CTC CTC Group Travel & Corporate Accounts 1 — Questions and Answers
Question 1: In the travel industry, what minimum number of passengers typically qualifies a booking as a 'group' with airlines?
- 5 passengers
- 10 passengers (Correct answer)
- 15 passengers
- 20 passengers
Correct answer: 10 passengers
Most airlines define a group as 10 or more passengers traveling together on the same itinerary, which qualifies for group contract rates and policies.
Question 2: What is a 'complimentary (comp) policy' in group travel?
- A policy requiring all group members to pay in advance
- A supplier policy offering one free spot for every specified number of paid travelers (Correct answer)
- A free cancellation guarantee for group bookings
- A complementary seat upgrade policy
Correct answer: A supplier policy offering one free spot for every specified number of paid travelers
Comp policies reward group organizers with one free or heavily discounted spot per set number of paid travelers (e.g., 1 free per 10 paid), reducing the tour leader's costs.
Question 3: What is a 'Request for Proposal (RFP)' in corporate travel management?
- A form clients fill out to request a refund
- A formal document soliciting bids from suppliers for corporate travel services (Correct answer)
- A mandatory government filing for international groups
- An internal agency document tracking employee travel
Correct answer: A formal document soliciting bids from suppliers for corporate travel services
An RFP is a formal document sent by a corporation to travel management companies or suppliers to solicit competitive bids for managing their travel program.
Question 4: What does 'TMC' stand for in corporate travel?
- Travel Marketing Consultant
- Travel Management Company (Correct answer)
- Total Miles Calculator
- Traveler Medical Coverage
Correct answer: Travel Management Company
A Travel Management Company (TMC) is a specialized agency that handles corporate travel booking, policy compliance, expense reporting, and supplier negotiations for businesses.
Question 5: What is a 'corporate travel policy' and why is it important?
- A government mandate for international business travel
- A company's internal guidelines governing employee travel booking, spending limits, and preferred suppliers (Correct answer)
- A list of banned destinations for employee safety
- An insurance policy covering all corporate travelers
Correct answer: A company's internal guidelines governing employee travel booking, spending limits, and preferred suppliers
A corporate travel policy sets company-wide rules for booking travel, including approved vendors, spending caps, and advance purchase requirements, helping control costs and ensure traveler safety.
Question 6: Which term refers to the percentage of corporate travel bookings made through approved channels?
- Compliance rate (Correct answer)
- Capture rate
- Booking efficiency index
- Policy adherence ratio
Correct answer: Compliance rate
Compliance rate measures how often employees book travel through approved TMCs or booking tools rather than outside channels, which is key to negotiating supplier discounts.
In the travel industry, what minimum number of passengers typically qualifies a booking as a 'group' with airlines?