Airlines struggling to fill planes are offering lower fares closer to departure. That’s reducing the savings that corporate travel programs can achieve by requiring travelers to book air tickets in advance.
Average savings for booking 14 days before departure have fallen significantly over the last year—to $200 per ticket, down from $250, according to an analysis of the top 15 U.S. business travel markets by Airlines Reporting Corp.
That 20% drop in 14-day-advance savings is market driven and likely to change, Advito analyst Mike Eggleton explains in a recent Advito Out Front blog. Nonetheless, it should serve as a wake-up call to corporate travel programs: It’s time to take a fresh look at policies.
“If your advance-purchase policy isn’t yielding the results it did in the past, consider adjusting it,” Eggleton advises. “It’s an easy way to increase traveler compliance and satisfaction without a negative impact on your budget.”
