Last month, we were in Denver for the annual GBTA Global conference. It is really great to see that more and more organizations are looking for ways to reduce travel friction. Scott Gillespie’s tClara, along with AMEX Global Business Travel and ARC released the findings of a new study on the effects of Travel Friction. I contains very interesting information. According to the study, road warriors take an average of 26 trips per year and spend 84 nights away from home. Most road warriors, 86%, are happy with their travel policy. However about half want to travel significantly less in the next two years. The study mentions that as a result, this creates a recruiting challenge for many organizations due to travel friction.
Not only that, 83% of respondents say that when looking for a new job, the new firm’s travel policy would be at least as important if not more than the new pay and responsibilities. As a result, the implications of these findings are quite significant for our human resources partners. It makes it extremely important to bring them to the table when we are developing and/or adjusting our travel policies. Also, respondents ranked potential improvements to make their travel experience better, and the #1 factor is taking non-stop flights. Other factors in the top-10 are: more comfortable and convenient hotels (2). Paid time off after a long trip or period of frequent trips (4). Reimbursement for TSA Precheck/Global entry and VIP Lounge access (7).
Furthermore, other studies show that travel friction causes turnover rates on employees that travel to be as high as 10% to 16%. And, according to SHRM (Society for Human Resource Management), the cost to replace an employee can range between 90% and 200% of their salaries. One of the most interesting findings is that 85% would leave for a job in a different firm that requires similar travel levels, if it offers a very attractive travel policy. In other words, most of your traveling employees would not hesitate to leave for an organization with a better travel policy.
Even for an organization with low turnover rates amongst its traveling employees, there aren’t a lot of places to find additional savings from suppliers. Addressing travel friction results in more engaged employees which is the ultimate tool to drive travel policy compliance. We all know, policy compliance is THE way to realize the significant savings our travel managers work so hard to negotiate.
There is a great tool to help you reduce travel friction. A Priority Pass membership for your employees is an inexpensive way to dramatically improve the airport experience, enhance productivity and keep them engaged. Not only that, Airport Lounge Access is in the top 10 of factors that traveling employees say can make their travel experience better, which helps you reduce travel friction.
As I did at the end of 2015, I want to give you an update for the first half of 2016 (January to June):
2016 H1 AIR TRAVEL SUMMARY
- I took 9 trips
- Got on a plane 27 times
- Flew 46,995 miles (actual miles flown)
- Spent 107.25 hours on a plane, the equivalent to 13.41 work days
- 27.75 hours during normal business hours, the equivalent to 3.47 work days
- 79.5 hours on personal time, the equivalent of 9.94 work days
2016 H1 HOTEL SUMMARY
- 10 Hotels
- 9 cities in six countries
- 25 nights on the road
- 21 on business days
- 4 on weekends
Having airport lounge access with Priority Pass undoubtetly makes my travel experience better and helps me stay productive. In Guatemala, where I usually take the earliest flight home and can’t have breakfast at the hotel. It is because it is usually too early. However the Copa Club at the La Aurora airport allows me to enjoy breakfast while sending my morning emails. The time in Sao Paulo when I was able to hold a conference call with a customer located in Peru. Not only that, before my 10 hour flight back to Dallas, I took a shower at the Star Alliance Lounge.
The best example of this is one of our lounge operators in Mexico City. One time, I am in a call with a customer that was so intense, I lost track of time. One of the lounge attendants at our partner The Grand Lounge Elite comes to get me. Outside, another attendant is ready in a cart to take me to my gate so I don’t miss my flight. That’s in addition to their spectacular premium Mexican coffee and the best chilaquiles you’ll ever have, all complimentary.
Clockwise from the top-left corner: Star Alliance Lounge in GRU, Grand Lounge Elite and their coffee in MEX and Avianca Sala VIP in BOG.
I hope these real-life experiences give you a glimpse at what airport lounge access can do for your organization. Moreover, I hope you agree that Lounge Access is not simply a nice to have or a perk; it is a powerful productivity, cost containment and engagement tool. It will help increase your organization’s travel policy adoption and realize the savings you negotiate with your suppliers.
Please do not hesitate to contact me to learn more about ways to reduce travel friction in your organization. And how Priority Pass can help with that.
This article comes from LinkedIn. For the Spanish version, click here. Thanks to Priority Pass for the image.