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Posted by Phil Davies on Feb 5th, 2013 at 10:27

HRG’s ‘peerless’ online booking tool expanded

Access to Hogg Robinson Group’s online booking tool has been extended.

“The international roll-out of HRG Online puts us in an extremely powerful position to fully capitalise on the demand for consolidation we are seeing among our global client base.

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Big Shake-Up in Business Travel as Amex Acquires HRG

April 23, 2018 | Professional Services

Major players in the corporate travel industry are looking to focus more on technology-oriented strategy rather than the traditional service-based model. As a result, the industry is now anticipating further consolidation. A perfect example is American Express Global Business Travel (Amex GBT) announcing plans to acquire Hogg Robinson Group (HRG) to create a paradigm shift in corporate travel management. This strategic alliance, which will command over a 30 percent market share, has cemented Amex GBT's position as the largest travel management company (TMC) globally.

The acquisition, valued at $575 million, is expected to create pressure on other TMCs to court the customers of Amex GBT and HRG during the acquisition process as well as plan their next big strategic move in the market. The budgets of TMCs will be restructured and spend allocation toward integration and technology will be relooked at by the travel managers.

Competitive Strategies of a Truly Global TMC

With the growing importance of technology tools in corporate travel, there is a change in the traveler’s preference toward self-managing and self-booking their necessities. The increase in awareness and change in behavior demand the improvisation of traditional business models into a new business model that stresses on personalization for corporate travelers. This strategic alliance reassures a dynamic change in the supplier landscape over the coming 12 to 18 months. Amex’s acquisition of KDS (a leading software platform) was a trendsetter for TMCs acquiring technology companies.

Amex acquired HRG to significantly reduce their operational costs. Amex was looking to have a greater global presence and fulfill customers’ need across territories. One of the biggest advantages for Amex from this alliance is an increase in their presence and the ability to serve their customers directly via a subsidiary. 

HRG’s strong grip on technology will help Amex to capitalize on a slew of internal technological advancements. In recent years, both the companies have made significant investments in people and technology, and offered an extensive range of products, distribution channels and geographical coverage.

How Corporate Travel Will Benefit

A truly global TMC focuses on providing travel sourcing managers with a comprehensive range of travel management solutions and services to complement their current needs. HRG’s existing infrastructure and technology capabilities can be leveraged by Amex to deliver synergies through cost saving and maximize efficiency across the business. A single platform showcasing capabilities of both units is expected to roll out, thereby addressing any shortcomings that might have been there in the old platform. The focus  will be on adding value for customers and the marketplace on the one hand, and generating new efficiency and growth opportunities for business on the other.

This acquisition will also result in gaining a competitive advantage in the marketplace. Industry veterans have predicted that the acquisition will result in doubling of sales volumes in comparison to the next biggest travel rivals ― BCD Travel and CWT. A significant jump in revenue is likely through more commissions and additional distribution incentives. Amex GBT can ensure cost savings for corporate programs by leveraging additional volume for higher discounts on airfares and hotel bookings.

Upgrading to Amex GBT 2.0

As a combined entity, Amex GBT and HRG will have more power over GDC and technology vendors. As for suppliers like airlines and hotels, the larger the company, more powerful they will be. From a technology perspective, together they will have more money to invest in technology. This acquisition will assure a superior client and traveler experience through the fully integrated travel management solution. With Amex’s acquisition of HRG, BCD is positioned to flatter potential clients who might be unhappy with the acquisition. If the acquisition goes as planned, it might trigger a spate of M&As among other TMCs, especially on a geographical basis. Although this is just a possibility, the combination of Amex GBT and HRG will be the starting point for future mergers/acquisitions in this world of TMCs.

• https://www.amexglobalbusinesstravel.com/press-room/american-express-global-business-travel-to-acquire-hogg-robinson-group/
• https://www.businesstravelnews.com/Global/Hogg-Robinson-To-Sell-HRG-To-Amex-GBT-And-Fraedom-To-Visa
• https://www.tnooz.com/article/amex-gbt-acquires-hogg-robinson-group/
• https://buyingbusinesstravel.com/news/0928398-american-express-gbt-buys-hrg
• http://www.travelweekly.com/Travel-News/Corporate-Travel/Competitors-eye-opportunities-arising-from-GBT-HRG-deal
• https://www.citmagazine.com/article/1456795/hrg-acquired-american-express-gbt

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Movers + Shakers: Greg Treasure named new Virtuoso GM, AU/NZ, taking over from Fiona Dalton

Greg treasure will be the new virtuoso general manager australia and new zealand, following the shock resignation of fiona dalton, who will move into consultancy..

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Effective 4 March 2024, Treasure will steer the luxury travel advisor network’s business Down Under, as it looks to grow its footprint even further in the Australian and NZ markets. 

