Renegotiate air and hotel deals, buyers told

23 September 2009

24 September 2009 | Rebecca Ellinor

A reduction in demand for hotel rooms and premium cabin air tickets means there are still savings to be made in these areas.

That's the finding of expert business travel writer Amon Cohen, writing in the latest Business Travel Supplement, out with today's issue of Supply Management.

His report advises purchasers to search the market and renegotiate corporate contracts to get the best deals for 2010.

"There has never been a better time to negotiate because carriers, particularly in the premium cabins, are fighting for a small share of the market," said Mike Hare, chief operating officer of Portman Travel.

The recession did not hit the hotel market until the fourth quarter of 2008, since most buyers negotiate their hotel deals to run across the calendar year. Figures from travel management company HRG show rates fell more steeply in the second quarter of this year than the first, but this may be the bottom of the curve.

Puneet Kanuga, managing consultant for the lodging consultancy TRI Hospitality, said: "The pace of decline is easing off but hotels are not able to start building up rates yet."

For more information read the full article 'A new deal'


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HS2 Ltd
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