Business Travel News - May 5, 2008 - (Page 10)

BTN RESEARCH More Cos. Consider Environmental Impact Of Business Travel BY JAY BOEHMER Though some corporations continue to advance green travel practices, the majority of respondents to a recent Business Travel News survey said their companies do not take environmental issues into consideration when making travel-buying decisions. Many in the industry have said environmental questions are becoming commonplace on travel supplier requests for proposals, and 29 percent of 196 respondents said they actually evaluate green criteria when selecting travel suppliers, although only 11 percent said a supplier’s green credentials led to its selection. However, the rising tide of environmental consciousness and corporate responsibility initiatives is expected to increase those numbers in coming years as many companies begin to expand green initiatives. “It’s still in the early stages, but is moving forward,” said Bob Brindley, vice president of the Americas for Advito, BCD Travel’s consulting division. “It’s becoming a standard question in RFPs, both from a hotel and air perspective.” Still, he said, by and large any indications of an airline’s green cred are “not overrid- and Sun Microsystems, have adopted a greener travel stance in recent years, in many cases as part of a companywide social responsibility initiative. Many other companies increasingly are exploring travel alter- Some Cite Green Issues As Supplier Criterion Companies that take environmental issues into consideration in travel buying decisions No 71% 18% 11% Yes, and company has selected travel vendor as a result of environmental issues Yes, but company has not selected travel vendor as a result of environmental issues Source: A BTN survey of 196 corporate travel buyers ing any fare differentials” in the course of negotiations. A growing number of large corporations, including Cisco, Dell, Hewlett-Packard, News Corp., Nike natives, setting green policies, taking stock of their carbon footprint and in some cases selecting vendors based on green criteria. “Within our policy practice, it’s be- ing addressed more and more,” said Mitch Cwanger, American Express Advisory Services senior practice leader for air. “Companies are talking green in travel polices, but whether they are making changes as far as the buying decision is concerned, it’s still in its infancy.” Sun Microsystems, like many other companies, said it has included environmental questions in its requests for proposals, but by yearend the company will take the next step as it intends to incorporate environmental evaluations into buying decisions. Santa Clara, Calif.-based Sun already asks suppliers to detail “information about the environmental benefits of their products and evidence of corporate responsibility initiatives within their own operations,” according to its 2007 social responsibility report. By the end of 2008, the report said Sun would “incorporate corporate social responsibility Continued on page 11 Chauffeured Cos. Lower Fees As Hybrid Carrot, But Await Better Cars BY ELISSA HUNTER Two major chauffeured transportation companies are reducing or eliminating fuel surcharges on hybrid vehicles as an incentive to travelers. EmpireCLS Worldwide Chauffeured Services reduced the fuel surcharge amount, while BostonCoach eliminated it altogether. Executives at both companies pointed to decreased gasoline use by hybrids as a main reason for the initiative. “Even a hybrid does take fuel, it’s just a smaller percentage,” said Marissa Criaris, vice president of business development for EmpireCLS. BostonCoach COO Mark Munoz added, “The operation cost of the vehicle is less to us because it’s using less fuel.” However, hybrid fuel consumption is the reason Dav El Chauffeured Transportation Network is not reducing its fuel surcharge. “They’re still running on gas at some level,” said president and CEO Scott Solombrino. Carey International still applies a fuel surcharge on its hybrid vehicles, but the company will look into reducing the amount in the future, said president and CEO Gary Kessler. “As we continue to diversify the fleet, we will look to see if there are opportunities to have a more variable approach can Express Business Travel, said he is seeing to our fuel surcharge,” he said. more interest from buyers of all sizes. EmpireCLS and BostonCoach also said they Suppliers said that the smaller size of a typical do not charge higher rates for hybrid vehicles, hybrid vehicle, however, often doesn’t match traveven though they are more costly elers’ expectations of chauffeured for chauffeured companies to purtransportation, and suppliers are chase than non-hybrids. looking for hybrid vehicles that Dav El’s Solombrino said buyer better match client needs. demand for hybrids has been “Those higher-end vehicles are moderate, due in part to the only now in the production plans slumping economy. “There’s defiof the manufacturers,” said Neil nitely been a hiatus in certain segAbrams, president of Purchase, ments of the economy,” he said. N.Y.-based car rental consultan“When they all settle down on Wall cy Abrams Consulting Group. “It’s Street and get back to focusing on a movement. Manufacturers have what they want to do socially, we to catch up with demand and the can say, here’s the program, here’s question is, is the industry willwhat we do.” ing to pay a premium—more imMARK MUNOZ BostonCoach’s Munoz added, portantly, is the customer—for BostonCoach COO “The demand coming from the this type of service?” clients is not what I would term BostonCoach’s Munoz added, as exploding. There’s interest out there, but it’s “The manufacturers are still working through not a huge amount of demand.” what are the appropriate vehicles for our indusHowever, David Balfour, director of ground try. There is not anything available now that meets Continued on page 11 transportation for advisory services for AmeriBusiness Travel News 10 Monday, May 5, 2008 www.BTNonline.com http://www.BTNonline.com

Table of Contents for the Digital Edition of Business Travel News - May 5, 2008

Business Travel News - May 5, 2008
Contents
Inside Track
Profile
BTN Research
Aviation
Lodging
Travel Management
Travel Management Tech
Executive Dashboard
Corporate Travel World
Destinations

Business Travel News - May 5, 2008