The new GM brings decades of travel industry experience to the role, highlighted by senior leadership roles at HRG Travel in Australia, Asia Pacific, North America and Latin America. 

Before this, he plied his trade at global business travel and meetings specialist CWT for some 15 years.

Reporting to Virtuoso Senior Vice President of Global Operations Michael Londregan, Treasure will operate out of the network’s Sydney office. 

“Virtuoso continues to invest in its global growth by bringing in talented leadership to serve the unique business needs of our members and partners in a given region,” Londregan said. 

“For Australia and New Zealand, where Virtuoso has been successfully operating for 20 years, Greg Treasure will continue to drive value in this well-established market that has set the standard for Virtuoso’s regional operations. 

“We deeply appreciate Fiona’s impact on the market, and we’re excited that her decision to transition to consultancy allows her to spend more time with her family and friends.”

Asian expansion

Elsewhere, Virtuoso’s expansion into Asia has led to the creation of two new general manager roles to oversee different regions.

Reporting to Londregan, Raymond Ang will take on the newly created role of General Manager, South East and North Asia, while Irene Lee will focus on her role as General Manager, Greater China.

Based in Singapore, Ang will officially start with Virtuoso in April.

“For South East and North Asia, the opportunities for growth are endless,” Londregan said. 

“With the region estimated to be the fifth largest economy in the world by 2030, we are excited to explore the incredible development potential it represents, with Raymond Ang helping lead the way.”

Earlier this month, Virtuoso celebrated 20 years of operating in Australia and New Zealand with a lunch and cruise on Sydney Harbour.

In its 2024 Luxe Report, the network flagged nine must-have luxury travel experiences for 2024.

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Travelport and HRG extend partnership

The agreement extends Travelport and HRG's already long-standing partnership of over 40 years which has seen both companies grow together, having recently expanded their co-operation into several new countries.

LANGLEY, UK – Travelport (TVPT), a leading Travel Commerce Platform providing distribution, technology, payment and other solutions to the for the $8 trillion global travel industry, has announced a multi-year contract renewal with HRG , the award winning global travel management company. The agreement extends Travelport and HRG’s already long-standing partnership of over 40 years which has seen both companies grow together, having recently expanded their co-operation into several new countries including Canada and China, beyond such countries as Australia, Austria, Italy, Singapore, Switzerland, the United Kingdom and the United States. Travelport is now the leading distribution and technology partner to HRG having grown transaction volumes together by 22% over the past 18 months.

Part of this growth is due to the adoption in 2014 by HRG of Travelport’s ground-breaking point-of-sale solution, Travelport Smartpoint, which since its launch, has been redefining how corporate travel in particular is searched, sold and booked. Specifically, it is allowing HRG travel consultants to sell a wider range of hotel, car and airline content including leading Low Cost Carriers such as EasyJet and Ryanair in real time and on a fully integrated basis. Travelport Smartpoint includes the ability to add key airline ancillary products or merchandised offers which are important for corporate travellers such as seat assignments, fast track security and lounge access. In addition, its Rich Content and Branding features offer HRG consultants the ability to see and inform their customers about the various product and service offerings each airline has. This feature is now live with over 60 major carriers including British Airways, Singapore Airlines, Delta Airlines and United Airlines and approximately 40 more carriers in the process of implementation.  HRG has also embraced the Travelport Universal API which means that all of the same content available in Smartpoint is also available through the corporate on-line booking tools and other applications that HRG has developed itself in the service of its corporate clients.

David Radcliffe , Chief Executive of Hogg Robinson Group Plc commented: “Travelport helps to enable our agents to provide the first class service our clients expect from HRG. Travelport Smartpoint provides us with a wealth of relevant information and content, which helps give our clients the flexibility and choice that they require. It has also enabled us to achieve growth through productivity and workflow efficiencies. Travelport has a solid track record with forward-looking plans and it is absolutely the type of partner we need to ensure our continued success.”

Gordon Wilson , President and CEO for Travelport commented: “We are immensely proud of our relationship with HRG which is both long term and growing. Travelport and HRG have worked co-operatively together to secure continual improvements in the products, services and content we can offer through our respective technologies and this is a true partnership centred around the sole goal of making the corporate travel experience better for the customers of HRG.  We look forward to continual growth and innovation in the years to come.” The agreement extends Travelport and HRG’s already long-standing partnership of over 40 years which has seen both companies grow together, having recently expanded their co-operation into several new countries.

Tatiana Rokou

Tatiana is the news coordinator for TravelDailyNews Media Network (traveldailynews.gr, traveldailynews.com and traveldailynews.asia). Her role includes monitoring the hundreds of news sources of TravelDailyNews Media Network and skimming the most important according to our strategy.

She holds a Bachelor's degree in Communication & Mass Media from Panteion University of Political & Social Studies of Athens and she has been editor and editor-in-chief in various economic magazines and newspapers.

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