Safety is the top priority for managed ground transportation programs, according to a report from the National Limousine Association (NLA) and the Global Business Travel Association (GBTA) called “In the Fast Lane: How Do Travel Programs Manage Ground Transportation?” Travel managers were shown six different priorities and asked to rank them in order of importance for their managed ground program. Almost three-quarters (73%) chose safety as either the first or second priority.

It’s becoming increasingly important for travel managers, according to the report, to think strategically when implementing effective ground transportation policies and processes that reduce risk, promote employee satisfaction and limit cost and carbon emissions.
Based on a survey of US and Canada-based travel managers, the study delves into the current state of ground transportation within corporate travel programs while also highlighting key trends, challenges and best practices for optimizing this component of business travel that can also easily be an overlooked source of risk, cost and traveler dissatisfaction.

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Key findings reveal that while ground transportation accounts for a relatively small share of overall travel spend, it is an area of increasing focus due to its impact on cost, risk and traveler satisfaction. There’s also an opportunity for the industry to raise awareness about the full scope of its offerings.

Highlights from the report include:

  • There’s an opportunity for education and awareness when it comes to the chauffeured transportation industry’s capabilities. When asked to indicate which products/services come to mind with chauffeured transportation, the two highest mentions were black car service (86%) and airport pickups/drop-offs (67%). Respondents were less likely to indicate shuttle/van service (39%) and motorcoaches/buses (31%).
  • Ground transportation represents a relatively small share of overall travel spend. Only 63% of travel managers surveyed knew how much of their company’s overall travel spend was devoted to ground transportation. Of those who did know, they estimated it was 11.5% on average.
  • * Shuttle/van service is viewed as cost-effective and sustainable for group and project travel. The majority (63%) of travel managers believe shuttles/vans are more cost-effective for group/project travel than employees taking separate transportation, and 79% believe they are more sustainable than individual transportation.
  • Even though shuttle/van service is viewed as cost-effective and sustainable, it is only sometimes used on group business trips. Almost 9 in 10 buyers (89%) said employees sometimes or always take separate transportation on group trips, while 67% said they sometimes or always arrange shuttles or vans to transport the employees as a group.
  • Chauffeured transportation is commonly permitted, especially for senior executives and board members, and under special circumstances. A large majority of travel managers (82%) said their company’s travel policy at least sometimes permits chauffeured transportation.
  • Ground transportation spend is trending upward. While almost half of travel managers (47%) said their company’s overall spending on ground transportation increased in the past year, it was more likely to have increased somewhat (40%) than significantly (7%). Meanwhile, 42% expect their ground spend will increase in the next year.Only 16% of buyers said their company had a defined emissions target for business travel specifically, and even fewer (7%) indicated their company had a target for business travel ground transportation specifically.
Suzanne Neufang, CEO of GBTA, said that “delivering effective, safe, convenient and sustainable ground transportation options and policies continues to be a priority for today’s business travel managers, as this latest report shows.“ As companies continue to navigate the complexities of business travel, she said, “understanding the nuances and value of ground transportation management is crucial for optimizing cost, safety and traveler satisfaction.”

Brett Barenholtz, president of the NLA, said, “We want corporate travel buyers to know that the modern limo industry can cater to their every need — from hitting carbon emissions targets to seamlessly executing large-format group transportation, — as we continue to stay true to the core pillars our industry has always been known for: safety, service and reliability.”