What is the profile of the companies surveyed in the EVP 2017 barometer published by American Express GBT?
Guillaume Col - We interviewed more people than in previous years: a thousand companies were surveyed, compared with 580 in 2016. These are not American Express GBT customers. There are some, but that wasn't what we were looking for. The panel is a mix of large companies, ETIs (Intermediate Size Companies) and many SMEs. So we have a good sample, representing the whole market. Our aim this year was also to emphasise the European dimension of the survey. Eleven countries are represented, and the panel includes several hundred German and British companies, for example.
Were you surprised by the forecasts for 2017?
G. C. - Yes, I was surprised both by the average result in terms of spending forecasts, but also by the differences between markets. On average, companies expect 2.5% growth in expenditure for 2017. But there are significant differences between France, where the figure falls to 0.4%, and the UK market, for example, where, despite Brexit, growth is forecast at 2.8%. In Italy, forecasts even reach 4.6%. This puts the sluggishness of the French market into perspective.
How do you explain the gap between 2016 forecasts and actual expenditure?
G. C. - We had forecast 2% of growth for last year. In the end, the figure was actually 1%. The forecast is based on travel volumes, whereas the actual figure is based on expenditure. The difference is therefore largely explained by the price factor, in particular because of the decrease in ATP [Average Ticket Price] in air travel. So I'm not really surprised by these results.
Aren't you surprised by the optimism shown by European companies despite a complicated, or at least uncertain, geopolitical context?
G. C. - Companies are growing. They have plans and ambitions. We've been seeing this trend for several years now. The market is doing better. That's what we see at American Express GBT: we post double-digit growth of our business volume for 2016 and the start of 2017 on the French market.
Companies are growing. They have plans and ambition. The market is doing better.
Even Brexit does not seem to worry the companies questioned across the Channel...
G. C. - British professionals are not really worried about this year. However, 17% of them believe that the Brexit will have a negative impact on their travel volumes in the medium term.
The barometer points to the "need to broaden the scope of expenditure to be monitored". Which ones in particular?
G. C. - This includes all ancillary expensesFrom parking to restaurants, for example. Companies are realising that this represents a significant proportion of their expenditure, which today goes unchecked.
So American Express is going to expand its field of action?
G. C. - Our work consists of extending our area of work and services to our customers in these areas. We are developing mobility portals with certain companies, with access to reservations in areas such as restaurants and meeting rooms. The agency centralises travellers' needs, not just for booking a plane ticket, but for the entire chain, so as to offer the customer a "one-stop shop". consolidated reporting to keep overall expenditure under control.
Urban travel, taxis and VTCs have long been neglected by agencies. Are you also interested in this area?
G. C. - Yes, we're asked to be able to manage this kind of thing. We have to go beyond GDS content. Today, our job is to bring content to our customers. The agreements signed by American Express with players such as Airbnb and Booking.com are part of this approach. The same goes for content restaurantsthe taxisetc. We need to allow our customers to book these services.
However, the collaborative economy is struggling in this 2017 barometer...
G. C. - I'm a bit surprised to see that it doesn't work. The collaborative is still the lowest priority for companies, and the perception is even more negative: the number of companies indicating that they will never go down the collaborative route has risen by 6 points to 38%. Only 21% of those surveyed plan to switch to collaborative working within the next one or two years. This compares with 30% last year. There has been no real emergence of this offering in terms of domain, as was the case with the low-cost A few years ago, low-cost airlines made fairly rapid progress and reached a milestone by conquering a significant share of the business travel market. This is not the case with collaborative travel.
According to the barometer, France is the country where travellers' opinions have the least influence on the development of travel policy. How do you explain this?
G. C. - It's a cultural parameter: there's a real difference between Northern and Southern Europe. In the North, the first question asked about a business trip concerns its purpose, the reason for the trip. In the South, particularly in France, the main question is how much it will cost.cost optimisation rather than passenger comfort. Perhaps I should ask to be transferred to the Northern European markets: it seems simpler!
American Express GBT will endure because we have invested in technology and transformed ourselves
How would you describe the recent development of American Express?
G. C. - Two or three years ago, we underwent a major commercial transformation within the Group. joint ventureThis explains our growth rates. At the same time, our technological transformation is profound: we have succeeded in increase content Our mobility solution is now available, and we are constantly working to improve it by adding new features. Our mobility solution is available, and we are constantly working to improve it by adding new features. Of course, we also have bought KDSWe now have our own tool, although this does not prevent us from working with other tools on the market. The reporting tools integrated into our Premier Insights solution are also a differentiating tool on the market. It's not a standard reporting solution, it's a decision support solution for optimising expenditure. These are the differentiating factors for the coming years, and they will require major investment. In this respect, the JV has helped us a great deal, with our famous 900 million... We want to be totally different from the rest of the market within one or two years, both in terms of content and tools.
So the difference will be made mainly by technological developments?
G. C. - There's the commercial approach, but American Express has always been recognised for the quality of its service. offline serviceAnd then there's the technological shift, which is a major one. Our business has undergone a radical transformation. In other industries, such a transformation has led to the disappearance of historic players. In the business travel sector, we are convinced that American Express GBT will endure, because we have invested in technology and have been able to transform ourselves.
Are other acquisitions planned?
G. C. - Yes, several acquisition options are currently under discussion. The aim is to strengthen our position in markets where we need our own expertise.
Interview by Florian Guillemin
