Business Travel News - November 19, 2007 - (Page 1)

NOVEMBER 19, 2007 INSIDE Avis Ups Its Bet With Carey Investment 3 Notebook: ACTE Assails Green Taxes 4 EC Adopts Revised CRS Code Of Conduct 6 Mtg. Buyers Grapple With Price Hikes 25 ORACLE SR. TRAVEL DIRECTOR IS THE 2007 INT’L TRAVEL MANAGER OF THE YEAR 10 14 25 DYNAMIC DISCOVERY AMERICAN FIRST PERFECTING ATTENDANCE CA’s Brust deploys event reg. tech. General Dynamics’ AA wins BTN’s Loper mines data. 2007 Air Survey. BTN Picks Colunga BY SETH HARRIS SW Woos Corp. Biz CARRIER MODIFIES FARE STRUCTURE, IS ‘OPEN TO THE POSSIBILITY’ OF NEGOTIATED DISCOUNTS BY JAY BOEHMER Business Travel News has named Ralph Colunga, Oracle senior director of global travel, meetings, data, sourcing and card services, as 2007 International Travel Manager of the Year. Colunga was recognized not only for leading a massive, rapid multinational consolidation of Oracle’s $585 million T&E spending into a follow-the-sun travel management service environRALPH COLUNGA ment, but also for initiating and facilitating a benchmarking effort with travel buyer peers. Colunga, who BTN recognized as a Best Practitioner for leading a follow-thesun initiative for previous employer Cisco (BTN, July 5, 2004), took an innovative and ambitious approach to Oracle’s previously fragmented program. He quickly built it into a rationalized cohesive organization working to accomplish the lofty goal of reducing Oracle’s global travel operating expenses by Continued on page 8 Southwest Airlines is continuing efforts to court corporate travel buyers with a modified fare structure, enhancements to its frequent flyer program, a new boarding process, further global distribution system participation and a more open stance toward corporate discounting. In an interview with Business Travel News, CEO Gary Kelly said these and other initiatives should shift its mix of passengers toward the business traveler. Most recently, Southwest this month unveiled three new fare columns—Busi- ness Select, Business and Wanna Get Away— that Kelly said helps make Southwest more “open to the possibility” of negotiating discounts with corporate buyers. Kelly said Southwest would place up to a $30 premium on published Business Select fares, its highest tier, over full coach fares, which leaves a little more room to negotiate than fulContinued on page 35 BCD Travel Plans Changes At The Top BY SETH HARRIS FIRST OF A TWO-PART DISCUSSION OF HOTEL NEGOTIATIONS Buyers Ready For Round 2 Business Travel News this month discussed hotel negotiating strategy with four travel buyers: Pfizer director of global travel Phil Dunphy; Cynthia Gillen, director of procurement and travel management for BDO Seidman; National Business Travel Association president Kevin Maguire; and Cynthia Shumate, director of travel services for Estee Lauder Cos. The following is the first half of that discussion, focusing on each participant’s strategy for negotiations this year. BTN: At what stage of the hotel negotiating process are you? Phil Dunphy: We’re waiting for our second round. The first one was interesting. When you look at inflationary rates, to be Continued on page 6 Lufthansa CEO Eyes Fuel Costs, Consolidation ONE-ON-ONE ALL-INCLUSIVE PRICING? NOW THAT MAKES BUSINESS SENSE! Postmaster: Newspaper Handling/Periodicals Postaage WOLFGANG MAYRHUBER The announcement by BCD Holdings earlier this month that CEO Joop Drechsel also will assume the title and responsibilities of CEO of BCD TravTop Domestic Carriers Ranked By 358 Corporate Buyers el on Jan. 1, 2008, emphasizes the expectations for the further growth of 1. AMERICAN AIRLINES the travel management company, now the largest operation within the 2. CONTINENTAL AIRLINES holding company’s portfolio. 3. SOUTHWEST AIRLINES With the new year, current CEO BCD’S JOOP DRECHSEL Mike Buckman will become president of BCD Travel in Asia/Pacific. At the For more, see page 14. same time, John Snyder, current president and COO of the Americas, will become president and global COO of BCD Travel. Drechsel, 52, plans to further align BCD Travel’s businesses globally, strengthen its Asia/PaLufthansa CEO Wolfgang Mayrhuber one, there were new markets that cific position, grow by acquisition and vice president of the Americas came in. Number two, we deployed Continued on page 6 Jens Bischof this month met with hedging strategies. Number three, the Business Travel News editors in competition is working with the same New York to discuss the rising cost of fuel price, more or less. I think the ticket prices could have fuel, plans to re-introduce inflight Internet service and the pace of airline gone down further if these fuel costs consolidation in Europe. had not been going to where it is now. BTN: Back when oil was apBTN: You also use fuel surcharges. proaching $50 a barrel, airlines said Mayrhuber: That’s part of it. the model was based on $35 tops, yet That’s what I mean about prices. The here it is today at $97 and nobody re- price elasticity is not big, on the one ally is falling away. Why is that? hand. On the other, we have driven Continued on page 36 Wolfgang Mayrhuber: Number 10TH ANNUAL BTN AIRLINE BUYER SURVEY WINGATEHOTELS.COM For more, visit www.btnonline.com http://www.koreanair.com http://WINGATEHOTELS.COM http://www.btnonline.com http://www.koreanair.com http://WINGATEHOTELS.COM

Table of Contents for the Digital Edition of Business Travel News - November 19, 2007

Business Travel News - November 19, 2007
Contents
Avis Ups Its Bet With Carey Investment
Notebook: ACTE Assails Green Taxes
EC Adopts Revised CRS Code Of Conduct
Dynamic Discovery: General Dynamics’ Loper Mines Data
American First: AA Wins BRN's 2007 Air Survey
Perfecting Attendance: CA’s Brust Deploys Event Reg. Tech.
Mtg. Buyers Grapple With Price Hikes
Business Travel News - 2007 Resource Guide
Table of Contents
Airline Benchmarks
Siemens: Global Balance
Hotel Benchmarks
Syngenta: Selective Sourcing
Online Booking Benchmarks
Pfizer: Cross-Border Mtgs. Consolidation
Meetings Benchmarks
Planes, Trains and Striking Good Deals

Business Travel News - November 19, 2007

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