Travel and tourism supply chain and procurement excellence

In the dynamic industries of travel and tourism, numerous challenges stand as barriers to achieving optimal procurement and supply chain performance.

Improving procurement and supply chain performance in travel and tourism

The travel and tourism sectors face multifaceted challenges due to ever-changing demographics, where companies must capture the purchasing power of millennials and Generation Z while catering to the unique needs of the aging population. Understanding and aligning with the evolving preferences and needs of travellers is paramount in this dynamic environment.

Additionally, the digital revolution has significantly impacted the travel and tourism industry, presenting both a challenge and an opportunity for the sectors. While sustainability is another core concern in modern travel and tourism and the current industry-wide efforts to promote sustainable travel will remain a focus for years to come.

In the face of these challenges, our travel and tourism supply chain experts assist you in navigating these intricacies to achieve procurement excellence:

The travel and tourism industry requires a distinctive customized approach

Occupations in many Travel & Tourism businesses can fluctuate between as much as 90-100% in high seasons and 30-40% in low seasons

Emotions play a huge role in determining the destination, activities and overall experience of T&T consumers. Favorable emotions before, during, and after a trip may supersede rational thought in determining these decisions

T&T is subject to fast-changing and high-impact trends. Economic, political, social and environmental pressures can impact T&T in different manners than other sectors

Generally, the T&T industry has high fixed costs and low variable costs, leading many vendors to focus on generating greater demand. Instead, growing these firms’ narrow margins can be hugely valuable


Specific levers within travel & tourism to achieve sustainable savings potential

  • Tailored procurement strategies: Capturing the purchasing power millennials & GenZ, while catering to the unique needs of the ageing population
  • Culturally sensitive procurement practices: Accommodate the growing diversity in travel
  • Developing cost-effective solutions: Enable low-income individuals’ access to travel experiences
  • Procurement digital piloting: Assess needs, evaluate digital infrastructure, select integrated tools for efficiency & cost-effectiveness
  • Individual degree of digital maturity: Evaluation of the company’s mindset towards change & leverage awareness of digital readiness with intelligent digital assistants to guide transformation procedures
  • Supplier relationship: Work closely to understand suppliers’ capabilities, offerings, & capacity to meet customer preferences & needs
  • Foster innovation: Seek innovative solutions & collab-orate with suppliers to enhance customer experience (e.g., develop customized products or services)
  • Risk management: Effective risk mgmt. to ensure supply continuity & minimizing impact on deviating customer experience
  • Supplier evaluation: Assess suppliers environ-mental practices i.e., commitment to reducing carbon emission, waste management, sustainable sourcing, energy efficiency, etc. (establish KPIs to measure the sustainability performance)
  • Collaboration initiatives: Partake in industry-wide initiatives and collaborations focused on sustainable travel to foster innovation and collective efforts with peers to improve performance


Our end-to-end procurement approach to maximize profit and operational performance

Procurement Transformation

Our experts delve into the intricacies of your procurement processes, starting with indirect spend processes. We conduct a thorough review and challenge existing commodity strategies, identifying savings potential and assessing the organizational set-up. Through the preparation and conduction of comprehensive decision workshops, we aim to secure a global mandate from your existing stakeholders. We then formulate a solid transformation plan which includes provisions for staff migration. Moreover, we design and conduct individual onboarding workshops to ensure a seamless transition.

In addition to this, we take advantage of a full suite of commercial, technical, and process levers, such as tendering, negotiating, demand management, make-or-buy, and re-specification. These levers are strategically utilized to optimize service offerings from a cost perspective while maintaining high levels of customer satisfaction.

Contract Optimization

We develop initiatives to enhance profitability and operational performance without requiring major operational or structural changes, all while ensuring alignment with your customers’ needs and preferences. Our approach includes the strategic renewal of currently ‘scattered’ contracts and opportunistically prolonging contracts for fixed partnerships.

Capitalizing on digitalization in tourism and travel

We advance your digital and technological capabilities, offering lower-cost digital alternatives to replace traditional offerings. Our approach looks to maximize efficiency, transparency, and compliance in procurement. By embracing cutting-edge technology and digital tools, we ensure your procurement processes are not only efficient but also forward-thinking, positioning your business for long-term success.


Get in touch with our travel and tourism consulting experts

Nicolas Bühler


nicolas.bü Contact

Marc Bukrinsky

Senior Project Manager Contact