It may take an upheaval like American Airline’s all-in foray
into New Distribution Capability to strong arm some fundamental changes in the
business travel industry at large. But a couple of buyers—backed by senior
leadership at a company with a major travel program and its own consulting
stake in changing the models of how business travel should be managed—can lead
by example.
That was the charge taken up by Danielle Cavnor and Eric
Gray for PwC U.S., who jointly garnered BTN’s 2023 Travel Manager of the Year award
for their work to forge a new path for business travel management; one that
simultaneously produced better savings potential, more value and a better
travel experience.
The duo began with a direct booking and direct pay pilot
prior to the pandemic. The objective, supported by United Airlines, blockchain
travel startup BlockSkye and, at the time, ARC (which later fell out of the
fold), was to establish direct booking for travelers so they could access
loyalty inclusions and other for-purchase amenities and at the same time reduce
global distribution fees for the airline. BlockSkye glued the pieces together
on a blockchain-powered ledger to track the booking and related charges, the
latter of which was settled directly with the airline on a defined cycle,
cutting out credit card transaction fees.
The pilot outlined a workable business case for booking and
paying airlines directly, but PwC didn’t want to send travelers to airline
dotcoms. As such, it would still need a TMC and corporate booking tool that
would play in a direct-connect and direct-pay space—and a broad slate of
partners willing to experiment along the way. When few established names were
game, PwC went off the grid, enlisting BlockSkye to stand up a
blockchain-supported agency on top of core travel technology and customer
relationship management platforms provided by Gant Travel. They changed GDS
providers to Amadeus and worked with business travel booking newcomer (but
leisure search master) Kayak.com to pull multiple content sources and channel
strategies into a single forward-facing business travel interface.
The new Kayak Enterprise product, launched in August and
predicated on the relationship with BlockSkye, is an extension of the metasearch
company’s work with PwC. BlockSkye’s ledger tracks all touches to every
reservation and makes it serviceable by the TMC or the airline—if the airline
is directly connected. If not, it takes the booking via a traditional GDS but
still tracks it in a blockchain ledger.
Gray’s role in the new strategy largely has been to source
and work with the new technology ecosystem players to ensure technology
requirements are met—not only for current strategies but also as the groundwork
for new developments as the program matures.
Cavnor’s role has been to negotiate and work with airline
suppliers to integrate with PwC North America’s new platform. Airlines—the first
category to connect—clearly understand the distribution and payment narratives.
Cavnor has brought United, American, and Southwest onboard. Avis Budget Group
is on deck as the first car rental company to participate.
To optimize performance within the PwC U.S. program,
suppliers eventually will need to take the leap. The firm’s new sourcing
strategy prioritizes suppliers in the booking tool according to the value of
their negotiated deals combined with how fully each supplier participates in
PwC’s direct connect strategy. The more strategically suppliers participate,
the more visible they become to PwC’s 65,000 U.S.-based travelers and the more suppliers
can benefit in terms of distribution and payment savings. Cavnor and Gray
confirmed to BTN that PwC U.S. plans to share in those savings and return value
to the program.
"As brilliant as the strategy and vision for this
program is, it couldn't have been accomplished without leaders like Danielle
and Eric,” said Gant Travel CEO Patrick Linihan. “The history of corporate
travel is littered with efforts to innovate at this scale. The missing piece
was having practical leaders who know each other's strengths and have their
hands on the pulse of their internal customers. They managed up, they managed
down, and they brought practical leadership to highfalutin concepts like
blockchain and direct connect. And they got the job done."