BCD spins out specialised global hotel division

BCD has unveiled its new managed hotel programme, Stay by BCD Travel, along with a newly-created global hotel division. (Mykyta Dolmatov/Getty Images)
BCD has unveiled its new managed hotel programme, Stay by BCD Travel, along with a newly-created global hotel division. (Mykyta Dolmatov/Getty Images)


Travel management company BCD Travel has spun out a new specialised global hotel division and managed hotel programme Stay by BCD Traverl, signalling a new approach to focus on "the second largest spend category in travel", the company said in a statement.

The new division will be helmed by April Bridgeman, who was recently appointed BCD's senior vice president for Hotel Solutions, and comprise newly-created positions as well as existing staff from BCD and its consultancy practice, Advito.

Bridgeman will continue to lead Advito, and now reports to global chief operating officer and chief commercial officer Mike Janssen.

"Hotels are the most critical battleground for customers," said Janssen. "They represent the second largest spend category in travel and are increasingly the measure by which programmes succeed or fail, whether we're talking about savings or satisfaction. Our innovative, data-driven hotel approach helps travel and procurement managers win this battle."

BCD will focus on spend management strategies such as merchandising, market-level rate targets and price assurance, using new approaches such as digital marketing and merchandising to increase awareness and adoption of hotel programmes.

It offers support in areas such as content aggregation, shopping and booking, virtual payment, digital invoice management, price assurance, hotel rate availability management and analytics.

"Great hotel programmes are nothing if you don't drive adoption," said Bridgeman. "When you focus on bringing people into the programme and invest effort into spend management strategies beyond sourcing, you'll achieve materially better results than traditional approaches."

Strategies such as setting hotel target rates has proven effective.

One of BCD's clients, a global medical technology company, reduced its number of negotiated markets by 55% by setting hotel target rates as spending guidelines. The tweak helped achieve a 4.9% incremental savings in non-programme markets.

Another client, a well-known food manufacturer, drove up hotel attachment by 139% year over year through an awareness and adoption campaign.

The company has channeled over 40% of earnings back into technology and infrastructure development, helping to grow its digital platforms, from analytics and intelligence to booking.

BCD manages over 1.4 million properties, including traditional global distribution systems, hotel booking agencies and aggregators.



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