Egencia has partnered with The Airlines Reporting Corporation (ARC) on a new report on booking windows and the cost benefits of advanced booking. The Egencia Travel Policy Insights: Global Air Edition and the ARC data highlight how much money a company can save if it implements an advance purchase policy for air travel, Egencia said.
Key takeaways from the report include:
- Booking Window – On average, business travelers from the U.S. purchase air tickets 22 days in advance for domestic trips, which accounts for 29 percent of all advance ticket purchases by corporate travelers
- Cost Savings for Economy Travel – For domestic flights, a U.S. economy ticket for corporate travel average $454 with a 22-day advance purchase, whereas travelers who purchase air tickets with a three-day window pay an average of $733 – a 61 percent increase in price
- Cost Savings for Premium Travel – Premium travel (i.e. first class and business class) presents an even more striking cost differential. For domestic flights, a U.S. premium ticket purchased 22 days in advance of a domestic business trip averages $1,260. Booking within a 0-3 day window raises the price to $1,703, a 37% increase over the 22-day booking window
Saving money with advance purchases becomes easier when you have a policy for it and the tools to easily enforce this policy for all employees at the time of booking, Egencia said. Egencia data shows that the probability of someone booking a U.S. domestic flight within seven days of the departure date of the trip is more than 15 percent lower if there is an advance purchase policy in place. For international travel, the likelihood is nearly 20 percent lower.