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Let's Go by Train

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Let's Go by Train Let’s go by train Integrating rail into business travel Putting rail at the heart of business travel Business travel is a force for good, bringing people together to create, build and generate prosperity. Before the pandemic, rail was a growing part of this story. As travel returns in the Covid era, first domestically and then cross border, rail will play a critical role in enabling commerce, recovery and growth. American Express Global Business Travel (GBT) has developed this report to understand how we can put rail at the heart of business travel. Rail offers compelling advantages for business travellers, including convenience, greater comfort and more space to work or relax. For companies looking to green their programme, today’s efficient trains can outperform the car and the plane on But, as we detail in this report, more needs to emissions. And, in the Covid era, rail providers are happen to make rail truly compelling for business providing clean, contactless experiences that will travellers. In the following pages, we spotlight give travellers the confidence to get moving again. areas where the rail customer experience falls At GBT, rail is a growing segment of our business: short, including quality of service, distribution and last year in Europe we managed rail transactions door-to-door travel. Informed by expert insights worth $1.6 billion. In the UK, we facilitated 1.4 million from our contributors, we also offer constructive rail transactions. We’re looking forward to rail recommendations for driving improvements. accounting for even more of our business in Let’s go by train concludes by identifying five areas the future. where the rail industry, working with business travel, Many of Europe’s major rail providers already can accelerate progress to accommodate the needs deliver the quality of service that business travellers of business travellers and business commuters as expect. Eurostar, SNCF and Trenitalia, for example, the economy recovers and travel returns. focus on customer demand and customer service – I would like to thank the experts and industry and business travellers appreciate the results. leaders who shared their views for Let’s go by train. In the UK, the rail proposition is improving at pace. As we recover and rebound after the pandemic, the We welcome the £20 billion investment in network future of rail looks bright. At GBT, we are proud to be improvements this year and we’re encouraged that helping to shape that future. the government continues to support HS2– this is a critical investment in connectivity that’s good for Jason Geall Vice President & Regional General Manager, Europe travellers and for the country. American Express Global Business Travel American Express Global Business Travel (GBT) is a joint venture that is not wholly owned by American Express Company or any of its subsidiaries (American Express). “American Express Global Business Travel,” “American Express,” and the American Express logo are trademarks of American Express and are used under limited license. This document contains unpublished, confidential, and proprietary information of American Express Global Business Travel (GBT). No disclosure or use of any portion of these materials may be made without the express written consent of GBT. © 2020 GBT Travel Services UK Limited. LET’S GO BY TRAIN 3 Introduction The age of the train Rail has arrived on the business travel agenda. Long Increasingly, rail is recognised as the fastest, most convenient and green option for many journeys. uncelebrated as a basic transport essential, we’re People can work onboard, and the overall experience is less stressful than other modes of transport. now seeing players from across rail and managed travel asking how they can integrate rail into This century has seen a renewed focus on rail the tax rates for rail travel while increasing taxes 3 business travel and accelerate rail growth. Looking across Europe, as improved services and growing on aviation. In May 2020, Air France radically cut at the bigger rail picture in the UK, the government awareness of rail’s environmental advantages back its domestic network: for journeys of less 4 has stated its ambition to “undo the damage” done versus other modes draw millions of people back to than 2.5 hours, travellers should take the train. 