As a business traveler for 25 years, mostly as a sole proprietor, I'm acutely aware of how much corporate travel costs and how those costs can be a nightmare to contain.
Business trips are rarely planned with the kind of notice you need to snag the deep discounts. Trips also change mid-itinerary, tacking penalties and fees onto already steep prices. Taxes and fees can add another 25 percent (or more) to your tab. (How about an 18 percent municipal parking tax?) Add luggage fees, Wi-Fi access, surcharges on rental cars, extra meals (think of those four-hour airport delays), new visa requirements for international travel. All these bills add up, so even if you think you know how much a trip will cost, the final tab can be a shocker.
So how can travelers maximize savings? Priyan Fernando, chief operating officer for American Express business travel, advises that corporate travel is a cost center that needs scrutiny, like any other business expense, and a calculable ROI.
With that in mind, American Express has released 10 tips for efficient travel spending, and we've added some of our own.
1. Plan twice, book once. American Express advises that changes mean fees. Airlines often charge $150 or more to rebook a ticket, and many hotels charge "no show" fees of $50 or more, even if you cancel ahead of time. Some hotels even charge the full rate for a room you booked but didn't stay in, especially during a convention. My advice: Confirm appointments before you book; check and double-check to make sure your bookings make sense--that flights and hotel reservations match up, flight or interline connections aren't too close, and that you'll most definitely stay that last day of a convention.
2. Pack light. Most airlines charge baggage fees and levy charges for overweight bags. American Express advises that the cost of dry cleaning may be cheaper than checking extra luggage on longer trips. My tip: Rethink the number of wardrobe changes you'd ordinarily make. At the very least, bring fewer pairs of shoes, leave the hair dryer at home (your hotel room likely has one), and use miniature bottles of toiletries and personal-care products.
3. Check your paperwork. Crossing borders? Ensure that your passport is current and that you have the necessary visas for your trip. Expired or missing paperwork not only can delay your trip but also increase the cost if you need to pay for expediting. My tip: Check with a travel management company or a travel agency for visa/passport support before you travel, and factor in the amount of time it takes to get the travel documents you need.
4. Be flexible. For travel to or from an area with multiple airports, ask your travel counselor to search alternate airports when pricing an itinerary, or use this option yourself if you're booking online. For example, in New York City, fares may be lower via JFK than LaGuardia--low enough to more than offset the higher taxi fare into Manhattan. My tip: Be flexible about the days of the week and even the time of day you travel. Take flexibility a step further and consider other modes of travel than airlines (think train, express bus or driving).
5. Watch for waste. Millions of airline tickets go unused [each year?], even though most non-refundable fares are valid for up to a year. Even with change fees, you can save money by not letting these unused tickets expire. My tip: If you think your trip may end up being shorter or longer than you originally planned, consider paying the higher fee for a refundable ticket. It may end up costing less in the long run. A last-minute fare plus penalty can equal a staggering total.
6. Double up on hotel rooms. Some companies ask (or mandate) that co-workers traveling together share a hotel room or suite. Along the same lines, share car service or a taxi to and from the airport. My tip: If you can, stay with a friend or relative. Some companies are happy to reimburse you for a thank-you gift or lavish meal for your host if the total is less than the cost of a night's stay in a hotel.
7. Have a professional plan complex trips. Complicated international itineraries can offer opportunities for significant savings, even if you have to pay agency booking fees. In other words, let the pros take over. You'll gain from their knowledge of the best airlines, airports, fare classes and specials, and they can book an itinerary far faster than any road warrior can do on a consumer site. My tip: Use a travel professional whenever it looks like self-booking will take you more than half an hour.
8. Plan ahead and stay in touch. The earlier you book air tickets and hotel rooms, the more likely it is that you'll find a good price. Some airlines and many hotels will honor a lower rate if the price for your trip falls after you've booked it. My tip: Keep watching prices. You won't automatically get the lower rate unless you know to ask for it.
9. Stretch your stay to stretch your dollar. Minimum-stay requirements are back, as are cheap fares that require a Saturday-night stay. That means postponing your return trip from a Friday until a Sunday or Monday can result in substantial savings--enough to cover a few nights at a hotel, and then some. My tip: When you have a weekend layover, get out of your original business destination. If you're in Atlanta, rent a car and check out Savannah; in Chicago, try the Wisconsin Dells; in Albany, check out Saratoga Springs.
10. Don't forget the classic money-savers. Some tried-and-true opportunities still exist for travelers, and some are even more common now with higher airline loads. Take that free voucher for volunteering your seat on an oversold flight and pick off-season destinations when you're planning a meeting. My tips: Use public transportation whenever you can to avoid car rentals. Skip room service, and don't even open the door to the mini-bar. It's less fun to schlep your own snacks than to raid the larder, but it'll be a lot easier on the bottom line.