BOOKING TECHNOLOGY
New players, new upgrades
The quality of corporate booking platforms has long been a bugbear for buyers and travellers alike, with many tools seen as lagging a long way behind leisure travel-orientated equivalents. That could be changing, however, with big players such as Concur launching a major upgrade of its online booking tool in the EMEA region featuring a “consumer-like” user experience. Other established tech giants have also stepped up their presence in the OBT market with Travelport buying Deem and integrating its booking tool; while rival Amadeus is making impressive strides with its Cytric platform and particularly its tie-up with software firm Microsoft, which has seen Cytric plugged into the latter’s Teams communication tool. Then there are newcomers such as Travelin.ai, which is promoting a “next gen” blended platform allowing travellers to combine business and leisure trips. Meanwhile Zenmer is touting the flexibility of its OBT which allows TMCs and corporates to “work under one roof”. Expect more major progress in OBT development this year with AI helping to take these tools into a new dimension.
SUSTAINABILITY REPORTING
Detailed data
2024 is the year that reporting on sustainability gets serious for many companies in the EU and beyond as they need to start complying with the EU’s Corporate Sustainability Reporting Directive (CSRD). The directive includes more than 1,000 data points, including a single line on business travel, which falls under the “Significant Scope 3 GHG (greenhouse gases) emissions” category. Emissions from business travel during 2024 will have to be submitted by companies in 2025 alongside targets for 2025, 2030 and 2050. It’s not just EU corporates who will be affected as businesses based outside the bloc will also have to comply if their net turnover within the EU exceeds €150 million. Thankfully the EU seems to be aware of what an onerous task complying with the CSRD will be for companies, with some experts suggesting authorities will be “lenient for the first couple of years” on the methodology they initially use. The burden of reporting on business travel emissions should also be eased by the fact that companies with fewer than 750 employees can omit Scope 3 reporting during the first year.
THE YEAR OF ELECTIONS
Polling power
2024 will be one of the biggest years ever for elections across the world with more than 60 countries going to the polls. While much focus will be on the race for the US Presidency in November, it will be the European Parliament elections in early June that will be more consequential for the continent’s corporate travel industry and some key pieces of legislation, such as CountEmissionsEU and the Multimodal Digital Mobility Services (MDMS). European business travel group BT4Europe has already expressed frustration that these initiatives may be delayed until after the European elections. We will have to wait and see how the outcome of the vote across 27 member states changes the trajectory of EU policy. If populist politicians gain more of a foothold in the Parliament, what will that mean for some of the bloc’s key initiatives affecting corporate travel? There’s also the small matter of a looming UK general election, which is almost certain to be held at some point in 2024. The landscape could look very different politically come January 2025.
ENVIRONMENTAL POLICY
European influence
Will this year bring any more clarity on some governments’ attempts to restrict air travel on environmental grounds? Much of 2023 was dominated by whether the Dutch government would be able to impose a mandatory cut in the number of flights allowed at Amsterdam’s Schiphol airport to reduce noise pollution. In the end, the capacity reduction was suspended “until further notice” following pressure from the US and EU, before the airport declared a “limited reduction” at the turn of the year. The initiative could also be dropped when a new coalition government is eventually formed in the Netherlands following November’s elections. Then there’s France’s ban on some short-haul domestic routes where there is an alternative train journey of less than two and a half hours. This has so far been a mostly symbolic initiative as it only applies to three routes from Paris Orly and will have to be reviewed in a couple of years anyway. But the big question is whether any other countries will follow suit? Beyond the EU, one of the biggest questions in European aviation is around the planned third runway at London Heathrow, the continent’s busiest hub. Will it go ahead? Expect to hear an update soon from the airport’s new CEO Thomas Woldbye on this thorniest of environmental issues.
