Let’s start with the good news; in the last few years there’s been a notable rise in the number of organisations looking to integrate ground transport into their travel programmes and manage their spend.

Bringing happiness (and relief) to those working in the sector, mobility has been a topic of discussion at several key industry conferences this year, even making it on to the main stage, and at a Ground Transport Business Travel Lunch Forum in June, organised by The Business Travel Magazine, the high calibre of corporate travel buyers at the table proved beyond doubt that it’s finally being given the attention it deserves.

“The mobility vertical has been the poor relation in managed business travel – until now,” says Stuart Donnelly, President Mobility, Mobility iQ by The Miles Consultancy.

Gordon Millner, Head of Corporate Sales at Blacklane, says the chauffeur specialist is definitely seeing an uptick in corporates looking to manage their ground transportation programmes.

“Following a few years of travel instability caused by the pandemic, travel managers are now catching their breath and taking a look at opportunities to improve their travel programme to increase employee satisfaction, achieve higher quality, cost savings and sustainability,” he says.

Dr. Vojkan Tasic, CEO of Limos4, has also seen a noticeable shift.

“Companies are now reevaluating their travel strategies, including ground transportation, to ensure compliance with sustainability goals and cost control. Larger corporations in industries such as financial services, technology and consulting are leading this shift. They demand reliable, safe and traceable transportation to uphold duty-of-care obligations and align with ESG priorities,” he observes.

But now for the bad news; the majority of organisations are still letting their travelling employees go rogue on ground transport, particularly when it comes to taxis and transfers.

“The Business Travel Lunch Forum showed that rhetoric is rising but we are still at the beginning of the journey when it comes to maturity around fully-managed ground transportation programmes,” notes Donnelly at The Miles Consultancy.

Despite major strides, its surveys found 70% of ground transportation spend in major organisations is still unmanaged, compared to less than 5% for air travel.

“With few bookings for ground transport coming through OBTs, there’s little incentive to invest in innovation”

A recent Uber for Business survey of professional services employees found 51% are now using their business accounts to book taxis and private hire cars.

“But this means that almost half (49%) are still using their personal accounts,” says Jenna Brown, Director of Uber for Business UK.

A FREENOW for Business and GBTA survey found 85% of corporate travel programmes include risk-related policies for business travel but only 55% ‘always’ or ‘often’ address ground transport in these policies.

Daniel Price, founder and CEO of ground transport solution Jyrney, is worried: “From the data I’ve seen, many businesses have more control over the management of office stationery than over placing travellers in vehicles with unknown drivers,” he warns.

“This lack of oversight is alarming, particularly when duty of care is a critical concern. Unmanaged ground transport spend also leads to inefficiencies. Customers have reported savings of up to 20% when transitioning from unmanaged to managed solutions.”

So, for those organisations that haven’t yet got behind the steering wheel, what are the key obstacles and how can they be overcome?

Cost concerns

“I think there are still some travel policies that perceive premium ground transportation as expensive, or only for the most senior travellers,” says Millner at Blacklane.

“When speaking to our clients, Blacklane always tries to assure them that we’re never trying to convince their employees to spend more money, but we are trying to highlight the benefit of a reliable, high quality chauffeur car service in the right scenarios.”

He argues that corporates need to give that last mile the same consideration as the rest of the trip. “So many have policies around travellers flying business class or premium economy if a flight is over a certain duration so that their travellers can be more productive, well rested, etc. We’re working with travel managers to ensure that these same travel policies address those very factors when it comes to ground transportation.”

He recommends looking at travel holistically, not just the cost of the travel but the purpose of that travel, the ROI of every business trip, the long-term wellbeing of those travelling and the value that “seamless, reliable, and high-quality” ground transportation can add to that mix.

Tasic at Limos4 points to new pricing strategies, which can bring cost savings on ground transport.

