaining travel dollars more wisely.
Buyers need to start thinking more proactively and preparing to present options to their leadership when budgets are being cut. One of the best ways to do this starts with talking to your TMC about different ways to capture information regarding your reservations.
For example, if your travelers currently fly in business class, start recording the coach airfare. Now you are armed with data that you could present to your CFO and say, If we move from business to coach we will save X dollars. This way you aren’t cutting the number of trips you take, you are just identifying an opportunity to take them more economically.
There are many other areas where you can collaborate with your TMC to prepare for the What If’s that will inevitably come. Remember, part of building that Phat Data strategy is not just looking at what has happened in the past but planning for the future.
Act on the Facts
Consider other areas where the TMC can play a role as you formulate your strategy. Begin by asking your TMC where they see opportunities to add value in your program and what data can they provide to support that. Then you need to figure out whether these areas are part of your program’s larger strategic vision. Once you’ve done that, the question becomes: How near to real time can the TMC provide this data?
This factor is critical. The TMCs need to start providing data in near real time since it’s this capability that enables buyers to take action more quickly and stop the bleeding in their programs before it becomes harder to manage.
Once the buyer has taken inventory of their TMC data, picked the right data sets, and determined how that data aligns with their overall program strategy, they need to map out a game plan with their TMC. Setting these game plans ensures that everyone is aware of the overall objectives and what the expectations are. The plan may have to start with the collection of new data elements, or refreshing current elements, or even completely removing things that are no longer applicable to today’s strategy.
The next step is to determine how this data is going to be delivered. Does the buyer have a third party or internal tool they want to work with, or are they solely relying on the reporting tool the TMC provides? Because how and when data is delivered makes all the difference to the story being told. And not all data is delivered equally.
The data you need to run your day-to-day operations tells a completely different story than what you want to share with the C-suite. Managing these expectations is critical. Long gone are the days when you could be satisfied with getting your standard ‘suite’ of travel reports for the previous month’s activity 15 days into the next month. That is too late to take action – and remember all data should be actionable or stored for future use.
So take the time to schedule a meeting with your TMC and discuss the data, only the data and nothing but the data. Don’t co-mingle the conversation with other topics; otherwise you may lose sight of topic at hand – your Phat Data strategy.
Ask your TMC partners to come prepared. Do they have ideas that they would like to share with you? Where do they see opportunities for your program? If you know you need a specific piece of data that you are not currently getting, then tell them in advance so they can research and be prepared for you meeting.
Next, specifically lay out your strategy, including what data elements you need, how you expect them to be recorded, and most importantly, why you need it. The TMC needs to be able to understand the Why behind what you are asking for.
Connect them with the story you are trying to tell and how it will impact your program. Share with them all the insights you can; it makes the conversation much more productive. Remember, the better your TMC understands your story, the more proactive they can be.
Along with conversation, you need to come up with a plan of action that requires follow through from both the buyer’s side and the TMC’s. Collecting, analyzing and preparing your data story is only part of the mission; you also need to monitor the progress, and that takes active engagement by both parties on a regular basis. The worst thing that can happen is to think you’re tracking a particular data set and then realizing it’s wrong.
Buyers, don’t wait for your TMC to ask you about your data strategy. And TMCs, don’t wait for the buyers. Join forces now and see how dramatically your program can change for the better and how much stronger the partnership with your TMC will be!
Jennifer Steinke is vice president Global Travel Experience at WHoldings, and an industry thought leader with over 27 years experience managing corporate travel. She holds an MBA plus Certified Corporate Travel Executive (CCTE) and Global Travel Professional (GTP) certifications from GBTA. Jennifer strives to deliver innovative and thought provoking ideas to the corporate travel industry.
