8 proven ways to save money on corporate travel

Global corporate travel spending continues to rise, reaching new all-time highs each year since the pandemic. On one hand, this signals a strong recovery for businesses following the impact of COVID-19 — but it also reflects the increasing cost of travel services.

For many companies, corporate travel remains essential for securing new deals and driving growth. To stay competitive, businesses are seeking ways to optimise operational costs without compromising on quality.

In this article, we’re sharing 8 practical tips we find especially useful for growing businesses. Implementing even a few of these strategies can make your corporate travel programme more transparent, efficient, and cost-effective. 

1. Update your travel policy accordingly

Ensure that your travel policy aligns with your cost-cutting initiatives. Provide employees with a clear set of rules to guide their decision-making when making bookings and reservations. This is a crucial step in aligning your goals with your budget.

A corporate travel policy shouldn’t be a complex document that employees avoid reading. Instead, keep it clear and concise, covering all essential details that impact overall costs. Provide a concrete list of approved vendors, along with on-site spending guidelines and limitations, to help avoid unnecessary expenses.

Consider all aspects of business travel, including accommodation, flights, ground transportation, and meal allowances. Even small savings in each category can add up to a significant amount by the end of the year. 

2. Consider using travel management software

If your team is large and travels frequently, travel management software can significantly streamline the booking process and save both time and money. You can set custom rules for each local team, apply restrictions based on your flight budgets, specify the booking window, and define the allowable cabin class. The same rules can also be applied to hotels, car rentals, and corporate transportation services.

The software also helps you choose vendors that align with your budget. You can compare flights, hotels, and car rental options to secure the best deals. Since all bookings and reservations are made within a single system, tracking payments and maintaining control over expenses becomes much easier.

3. Encourage advance booking

Booking in advance can significantly reduce costs if you plan all business trips ahead of time. Setting clear deadlines for the booking window in your travel policy can help save money not only on flights but also on hotel stays and other transport.

In the travel industry, early reservations often come with better prices. The same applies to tickets for business events and expos. With advance planning and a simple reorganisation of the booking process, travel costs can be reduced by 10–25% without compromising quality.

4. Try different dates for cheaper flights

Flight prices can vary significantly depending on the day of the week. In some cases, it may be more cost-effective to arrive a day earlier and pay for an extra night of accommodation rather than booking an expensive flight on the day of the event.

Flying mid-week or during off-peak hours can reduce costs considerably. If the schedule allows, consider applying the same strategy to the return flight. Extending the stay by just one day can save money and make the journey smoother by avoiding the rush.

5. Compare airlines for return flights

Before booking a round-trip ticket with the same airline, consider checking one-way flights with different air travel companies.

There are instances where one airline offers the cheapest outbound flight while another provides the best price for the return journey. By booking separate one-way tickets, you can avoid overpaying.

However, this strategy is generally more effective for domestic flights.

6. Loyalty Programmes

Participating in loyalty programmes can significantly reduce travel costs for your entire company. Enrol in frequent flyer schemes to earn points with every flight, which can be redeemed for rewards such as free flights, seat upgrades, lounge access, and other perks. 

Signing up with an airline or airline alliance (e.g., OneWorld, Star Alliance, SkyTeam) is completely free. Sticking to one or two alliances allows you to accumulate points faster.

The same principle applies to accommodation providers. Hotels such as Marriott, Hilton, and IHG offer loyalty programmes where points can be redeemed for future stays, room upgrades, and discounts. 

On a larger scale, these reward schemes can generate substantial savings while also providing additional benefits such as higher-quality rooms, priority booking, and free cancellations.

7. Strategic partnerships

Partner with key vendors to negotiate the best deals for your company — whether it’s hotels, airlines, or car-sharing providers. Strong vendor relationships can make business travel more seamless and cost-effective. 

Don’t hesitate to ask for better terms. Such cooperation is often mutually beneficial, and vendors are well aware of that. Offering bulk bookings in exchange for discounts is a common and accepted practice in business partnerships. 

This approach also simplifies vendor management. Working with fewer trusted service providers makes the process faster and more reliable. You can prioritise those who respond quickly and offer the best rates, streamlining the entire booking and selection process.

8. Leverage travel data

Analyse travel data to uncover opportunities for budget optimisation and better cost control. With access to reliable data, you can make timely improvements to your policies, identify trends, and support more effective financial planning. Consolidating all spending into a single expense management platform can be a game-changer for your budgeting strategy.

Make sure you regularly measure and monitor key performance indicators such as average cost per trip, total travel spend, and cost distribution per trip. Without leveraging this data, it can be challenging to identify opportunities for systematic cost reduction.

With Bolt Business, you can easily track and monitor detailed data, giving you full visibility over all corporate rides and food orders. Easily implement your policies by setting up limits and creating usage rules for your teams. If you need to centralise payments and connect them to your expense management platform, you can do it in minutes through third-party integrations.