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VETTING BUSINESS TRAVEL ACCOMMODATION: WHY DOES IT MATTER?

The recent news that the Global Business Travel Association has pushed its forecast for full recovery of industry spending back to 2026, from 2024, was not surprising. Inflation, labour shortages, high energy prices, the impact of war in Ukraine, and concerns over sustainability have all taken their toll on companies worldwide. Travellers and travel managers are also feeling the strain, the latter universally predicting their roles will be more challenging over the next 12 months.  

It feels like a pivotal moment for suppliers to reestablish best practices within our industry and reaffirm the trust that employers and employees put in us as we navigate out of this uncertain global environment. This will be particularly important within business travel accommodation because where you stay forms one of the most visible parts of any trip, both in terms of the experience and the overall budget.

Why does vetting accommodation matter?
Companies have a legal obligation to provide adequate duty of care to their employees. They need to take reasonable actions to protect their health, safety and welfare, which is much less controllable outside of an office. 

A robust duty of care policy should involve vetting the supply chain of accommodation, much as other areas of a business would look at the finances, ethics and practices of their own supply chains. To illustrate this importance, let’s look at a few possible scenarios.

Example one: With unstable revenue during successive lockdowns, rising energy costs, and a shortage of staff to deliver good service, many hotels and property management companies are in exceptionally poor financial health. When this isn't checked, an employee could book a stay with a business at risk of going under before the trip even begins.

Example two: The rising popularity of alternative accommodation over hotels has meant more business travellers or digital nomads have used booking platforms historically geared towards the leisure sector over the last two years. But with many properties operated by single owners and hosts, the standards and experience of one stay are unpredictable compared to the next. A business traveller could end up with a stay with a difficult check-in process, poor WiFi and, at worst, misrepresented amenities or a scam booking.

Example three: Safety has always been a crucial issue in business travel, but never as much as now. Covid-19 restrictions, political unrest, and weather disasters can place individuals at sudden personal risk. When it comes to accommodation, understanding safety on a micro-level is just as important. If this has not been checked before a stay, employees could be placed in neighbourhoods with high crime rates or hostile attitudes towards women or LGBTQ+ travellers, for example.

The end result of these three scenarios is mostly the same: employee dissatisfaction and a logistical nightmare for the company or travel manager to solve, likely with additional expenses incurred.

What can business travel buyers do about it?
With the right tools and guidance, companies and business travel buyers can ensure a peaceful stay for an employee on any trip, even when there are complex compliance and safety standards to be met.

Firstly, look for industry accreditation when choosing a supplier – particularly in the sometimes disparate world of serviced apartments and alternative accommodation. Providers that have demonstrated commitment to professional business practices will likely be accredited by bodies such as CHPA or ASAP.

Next, use a booking partner or platform that carries out regular checks on its accommodation partners. If these are done with the help of third-party providers, this adds another layer of security. For example, 3Sixty vets the financial health of its accommodation network weekly through a partnership with Dun & Bradstreet Risk Analytics.

You can also lean on technology to provide a bigger picture of the safety of a property’s location. Tools like GeoSure and Augurisk provide real-time data on health, political, and climate risks that employers and employees can access anytime. Some have the ability to integrate into booking and management platforms through their API. 

Work with suppliers that offer 24/7 support should something go amiss during a stay, to give reassurance to both employees and employers that the former is looked after. Business travel is still fundamentally a hospitality-based industry – delivering excellent service will always be an important component of guest satisfaction. Tech-enabled communications are making this whole process much faster and more efficient.

Lastly, ensure that vetting the accommodation supply chain is part of an organisation’s duty of care protocols from the get-go. These protocols should be assessed and updated regularly.

Employees are the biggest asset of any organisation. If our industry can deliver a safe and comfortable accommodation experience for them by ensuring every property has been carefully checked, we’ll be one step closer to meeting that 2026 recovery forecast.