Corporate & AI Travel Glossary

Online Booking Tool (OBT) in Business Travel

By Eclipse GroupUpdated

Executive Summary

An online booking tool (OBT), also called a self-booking tool, is the software employees use to search and book flights, hotels, rail and cars within their organisation’s travel programme. It shows negotiated rates, applies travel policy at the moment of booking, routes out-of-policy trips for approval, and passes the reservation to a travel management company for ticketing and support.

In business travel, OBT stands for online booking tool. It is the self-service front end of a corporate travel programme: where an employee goes to book a trip without calling a travel agent. Self-booking tool (SBT) and corporate booking tool mean the same thing.

What does an OBT do?

  • Search. It pulls flight, hotel, rail and car options from content sources such as global distribution systems, direct airline NDC connections and hotel aggregators.
  • Policy. It applies the organisation’s travel rules — cabin class, fare limits, advance booking, preferred suppliers — and marks each option as in or out of policy.
  • Negotiated rates. It displays the corporate fares and hotel rates the organisation has agreed with suppliers.
  • Approvals. It routes trips that break policy or exceed a budget to a manager for approval before they are booked.
  • Profiles. It stores traveller details, loyalty numbers and preferences so bookings are accurate.

How does an OBT work with a travel management company?

An online booking tool rarely works alone. When a traveller completes a booking, the tool creates a passenger name record and hands it to the travel management company (TMC). The TMC completes ticketing, checks the booking against quality controls, and handles changes, cancellations and out-of-hours support. Bookings made through the tool usually carry a lower TMC transaction fee than bookings made by phone or email, because less agent time is involved.

Online booking tool and travel management company compared
Compared onOnline booking tool (OBT)Travel management company (TMC)
What it isSoftware for booking travel without the help of a travel agentA travel agency that arranges, tickets and supports an organisation’s business travel
Who uses itTravellers and the people who book for themTravellers and travel managers who need an agent
Main jobsSearch, policy checks, negotiated rates, approvals and traveller profilesTicketing, quality control, changes and refunds, and out-of-hours support
The booking recordCreates it and passes it to the TMCCompletes it and issues the ticket
Transaction feeBookings made in the tool are usually charged the lower self-service rateBookings made with an agent are charged the higher full-service rate

How can you tell whether an OBT is working?

  • Adoption rate — the share of eligible bookings made online rather than through an agent.
  • Leakage — trips booked outside the programme entirely, for example directly on a supplier website.
  • Policy compliance — the share of trips booked within policy, and the reasons given when they are not.
  • Touchless rate — bookings ticketed without an agent needing to intervene.

Low adoption usually has practical causes: the tool shows higher prices than travellers find elsewhere, it lacks content they want, or it is slow to use on a phone. Leakage then weakens both duty-of-care visibility and the data used to negotiate supplier rates.

What should you look for when choosing an OBT?

Content matters most. Check which airlines are available through NDC as well as the GDS, how hotel content is sourced, and whether the rail operators and low-cost carriers on the organisation’s routes are bookable. Then look at how policy is configured, how approvals follow the organisation’s hierarchy, whether the tool integrates with the chosen TMC and expense system, and how it performs on mobile, where many changes are made.

Related terms such as TMC, PNR and NDC are defined in the travel technology lexicon.

Frequently Asked Questions

What is an OBT in travel?

An OBT, or online booking tool, is the self-service software employees use to book business travel within their organisation’s policy, usually alongside a travel management company.

What is the difference between an OBT and a TMC?

The OBT is the software used to search and book. The TMC is the agency that tickets bookings, manages changes and provides support. Most corporate programmes use both.

What is a good OBT adoption rate?

It depends on the organisation and its travel patterns, but programmes generally aim for most routine bookings to be made online, keeping agent-assisted bookings for complex trips and changes.

Is an online booking tool the same as a self-booking tool?

Yes. Online booking tool (OBT), self-booking tool (SBT) and corporate booking tool are different names for the same type of software.

Sources

  1. Travel Agent Services (561510) Statement of Work, Refresh 31 — U.S. General Services Administration
  2. Making Informed, Cost-Saving Travel Decisions and SmartPay Essentials (2024 training forum) — GSA SmartPay
  3. How Concur Travel Works — SAP Concur
  4. SAP Concur Trip Approval — SAP Concur
  5. NDC and Concur Travel — SAP Concur
  6. Distribution with Offers and Orders (NDC) fact sheet — IATA

Semantic Context Nodes

travel management companytravel policyadoption rateleakagenegotiated ratesapproval workflow