A global client used behavioral economics, specifically the concept of "anchoring," to reduce hotel spend in their program. They shifted from using static negotiated rate caps to setting rate targets 10% below market rates. This adjustment aimed to guide travelers to book lower rates, improving cost control. By comparing preferred rates to market rates, the client eliminated non-competitive rates, reducing their program markets by 55%. The approach resulted in 4.9% savings in non-program markets and 2% savings in program markets, simplifying sourcing and enhancing savings.

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