| Business
Travel News, November 2007 |
Issue 28 |
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With UK hotel rates forecast to
continue the trend of the past 3 years and rise substantially
in 2008 according to a recently published report, it
is becoming more important than ever to ensure that
effective room purchasing policies and procedures are
in place so that costs for overnight accommodation in
the UK are kept in check.
Average rates across the UK are set to reach £89
per room per night whilst in London the figure rises
to £128. However normal or rack rates can be reduced
by
20 per cent or more by referring to TMG Corporate's
innovative 'guaranteed ceiling rate' system.
It
works like this.
First
of all a TMG account manager will investigate your overall
requirements for UK accommodation, establishing a pattern
for factors such as location, frequency, volume of room
nights and category of accommodation preferred. Variations
according to time of year will also be checked.
It's then over to TMG's team of negotiators who will
look for the best match from most hotel groupings and
independently-owned properties and produce a schedule
of recommended hotels in the required locations. So
typically for a hotel in London with a 'rack' rate of,
say,
£180 per room per night where you currently enjoy
a discounted rate of £150, TMG will in all probability
be able to offer you access to a maximum or 'guaranteed
ceiling' rate of £120. You know that at a particular
property this is the most you will have to pay - at
less busy times of the year, the rate could be reduced
even further.
To find out how TMG Corporate can cut your spend
on hotel accommodation, contact National Account Director
Ian Currington on
ian.currington@tmguk.com
or call 01926 458030.
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Take-off and landing slots at London's
Heathrow Airport are a very precious commodity. Expect a frenzied
scramble for any going spare in the wake of the signing of
the 'open
skies' agreement
between the US and the EU, which
comes into effect from next spring. In particular
look for airlines giving up or trading slots on short-haul
European routes out of Heathrow in favour of more transatlantic
services.
Delta for example, a US airline which
has for some time now cherished the idea of
flying out of Heathrow, has signed a deal with
Air France to share revenues and costs on their transatlantic
routes. As part of the agreement Air France has yielded Heathrow
slots to Delta, who now plan to switch their Atlanta service
from Gatwick in March 2008. They will also introduce a twice-daily
service to New York's JFK nonstop around the same time, whilst
Air France has announced that they intend to start daily services
to Los Angeles direct from Heathrow in April 2008.
In theory this means greater competition and lower fares for
travellers as more airline partnerships abandon short-haul
flights out of Heathrow and use the freed-up slots for transatlantic
services.
BMI, who have the second largest allocation of Heathrow slots
after British Airways, have a codeshare agreement with US
carrier United. It is possible that United might use this
agreement to substantially increase their transatlantic capacity
out of Heathrow, or might this signal the start of direct
London - New York services by Star Alliance partner Lufthansa.....?
Expect developments of this nature over the weeks and months
ahead.
To
coincide with the new Heathrow services of Delta, TMG Corporate
are offering the following top value WIZARD FARES:
London Heathrow - New York from £76 plus approx £132
tax return Economy Class
London Heathrow - Atlanta from £112 plus approx £132
tax return Economy Class
Bookable through our Merlin Online facility
www.merlinonline.net or call your
dedicated TMG Corporate travel team.
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Incidentally.....
Following a recent independent analysis by corporate travel
consultancy Topaz International, the reservations system
utilised by TMG Corporate was found to save an average of
14% per ticket on airfares.
The findings showed that the TMG system does come up with
the lowest fare an average of 7 times more frequently than
any other reservations systems.
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British
Airways new hold baggage policy was partially introduced
in February to give customers sufficient time to familiarise
themselves with the changes. Since then, the airline has
conducted extensive research involving these customers and
as a result will make the following changes from November
6.
The
changes will mean Excess baggage charges will be significantly
reduced. The allowed weight limit is 23kgs and anything
over will incur the following charges.
Customers will benefit from a 20 per cent discount if they
pay excess baggage charges online.
Revised online excess baggage rates will be: 
UK domestic flights £16 one-way (previously £24)
All other short haul £24 one-way (previously £48)
Long haul £60 one-way (previously £96)
Customers
paying excess baggage charges at the airport will pay:
UK domestic £20 one-way (previously £30)
All other shorthaul £30 one-way (previously £60)
Long haul £75 one-way (previously £120)
Customers will continue
to be able to take their sporting equipment such as golf
bags and skis for free in addition to their normal personal
baggage allowance.
Please
note: British Airways has
announced it is to withdraw services between London Heathrow
and Detroit from the beginning of the Summer 2008 schedule
which starts on Sunday 30 March 2008.
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| Thanks
for reading |
©TMG
Corporate 2007. All Rights Reserved. |
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