GREENWASHING BACKLASH
Little tolerance
Under pressure to reduce their environmental impact, travel suppliers are deploying a range of strategies to cut carbon emissions and communicating loudly and proudly about them. But things aren’t always as they seem, with companies sometimes overstating their achievements or offerings – and falling foul of advertising authorities – and others flaunting developments that aren’t in fact all that effective. Tolerance for such ‘greenwashing’ activity is wearing thin. In 2023, BEUC, which represents 23 consumer groups across 19 European countries, lodged a complaint with the EU against 17 airlines for making “misleading climate-related claims”. Elsewhere, environmental group VossielFrij (Fossil Free) is suing Dutch flag carrier KLM under the EU’s Unfair Commercial Practices Directive, claiming that the airline’s Fly Responsibly marketing campaign was based on mitigations such as sustainable aviation fuel and offsetting that are insufficient to meet Paris Agreement climate goals. An outcome is expected in February. Meanwhile, Climate group Possible and law firm Leigh Day filed formal complaints against British Airways and Virgin Atlantic last autumn regarding their emission-reduction claims. And in December, the UK’s Advertising Standards Authority banned certain Google adverts from Air France-KLM, Etihad Airways and Lufthansa on the grounds of giving a misleading impression of the airlines’ environmental impact. European legislation designed to crack down on greenwashing is afoot but don’t be surprised by further legal wrangling in 2024.
INCLUSIVITY
All together now
Positive steps are (finally) being made to ensure business travel is accessible for all travellers. In 2023, we saw a much more concerted effort to incorporate DEI into corporate travel programmes and, in particular, address the needs of neurodiverse travellers. While Marriott International recently announced plans to incorporate ‘neuroinclusive’ practices at events, companies like Eventwell, which provides quiet spaces at events, and Maiden Voyage, a consultancy specialising in promoting safety and wellbeing for travellers in diverse workforces, are at the forefront in this area. American Express Global Business Travel is also working with its clients to improve accessibility for travellers with physical impairments. After helping Google launch its Accessibility Travel Desk to provide travel booking assistance, the TMC last year rolled out the accessibility platform for corporate travellers at IBM. Meanwhile, hotel accessibility is being put to the test by the likes of Adam Hickingbotham, travel lead at design and engineering firm AtkinsRéalis, who recently launched an accessible hotels programme in the UK. Inclusivity advocates whose good work has not gone unnoticed include mental health and wellbeing consultant, Matt Holman, who was nominated for his unwavering dedication to driving positive change in the workplace. Meanwhile, Inntel client relationship manager, Tiffany Casson, and TripStax’s Scott Wylie are also championing neuroinclusivity within their respective companies and the wider industry. In 2024, Casson will also work with the GBTA to advocate more broadly for neurodivergent travellers.
THE RACE FOR SMEs
Opportunity knocks
One of the positive trends to have come out of the post-pandemic period is a realisation by many small and medium-sized organisations that managed travel could be for them after previously adopting a DIY approach to travel bookings. There’s nothing quite like major disruption to bring home the advantages of having a TMC in your corner when things go wrong. The big TMCs have had their sights set on SMEs for many years but struggled to gain real traction. That seems to be changing now with Europe’s largest TMC American Express Global Business Travel restructuring last year in a bid to capture more of this market. Major airlines and hotel groups have also been busy launching or upgrading SME programmes, such as Lufthansa and Navan’s BusinessToGo platform and, just this month, Hilton’s launch of a new programme for SMEs. How will those TMCs who have traditionally focused on the SME market respond to more intense competition? Also, where will the balance lie between serving these smaller customers almost entirely through online booking tools versus the ability to offer a more high-touch personalised service? One size may indeed not fit all when it comes to SMEs.
TRAVEL AUTHORISATIONS
New schemes rubber stamped
Electronic travel authorisations are becoming all the rage across the world for visitors who do not require a visa, with the UK’s own version gradually being rolled out in 2024. The UK Electronic Travel Authorisation (ETA) was introduced for Qatari passport holders in October 2023, and will apply to nationals from Bahrain, Kuwait, Oman, United Arab Emirates, Saudi Arabia and Jordan from February. It will then be extended worldwide, including for EU visitors, by the end of this year. Everybody knows about the many delays to the implementation of the EU’s similar visa waiver scheme, the European Travel Information and Authorisation System (ETIAS), and the most recent estimated start date is mid-2025, but the corporate travel industry still needs to get ready for this big change. What should finally happen this year is the introduction of the EU Entry-Exit System (EES), a biometric data system designed to replace passport stamping that needs to be operational before ETIAS can be implemented. EES is scheduled to launch this autumn – at least for now. ETIAS will operate in a similar way to the US’s long-established ESTA system for travellers from visa-waiver countries, including the UK.