Business Travel Planning for the 2012 London Olympics &
Paralympics
From
all the press coverage over the last few months one thing
is for certain, the UK public and wider world have an insatiable
appetite for the London Olympics. This has most visibly
shown itself so far in the mass over subscription for tickets
to the event itself.
BUSINESS
TRAVEL AND THE OLYMPICS
From
all the press coverage over the last few months one thing
is for certain, the UK public and wider world have an insatiable
appetite for the London Olympics. This has most visibly
shown itself so far in the mass over subscription for tickets
to the event itself.
With
most tickets sold the biggest question that remains is how
are all these people going to get to London and where are
they going to stay once there? This huge influx of competitors,
officials and spectators is going to place great pressure
on the capital's travel infrastructure which will undoubtedly
have an effect on locals and business people alike who are
wishing to do no more than go about their normal daily life
with minimal disruption.
Companies
need to be aware of the likely impact on their travellers
as a result of the Olympics and Paralympics taking place
and to start putting in place management strategies. Our
Account Management teams are working directly with clients
to make them aware of the issues and to put strategic plans
in place as the Games draw ever nearer.
Below
we focus on the main areas of likely travel disruption,
highlight the issues that corporate travellers may face
and also propose various solutions and action points that,
when adopted, will mitigate the effects on your business:
AIR
TRAVEL
ISSUES-
inbound travel to London is expected to be significantly
affected in the lead up to, during and immediately after
the Games as athletes, officials and supporters arrive into
the UK from across the globe. Due to stringent no-fly zone
protocols London City Airport may be closed for part, or
all of the Games. Travellers should also allow additional
time for travelling to and from London airports, particularly
those utilising public transport. Conversely, travellers
looking to 'escape' from London could find that outbound
travel is encouraged by airlines through discounted special
rates.
SOLUTIONS-
if your journey to the UK needs to fall within the Games
period then significant savings could be made be utilising
non-London airports. Where a London Airport is an absolute
necessity then booking as far in advance as possible is
highly recommended, certain airlines including British Airways
are already taking reservations for the Olympics period.
ACCOMMODATION
ISSUES-
hotels in prime, central locations have allocated a high
proportion of their rooms (in some cases their entire inventory)
to The London Organising Committee of the Olympic and Paralympic
Games (LOCOG). During any normal July/ August summer period
London hotels operate at circa 90% occupancy rates so the
limited available hotel room supply is sure to impact on
prices.
A
big question that still remains, and a number of hotel chains
are very much dragging their feet on this matter, is whether
the hotels themselves will value short term opportunistic
price rises (over the Olympic and Paralympic period) over
and above the long term relationships which they have built
with their loyal corporate client base.
It
must be expected that the laws of supply and demand will
be in full effect and that prices will significantly rise
and minimum length of stay terms will be added along with
demands for up front payments.
SOLUTIONS-
move business meetings outside of the London area or plan
for them to take place outside of the Olympics period. For
meetings that must take place in London look to ensure that
the timings allow for a day-trip with no overnight stay
requirement.
Where
possible take a view as to your company's likely demand
for hotel accommodation in London during the Olympics period,
this will allow your TMG Corporate Account Management team
to negotiate a preferred hotel programme for 2012 on your
behalf. It may well be worth considering an 18 or 24 month
preferred hotel programme extending into 2013 to secure
more favourable rates from your chosen properties.
In
short, plan and book ahead. The likelihood that London goes
the same way as Athens (Olympics 2004) in that lower than
expected levels of demand saw last minute special hotel
deals is slim to none. Anyone wishing to book a last minute
London hotel room throughout the Olympics is expected to
have to pay a very high price for the "privilege".
UPDATE-
around 8000 rooms were released back to hotels at the start
of the year but the Olympic Organising committee and further
additional rooms are expected to be made available to business
and the public in the spring. However, even with this additional
capacity the British Hospitality Association expects central
London hotels to be 100% full come the Games.
PUBLIC
TRANSPORT & THE ROADS
ISSUES-
according to figures from the Olympic Delivery Authority
(ODA) 3.5 million daily journeys are currently made on the
London Underground system. During the Games, London's transport
system will have to support approximately 20 million extra
trips made by spectators with up to an extra 3 million trips
per day. It is safe to say that travelling on the underground
during the Olympics may not be the most stress-free of experiences
with the Jubilee and Central Lines likely to be worst affected
as they will run the key routes to Olympic Park.
For
overground rail we have been told to expect that advance
tickets will not be available in peak times during the Olympics.
Stations across London including Liverpool Street and King's
Cross St Pancras are expected to be very busy.
The
ODA expects that 80% of spectators attending events in Greater
London will travel by rail (both under and over ground).
Road and River services are also expected to be experiencing
high demand due to the overflow from rail services. Additional
bus and coach services will be transporting spectators around
the capital which will ensure roads are busier than normal,
particularly during peak commuter periods. To top this all
off, road closures will be in effect around the Olympic
'Route Network'.
SOLUTIONS-
there isn't much that can be said regarding public transport.
For rail, ensure that all journeys are booked in as far
advance as is possible (and at off peak times if possible)
and travellers arrive at the station a little earlier than
would otherwise be the case.
For
all journeys in and around London (by road, river or rail)
travellers will need to plan for their trip to take a lot
longer than it ordinarily would due to the significant increase
in overall demand. Where safe and appropriate it may be
worth considering walking to the destination should the
journey not be too far, there are many resources (including
the likes of Google Maps) which detail journeys by foot
with distances and approximate timings.
KEY POINTS
London
Olympics 27 Jul- 12 Aug 2012
London
Paralympics 29 Aug- 9 Sep 2012
Disruption
will also occur on the dates leading up to and after
both events
Start
assessing your summer 2012 London business travel
needs now
Look
to hold meetings and conferences outside of London
Where
viable look to utilise regional airports
Where
travelling into or from London is essential ensure you
book asap
Last
minute bookings in London during the Olympic period
are likely to come at a premium price
Allow
for significant additional time if travelling on public
transport
Where
safe and feasible, consider walking in London rather
than using public transport
Download
the Olympic Delivery Authority's
Travel Guide for Business
How
will London's public transport be affected?
Click
on the map above for an interactive guide to how
travel on the London Underground, London Overground
and Docklands Light Railway is expected to be affected
during the Games.
OUR
HEAD OFFICE
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