Oxford Company, Jeffrey Hansler keynote speaker, trainer, author, employee and management training and development

oxford company home
oxford company about us
meeting planners
oxford company programs
jeffrey hansler articles
oxford company newsletters
online learning
oxford company books & tapes
oxford company media kit
oxford company site map
jeffrey hansler links
oxford company FAQ
oxford company contact us


Finding travel bargains online not as simple as advertised

Angela Pacienza, Canadian Press November 23, 2004
http://www.canada.com

http://www.canada.com/search/story.html?id=2a634bce-ed35-4a5d-b2fa-3c7bb18064bf

TORONTO (CP) - It's that time of year again when the thermometer drops and daydreams turn to sandy white beaches and mojitos.

Many prospective travellers surf the Internet in the hunt for bargain sunshine voyages or flights back home for the Christmas holidays.

Jason Sorby, a 34-year-old from Winnipeg, frequently uses sites like Travelocity and Expedia to research destinations. But when it comes time to book, he goes elsewhere.

"It's unfair to them but it's a great service to just check prices and have a look," said Sorby, who's currently planning an eight-day Hawaiian getaway with his fiancee. "I'll call the hotel directly and see if they'll offer me a comparable price."

The problem, he said, is the horror stories he hears through the grapevine about nasty hotel rooms, with dirty linen and cockroaches, booked through the Internet.

"It's not to say that there's anything disreputable about the sites," added Sorby, who is web faithful enough to do all his banking online.

"I'm just a planner. It's a big decision. You only get so many days off a year and you only have a finite amount of money to work with. I don't want to screw it up. ... If you booked online it just feels so impersonal. You're showing up blind at this hotel with a printout off your computer hoping everything works out. God, that scares me."

Jordana Wexler, a 31-year-old from Toronto, buys most of her plane tickets online.

"I'm looking for a good fare," said the traveller, whose most recent trip was to San Francisco.

But Wexler admits she'll call a travel agent to reassure her an online price is good before punching in her credit card number.

So while travel sites are a growing business, there are still some hurdles to overcome.

"There's no doubt over time the best bargains have migrated to the web," said William McGee, an online travel expert with the non-profit group Consumer Reports WebWatch, based in New York.

But consumers need to be savvy web surfers if a bargain-basement deal is their main objective.

"There is no silver bullet, single site that you can go to and always find the best fares," said McGee.

"It's a challenge. At this point I don't know if there's any easy answer other than comparing (the sites) against each other and reading the fine print."

Online travel sites have staff working one-on-one with hotels and airlines to secure deals, explained McGee.

"They have aggressive sales staff. In one city they may have the lowest hotel rate but in another they're not because another sales staff got those rates," he said.

"There's a lot going on behind that screen. It's like the Wizard of Oz ... It's a very complex industry."

Things like fare jumping, where the price suddenly changes midway through a transaction, and paid placements, where airlines and hotel chains pay premium fees to bump their listing to the top of the display, continue to frustrate consumers, he said.

Furthermore, the growth e-travel has been so rapid that consumers haven't had a chance to figure out how best to shop online.

An example, says McGee, is a recent study by Consumer Reports WebWatch which turned up some terrific travel deals through cross-border surfing - something not even he, an avid e-traveller, had considered doing.

The study found that European travel sites are good alternatives to North American ones, as places like TravelPrice, a little-known Belgian site, frequently beat out high-profile resources like Expedia, Travelocity and Orbitz for international flight fares, especially if booking between European countries.

So what's a consumer to do in the quest for a cheap rate?

It all boils down to shopping around, clicking on several sites to find offers and then comparing the rates.

Even Travelocity advises research.

"You should do your homework," said Amy Ziff, the site's in-house travel expert. "You should have a sense of what a deal is, and what's available last minute."

Another, equally effective technique is checking an airline's or hotel's own website, said Stephen Smith, who teaches in the department of recreation and leisure studies at the University of Waterloo in southern Ontario.

"Sometimes the direct contact with the supplier can yield a deal as good as the discount providers," he said. "This is being driven by the desire by hotels and airlines to reclaim control over their own pricing."

He gives the example of being in Ottawa last year checking into a four-star hotel.

"A gentleman came up next to me and asked about a room, without a reservation," he said.

The clerk quoted the man a price of $189, to which the man asked if there was a corporate rate. The clerk came back with $169.

Not happy with the price, the man "pulled out a Blackberry or Palm Pilot, got onto a discount website, found the same hotel offering a deal at $99 and said, 'I'll take this rate.' "

Smith says the hotel manager agreed to give the man the discounted price.

"Hotels are beginning to discover that these Internet rates are, in effect, becoming their rack rates," said Smith.

© The Canadian Press 2004

Comment: I believe the action described in the final paragraphs is a precursor to what will be occurring on a regular basis in the corporate travel markets (actually, it will happen for all products and all markets).. How will you prepare your organization for this change?


top of page

about us | meetings | programs | articles | news | online learning | resources | media | map | links | FAQ | contact us

for more information
e-mail us!
tel: 714.960.7461
Oxford Company
213 2nd Street
Huntington Beach, CA 92648


www.oxfordco.com

© 2010 Oxford Company, All Rights Reserved