subject: Your Rental Car, Business Travel And Lower Costs [print this page] Are you tired of your marketing and sales department overspending on business travel? Have you lost control of your company's travel expenses? Most importantly, have you failed to implement some simple rules when it comes to what employees are allowed to spend when they visit customers? If so, then don't despair. There are ways to reduce expenditures and get your business development team to respect your company's costs. There are ways to save money without having to make business travel any more uncomfortable than it is. After all, it's never fun to be away from home. It's pretty much a foregone conclusion that your salespeople must have some semblance of comfort and that typically involves spending money. However, it doesn't have to break your bank. You can save money on things such as the type of rental car you secure, your flight, your hotel and your food. You don't have to sacrifice comfort for saving money. It simply requires adopting some best business practices with respect to how your company manages its business travel. So where should you start?
Are Navigation Systems Really Necessary?
One of the biggest cost drivers on a rental car is the navigation system. This is an added cost that is simply not necessary. First, your company's salespeople should preplan their route well in advance. Second, they should come up with multiple variations on how to get to their customer's location. Third, they must devise several contingency plans around the possibility of one or more customers being unable to meet. Finally, when they arrive at their hotel after their flight, they should drive to their customer's location so that they are well aware of how to get there the next morning. This will not only save time, but it will remove the need for that expensive navigation system.
Find a Balance Between Comfort and Extravagance
There's a fine line between traveling in comfort and living vicariously through the company. Your salespeople must be taught to find a balance between comfort and extravagance, and it starts with you leading by example. As a business owner, you may rationalize your decision to fly first class as reward for having your own enterprise. Consequently, you may decide that staying at the best hotel is a just reward for being a business owner. You can still do this when you travel on your own, but when you're in the company of your subordinates, you should never live so "high on the hog," so to speak. Set an example by doing what you say, and saying what you do. If you want your salespeople to respect your company's costs on business travel, then it starts with raising the bar yourself. Show them the sacrifices you're willing to make and they'll be more than willing to make their own.
Join as Many Reward Programs as Possible
Your company should be members of every possible reward and incentive program available. You should be able to accrue points on flights, hotels, car rentals, restaurants and gas purchases. Some companies even go so far as to have everything put on a company credit card. They do this in order to accrue points on every purchase and then use those points to reduce costs even further.
Reducing your company's travel expenditures starts with you leading by example. You may want to treat yourself for having worked so hard, but it sets a bad precedent for your salespeople and business development team. Instead, raise the bar and your sales & marketing personnel are sure to follow.
