THE KNOWLEDGE 4 SUPPLIER PERSPECTIVE Luke Goggin, Head of Corporate Sales, British Airways WHY ALLIANCES WORK
British Airways’ Luke Goggin defends airline alliances and joint ventures and explains why there are benefits for both corporates and the airlines
feature, either through the network of global alliances or between individual airlines. British Airways has been at the forefront of
T
these. As well as being a founder member of the oneworld alliance, we also launched our joint business with American Airlines and Iberia in 2010 and with Japan Airlines in 2012. These joint businesses expand British
Airways’ global reach for customers and benefit each of the airlines we work with. New routes, aligned schedules, combined services, and a greater number of fares are all available. We can offer more together than we ever could have as individual airlines and this also enables oneworld to compete far more effectively against its rival alliances. There is no doubt joint businesses have been great for airlines. But have they brought tangible benefits to customers, individually and as corporate clients? While there may be
Luke Goggin,
head of corporate sales, British Airways
Luke Goggin joined British Airways as head of corporate sales in November 2010. He was
recruited from outside the airline
industry to help bring new ideas to the airline’s corporate sales team. Luke began his career in 2000 after a stint
playing rugby in the UK and Australia. His fi rst role in sales was with specialist
recruitment agency, Robert Walters. In 2001 he joined
motivational training specialists SI Corporate
Development. A year later he left to
become national
account manager for Whitbread Hotels and Restaurants, where he rose to become head of sales for over 600 Premier Inns and
400 pub restaurants.
some grumbles, the answer has to be a resounding 'yes'. We recognise that the priority for corporate customers is to travel quickly and easily with an airline they like and trust and that recognises the importance of them as individuals and for their business. Taking our Atlantic
Joint Business, there are
he landscape of the airline industry has changed beyond all recognition from a few decades ago and joint businesses are now a common
five main areas where our corporate customers benefit: improved network and route options; competitive pricing; joint sales agreements; joint customer service support centres; and oneworld network flyer benefits. Firstly, customers can travel more easily on
all three airlines’ combined route network to 448 destinations in 110 countries. We have been able to expand customer choice by supporting routes that would not be economically viable for a single airline. British Airways and American Airlines flights
between Heathrow and New York, for example, were rescheduled to offer a virtual ‘shuttle service’ with flights departing almost every hour, on the hour, between 1pm and 8pm. Secondly, we offer competitive pricing
products. Our combined fares and itineraries particularly suit the corporate and business travel market, along with more flexible cost and timing options via our key hubs. Thirdly, joint sales agreements are of huge benefit to buyers. Careful account coordination has cut through a huge amount of red tape, working to offer buyers a single point of contact with coordinated pricing and programmes. We understand there is still more we can achieve here, however we can already see how our combined efforts reduce duplication, complexity and costs. All airlines have to work within the limits of anti-trust laws and regulations set out by governing bodies. We work to influence law- makers by demonstrating how alliances bring real and tangible benefits to joint customers. Though previously independent deals are
obviously still important, we can and do drive significant benefits and efficiencies from joint dealing. Over the past two years, we have been able to generate substantial and attractive deals for our joint customers. Fourthly, we have introduced joint business
customer service support centres at key connecting locations. Finally, our customers can enjoy a greater
range of frequent flier and premium benefits across the wider oneworld network. Together, we offer an alignment of frequent
flier programmes, priority check-in, access to a range of fantastic lounges and priority boarding and seating. With a greater choice of destinations, extra flights, more fares, and consistent service excellence, there’s no doubt that together we mean business.
THE JARGON BUSTER
ACRONYMS: sadly you just can't get away from them in the dynamic world of business travel. So to help you out we've listed some of the most commonly used ones below, just so you don't get your hotel booking agent confused with the Hospital Broadcasting Association.
ACFO Association of Car Fleet Operators ACTE ADR APIS
Association of Corporate Travel Executives average daily room rate
Advanced Passenger Information System ATOC Association of Train Operating Companies
BAPCO British Association of Professional Conference Organisers
BAR BTC
best available rate business travel centre
CDW collision damage waiver CRM CRO CRS CSR DDR ETES FFP GDS
hotel booking agent
customer relationship management central reservation office central reservation system corporate social responsibility daily delegate rate end-to-end solution
frequent flyer programme global distribution system
GTMC Guild of Travel Management Companies HBA
HBAA IATA ITM KPI
LRA MI
MIA MPI
OTM PNR RFP ROI SBT SLA SME
Hotel Bookings Agents Association International Air Transport Association Institute of Travel & Meetings key performance indicators last room availability
management information Meetings Industry Association
Meetings Professionals International online travel management passenger name records request for proposal return on investment self-booking tools
service level agreement small and/or medium-sized business/es
SMMP strategic meetings management programme TEM TMC
travel and expense management travel management company
12 THE BUSINESS TRAVEL MAGAZINE
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