Travel Matters June 2017
Russia and Africa are just two of the world’s newest business travel markets and CTM is operating in them, overcoming obstacles along the way explains Gillian Upton Mature markets may be the core of business but for a company to prosper and enjoy a long-term future it has to take leaps of faith into new, burgeoning and often alien cultures. And so it is for CTM, who partners and supports their clients’ expansive strategies, both in terms of arranging the safe and secure travel in these unknown territories and in managing the processes, systems and reporting tools that underpin that service. The challenges are many and varied in immature business travel markets. A fax machine working two hours a week at a hotel in the middle of nowhere poses a common problem, explains Constantine Lutoshkin, Regional Director of Unifest Travel, CTMs partner company in Russia. “In Russia and Eastern Europe generally, content for hotels is very fragmented. We use APIs a lot when it’s possible but we have to put unusual pieces of the puzzle together.” Unifest began as a ticketing business for corporate accounts 25 years ago, as one of the first TMCs in the country. Today it is represented in six regions across Russia with an HQ in Moscow. “Back then the market was hungry for our services,” says Constantine. “We cut tickets and had them couriered but that was it. Then we moved into the TMC hemisphere and automated all our internal processes.” It’s a very different marketplace today, with demands for expense management, online reporting tools in real time, airline and hotel programmes, a drive for personalisation and a need to find a solution for policy compliance. Virtual cards and mobile applications are under development. These developments are set against a shrinking market. “Corporates here are spending less and travelling less as a direct result of the depressed Russian market over the last few years. They’re spending less but they want more so we’re getting more aggressive so we can deliver more.” With CTMs cutting-edge technology behind them, Unifest can do just that. “We have an in-house developed OBT, one specifically for SMEs and our Smart technology solutions for the local market. Our 15-strong IT team give us access to technology as that’s the key USP today.” Africa is another major challenge for TMCs as the entire region is unstable politically. However, even more progressive South Africa has its challenges, from politics that drive rules and restrictions of how businesses can operate; black empowerment and currency fluctuations being just two. “South Africa is the most developed business travel market in Africa,” explains Matthew Heymans, VP International Sales, CTM based in the UK. “It has low- cost carriers, local booking tools, hotels available on booking platforms, direct APIs for smaller areas such as B&Bs and companies such as Concur & GetThere already established.” The majority of the market is leisure- oriented and High Street travel agents still thrive. CTM South Africa operates through partner agency Club Travel and Heymans points out that additional challenges in the business travel market are the clients who are expanding via acquisition or organically, as often the new business constitutes small locations with a handful of staff in a start-up office. “Understanding the local market culture and processes is another big challenge,” he adds. Finding ways to service clients in immature business markets is one of CTMs strengths. A ‘can-do’ attitude is one of the hallmarks of the company, testified by the sustained growth it has experienced. BRAVE NEW WORLDS TRAVEL TRENDS | 09 AD
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