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Thursday, October 11, 2012

10 things travel sites won’t tell you - Yahoo! Finance

10 things travel sites won’t tell you - Yahoo! Finance
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  1. RAYLOKEOctober 11, 2012 at 2:53 PM

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    By AnnaMaria Andriotis | MarketWatch – Mon, Oct 8, 2012 10:43 AM EDT
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    Online booking agencies let you be your own travel agent. But you’ll pay for the privilege.

    1. “Don’t assume our prices are the lowest.”

    For the past 10 years, so-called online travel agencies, like Expedia, Orbitz and Travelocity, have been gaining ground in the booking business. And nowadays, they’re the most popular choice by far, for airfare and hotel-stay shoppers alike: Nearly a third of travelers book a room through third-party sites, while less than a quarter turn to the next most-used option, the hotels’ own sites, according to a January 2012 report by travel market research firm PhoCusWright. When it comes to airfare bookings, online agencies land an even larger share: 37%.

    The reason these sites are so popular with consumers, of course, is that they’re a one-stop shop for price comparisons, displaying dozens of rates for the same and comparable vacations, airfares and hotel stays. And they make it possible for consumers to virtually become their own travel agents, letting them book a multileg flight on multiple airlines, for instance, which can reduce costs. But they also profess to make it easier for consumers to find the best deals. And some experts warn that they don’t always come through on that promise.

    For one thing, they don’t bring up prices from all airlines, because some carriers, including Allegiant Air and Southwest Airlines, don’t work with them. These airlines say that’s partly because they prefer to handle their airfares and customer service on their own. And even the cheapest airfare on a third-party travel site might not be cheaper than the price the airline charges for direct bookings on its own site, says George Hobica, founder of Airfarewatchdog.com, an airfare listing and alert site. The same holds true with hotels: Hotels often offer special promotions on their own sites -- such as a free night with every three-night stay, a complimentary spa treatment, or free meals for kids -- which lower the overall cost of the stay or add more value to it, says Joe McInerney, president and CEO of the American Hotel & Lodging Association, which represents hotel companies.

    Online travel agencies counter that they provide similar freebies. Orbitz, for one, says it works with numerous hotels that provide exclusive deals and special discounts. Other booking sites contend that hotels should want to partner with them to offer their best bargains, as a means of attracting new guests. Nonetheless, they don’t always come through with the best deal, concedes Joe Megibow, vice president and general manager at Expedia: “I can’t say 100% of people 100% of the time will always find the cheapest rate.”

    2. “We’ll snag you a great view -- of the parking lot.”

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