trip gain

Lowest Logical Fare (LLF)

What is Lowest Logical Fare (LLF)?

Lowest Logical Fare (LLF) is a corporate travel management strategy that ensures employees book the cheapest available airfare that complies with company policies and traveler needs. Unlike the absolute lowest fare, LLF considers factors like layovers, travel time, airline agreements, and ticket flexibility to maintain efficiency.

For example, if a direct flight is slightly more expensive than a multi-stop option but saves significant travel time, it might still qualify as the LLF under corporate guidelines. Similarly, businesses may allow employees to book refundable tickets at a slightly higher fare if flexibility is required.

LLF helps companies reduce travel expenses while balancing employee productivity and comfort. Travel managers often set LLF parameters within online booking tools (OBTs) or corporate travel policies to automate fare selection and ensure compliance.

Examples of Lowest Logical Fare (LLF) in Corporate Travel
1.
Direct vs. Connecting Flight
A corporate traveler is advised to book a direct flight that costs $50 more than a long layover option, as it aligns better with business needs.
2.
Policy-Based Fare Selection
An employee is required to choose an economy-class ticket that meets LLF guidelines, rather than upgrading to a premium seat.
3.
Advance Purchase Savings
A travel manager secures an LLF fare by booking 21 days in advance, avoiding last-minute price hikes.
Frequently Asked Questions About Lowest Logical Fare (LLF)
1.
How is Lowest Logical Fare (LLF) determined?
LLF is calculated based on factors like fare price, routing efficiency, layovers, flight duration, airline preferences, and corporate travel policies.
2.
Is LLF always the cheapest airfare?
No, LLF is not necessarily the absolute lowest fare but rather the cheapest option that aligns with business travel needs and policy guidelines.
3.
Do corporate travel policies require employees to book LLF?
Yes, most businesses implement LLF policies to control costs, but exceptions may be made for urgent travel, traveler well-being, or premium clients.
4.
Can travelers choose a higher fare over LLF?
If an employee selects a higher fare than LLF, they may need managerial approval or provide a valid business justification.
5.
How do travel booking tools enforce LLF?
Most corporate online booking tools (OBTs) automatically highlight or restrict bookings that exceed LLF guidelines, ensuring compliance.