Many professionals who routinely travel for their jobs (five or more times a year) would prefer not to do so at all.
“It is something you have to do to get your job done,” offers Norm Jenkins, vice president of owner and franchise services for Marriott. “To be successful in [your] career, you have to make some sacrifices and travel may be one of them. What I learned from working internationally has helped me in negotiating deals and working through challenges. It has [made] me more of a well-rounded executive.”
Jenkins has spent the last 12 years of his career traveling for Marriott. Two years ago, he traveled as much as 70% of the time — or about 60 trips a year internationally — while in the role of vice president of global operations as well as CFO of Ramada International.
The frequency of African American business travel grew by 20% from 2000 to 2002, which accounts for a range of 8.4 million to 10.8 million trips per year for that time period, according to the Travel Industry Association of America.
You may be a pro at the ins and outs of business travel, but you may not know that you can also do the following:
o Take advantage of discounts. Carol Devine, president and CEO of the National Business Travel Association, suggests always working with your corporate travel manager to take advantage of discounts that are available to companies, such as complimentary nights in a hotel (these perks depend on the volume of business that your company is providing to that lodging). Managed travel programs, with a corporate travel manager who aggressively negotiates and monitors agreements and contracts, typically saves a corporation 25% in travel costs each year. “Travelers can also ask when they check in to a hotel if they have the lowest corporate rate, because hotels, just like airlines, have [fluctuating] prices. People should never pay rack rate for a hotel room,” says Devine.
Upgrade for comfort. Many airlines have started new programs that include upgrades for frequent fliers. For example, US Airways offers Dividend Miles and Delta offers the SkyMiles Medallion Threshold Program.
Check for hidden fees. A Travelocity survey found that the average car renter pays an extra 24.4% when renting a car at a major U.S. airport, with six airports in Texas ranking among the top 10 airports with the largest jump in price between the daily rate and what you actually end up paying. California was ranked as the state least likely to surprise visitors with extra charges.
Keep in shape with In-Room Fitness. More hotels, like the Omni Los Angeles Hotel at Cal Plaza, have made working out easier by putting a treadmill in your room. To find a hotel with In-Room Fitness, visit www.inroomfitness.com.
Participate in the Registered Traveler Program. The Registered Traveler Program was created for homeland security to expedite security screening at airports for travelers who register and are prescreened. This program, while still in the pilot stage, will be available to frequent fliers who have at least 100,000 air miles per year. An approved registered traveler can breeze through a designated lane where his or her identity will be confirmed using biometrics, such as a fingerprint and/or iris scans. “The most aggressive security check I’ve been through was in Amsterdam,” offers Jenkins. “It consisted of seven minutes of questioning, hand-check screening, and the wand. It’s pretty intense.” The test program will include airports in Boston and Los Angeles for designated travelers using airlines such as Continental and American airlines. For more information, contact the Transportation Security Administration, Department of Homeland Security at www.tsa.gov.
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SHOPSMART
Buying Power
To Haggle Or Not To Haggle?
Tips on negotiating at the car dealership
By Lee Anna Jackson
Last month, we talked about information that you should know when considering a car purchase (see “Car Buying 101,” Shopsmart, October 2004), such as where to get pricing data and dealer invoice prices. Now, it’s time to utilize your knowledge and chutzpah so that you can play
STRATEGIZE THEN SIT DOWN
Be vague about your price range. Always negotiate up from the factory invoice price, not down from the sticker price, which is a higher price than the dealer expects you to pay. Start high enough to include a minimal profit for the dealer. A good initial offer can be $200 to $500 more than the invoice.
INSIDER’S TIP
Negotiate the cost of a trade-in after you have the lowest quote for the car in writing. The dealer might try to pressure you into dealing with the trade-in up front, but don’t let him. Know the value of your trade-in by reading Edmunds.com Used Cars & Trucks Buyer’s Guide (Edmunds Publications; $12.95). Don’t forget to adjust for the condition of your vehicle, mileage, and options.
BUYER VS. DEALER GETTING THE BEST DEAL
Everyone doesn’t have to haggle. One of the better known policies is Saturn’s no-hassle, no-haggle sales policy. In fact, superstores such as AutoNation Inc. (www.autonation.com) tend to sell cars at fixed prices and can arrange financing and insurance on the spot.There’s strength in numbers, so take
INSIDER’S TIP
Find out all of the fees up front including advertising fees, dealer preparation, and the destination charge. Make sure that the fees are factored into the dealer’s selling prices because they can cost you upwards of $1,000 or more. You can even request to see the factory invoice, which lists manufacturer-to-dealer incentives and rebates. Remember, you can always walk out if the dealer is not willing to meet your price.
CONSIDER PAYMENT
It’s wise to get preapproved by a bank, credit union, lending or leasing institution, or auto club rather than the dealer. Often, you’ll get a better annual percentage rate from those institutions. Also, the financing officer receives incentives by having you go through one of his lending institutions. Compare the lender’s financing terms with the dealer’s terms.
INSIDER’S TIP
Your credit determines the annual percentage rate or interest of your loan. It is true that you can still get a car with bad credit, good credit, or no credit at all. Jerry Cromwell, general manager of Koons Automotive, says that there’s financing for everyone out there these days. “If you’ve got a job you can generally buy a car,” he says. To figure out your payments, log on to www.bankrate.com and enter “calculator” in the search box.