“Just as airlines and hotels have embraced dynamic pricing, ground transportation providers are adopting similar strategies,” he says. “Travel buyers must be prepared to navigate fluctuating rates, which can also bring opportunities for cost savings when paired with analytics tools or negotiated agreements.”

Fragmentation

One of the core challenge lies in the fragmentation of the ground transportation sector, say the experts.

“Unlike air travel and hotels, where centralised booking tools exist, ground transportation remains highly decentralised,” says Donnelly.

“This was highlighted at the recent ITM Autumn Conference by Cristina Chimienti, Head of Global Travel for Sky, who noted that ground transportation is the area that generates the most traveller complaints. Without a unified booking tool and managed service, controlling this category effectively is incredibly difficult.”

“There are still some travel policies that perceive premium ground transportation as expensive, or only for the most senior travellers”

Price at Jyrney agrees that fragmentation is a major barrier. “While ride-hail companies like Uber and Bolt, or chauffeur services like Sixt and Blacklane, have brought some transparency, they only cover a portion of the market. A substantial volume of bookings still happens with fragmented providers, including local taxis, black cabs, yellow cabs, and airport transfer companies, which leaves a significant gap in visibility and spend management,” he explains.

“With ground transport accounting for up to 20% of some travel budgets, and often operating in the shadows, the opportunity to optimise this area is immense.”

He believes the problem is compounded by a lack of interest from travel management companies (TMCs).

“Ground transport frequently takes a back seat to air travel, which commands most resource and attention. To overcome this, companies must emphasise to their TMCs how critical ground transport is to their travel programme. Without this push, its rise up the agenda will be slower.”

He says TMCs with their own technology stack tend to be more agile and quicker to implement ground transport solutions.

“On the other hand, TMCs relying on an OBT often find themselves caught in a cycle of stagnation. With few bookings for ground transport coming through OBTs, there’s little incentive to invest in innovation, leaving the solutions outdated and unfit for travellers’ needs. This lack of investment fuels the cycle, as poor products fail to generate demand.”

Jyrney is working with TMCs and OBTs to break this cycle and accelerate the adoption of integrated ground transport bookings.

“Meanwhile, we’ve seen a growing trend of corporates coming directly to us to bridge the gaps left by existing solutions, highlighting just how critical it has become to offer travellers a seamless, safe, and sustainable ground transport experience.”

Solutions

Recent advancements in technology have been game-changing for ground transport, says Price.

Ride-hail apps have revolutionised the industry by offering real-time tracking and seamless booking experiences, and now even local taxi companies in remote locations can provide digital booking and real-time driver tracking solutions.

“The ability to integrate all these services into a single platform or API has been a breakthrough for travel management. Platforms that consolidate accurate, real-time data across all ground transport providers bring unprecedented visibility and control to ground transport,” he says.

“What’s more, the availability of legacy technology providers, alongside global ride-hail and chauffeur brands, means that these services can now be integrated directly into mobile booking tools, or offered via standalone apps for corporates.

“This level of interoperability and accessibility makes it the perfect time for travel buyers to bring ground transport into their managed spend.”

“Companies must emphasise to their TMCs how critical ground transport is to their travel programme. Without this push, its rise up the agenda will be slower”

Tasic says Limos4 has seen firsthand how advancements in AI, automation and data analytics streamline the entire process, from booking to post-trip reporting.

“For example, AI-driven software modules allow us to predict client needs, optimise vehicle availability, guarantee final pricing and ensure seamless coordination across global locations,” he explains.

“Real-time tracking and communication tools also play a crucial role, ensuring travellers and travel managers are informed at every step. These innovations enhance safety and reliability while providing peace of mind, especially for corporate clients operating under strict duty-of-care policies.”

Education and change management are crucial. “It’s important to communicate the benefits of managed ground transportation to stakeholders, from cost efficiency and enhanced safety to improved traveller satisfaction,” he says. “Demonstrating how these programmes align with broader corporate goals, such as sustainability and duty of care, helps build buy-in.”