1 the train. The UK is no exception: here, prior to the by the historic Beeching cuts to the rail network. Rail is an established component of the business pandemic, passenger numbers had doubled in 20 We’ve seen the government ready to intervene in travel mix in continental Europe: around 40% of years and almost 5 million people were getting on a the railways with the end of franchising and the all the bookings made on Neo, GBT’s integrated train each day.2 introduction of Emergency Recovery Management online booking and expense management tool, are Agreements during the pandemic. And at last As the world adjusts to a “new normal”, the 2020s for the train. there’s more clarity about HS2 – a landmark can herald a new age for the train in business travel. In the UK, however, rail is not integrated into project for the future of rail that we’ve advocated Rail is an increasingly attractive proposition for managed travel to the same degree. According to strongly for. the business traveller. For one, the product has Clive Wratten, CEO of industry group the Business improved: decades of sustained investment in At Black Box Partnerships, we work with railway Travel Association (BTA), travel management infrastructure have delivered faster, more frequent stakeholders, ranging from central bodies shaping companies (TMCs) in the UK have tended to view services across the world. Train travel is in tune with strategy, train operating companies (TOCs) on rail as “a second-class citizen”. Yes, many people growing concerns about the environmental impact technology and delivery, and travel management travelling for business in the UK take the train. of flying. In some countries, governments are taking companies like GBT on distribution and service However, for many business travellers, the train is steps to make the train more attractive versus delivery. Across the board, we are seeing a growing customers. In order to bring about a closer focus not always their first choice. interest in rail, and questions about how rail can on the business traveller and business commuter, flying: for example, the German government has cut better support the needs of business travel and the travel management companies and trade wider economy. associations will need to be given representation on the bodies leading the industry. Let’s go by train identifies the key pain points which prevent rail from being fully integrated into For business travellers, this kind of focus will mean managed travel. More importantly, it identifies a smarter, personalised experience with more the areas for smarter collaboration. Innovation comfort, less anxiety and a better environment to and digitization are clear themes. The focus on get work done on the move. Companies benefit from structural change, identified by stakeholders from the productivity gain and travel options that support every corner of the industry, is aligned with the their green goals. And the wider economy benefits reforms anticipated from the Williams Review and, from greater connectivity, spreading commerce and in some aspects, accelerated by the Emergency prosperity beyond the main cities. Measures Act. So, let’s get collaborating to build a business travel- Key to these reforms is the customer. There is friendly proposition for rail. A key step is to give currently no official industry category or strategy business travellers a voice at the top table, and specifically for the business passenger. Without ensure that the companies that look after business a clear focus on the business traveller – and the travellers are welcome into the rail ecosystem to business commuter – the rail industry will struggle help drive its development. to develop products and services that successfully and consistently meet the needs of these Raj Sachdave Managing Partner Black Box Partnerships 4 LET’S GO BY TRAIN LET’S GO BY TRAIN 5 The rail advantage Covid-safe travel Versus air and cars, rail offers business travellers and companies important benefits. Evidence shows that trains are a safe way to travel: the industry, and the focus on restoring traveller Faster, and more frequent: Massive Enabling traveller productivity: the Rail Safety and Standards Board (RSSB) confidence: “We have significantly enhanced our investment into the UK’s rail network Plenty of space means you can keep estimates the risk of contracting coronavirus on a cleaning regimes and use sustainable, superior is delivering a better railway, reducing working on the train. As Colin Kelly, train as less than 0.01% - or 1 in 11,000 journeys. viricidal products onboard our trains and in bottlenecks that slow services, improving Innovation Manager at TransPennine Express This level of risk halves if passengers practice social our stations. Our reservation-only approach journey times and putting more trains onto the puts it: “There’s never wasted time on your distancing and wear face masks.8 automatically assigns customers socially network. In the UK, Network Rail has reduced train journey.” With free WIFI and mobile phone distanced seats. These measures are helping us delay minutes by 20% over the past 10 years.5 connectivity, plus a table with ample space for All the TOCs who contributed to this paper detailed welcome customers, travelling for leisure and Sustained infrastructure investment also means your laptop, the train can be an office on wheels. the extensive measures they have put in place business, back to rail and offers reassurance that improved reliability: across the world, high for traveller safety. This comment from LNER’s safety always comes first.” speed rail investments mean the train offers a David Horne exemplifies the approach taken by Rail competitive alternative to the plane on many key A greener way to travel: has a strong story to tell on city-to-city business routes.
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