CASE STUDY: Travel Credit Management
Corporate Travel Management (CTM) assisted a government customer to deliver the most cost-effective solution to manage their high volume of travel credit during a global pandemic. CTM helped establish the framework for one airline’s flight credit rebate process.
Read on to learn more.
The global pandemic created a turbulent travel period which resulted in a high volume of tickets on hold. The customer needed a cost effective and seamless solution that would elimate forfeiture of credits.
Two options were presented to the customer based on the airline’s ability to accommodate a rebate or flight credit.
CTM provided a full analysis of both options, working through a cost and process analysis to present a recommendation.
The significant challenge was the size of the travel program which had a large subset of government agencies. Due to the sheer size of the customer and volume of travel booked, there was an equally high level of tickets on hold with their preferred airline.
The options that were available to the customer were a future flight credit or an airline rebate (cash refund). The use of future flight credits came with restrictions including booking classes, the inability to utilise negotiated fares, and applicable fare classes not displaying.
Other challenges were:
- Working with multiple forms of payment as well as within the agency department, cost centre and traveller level
- Reallocation of travel credits for disbanded agencies
- Managing a large volume of government agencies with differing requests for the management and reallocation of the rebate value
- Communication and messaging approval from agency stakeholders outlining the travel credit process as each agency had varying feedback for best practices.
- Auditing large volumes of airline credits in conjunction with the airline to ascertain which were valid or expired.
CTM conducted a thorough analysis of the two options provided by the airline, and it was determined that the airline rebate would provide the best financial outcome for the customer.
- Full cash rebate amount refunded back to the customer.
- No reissue fees
- No additional fare collection
- No administration, training, or additional time was taken with travel bookers coordinating the use of travel credits.
- Full project management support was provided by CTM managing both the airline and the customer’s expectations.
- Multiple meetings were held between the customer and the airline led by CTM to ensure all parties had clear communication.
- CTM audited the ticket credits, working alongside the airline to agree on the most accurate credit value. CTM also provided enhanced data to the airline’s final data set.
- CTM managed the entire reconciliation process on behalf of the customer.
The customer in conjunction with CTM achieved:
- The maximum refund amount – no forfeiture of credit.
- Delivery of a streamlined communication strategy including a frequently asked questions guide to assist agencies.
- A seamless process with all recipients of refunds receiving them to their requested location whether, at the agency level, department, cost centre, or traveller so minimal administration from the customer was required.
Seeking a seamless travel credit management solution?
Contact CTM today.