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May 14, 2008

Exiled to the Biffy: It's Gonna Cost You

Some headlines are too good to pass up and when I spied an article about a man who was suing JetBlue for $2 million because he was told to remain in the toilet (or biffy in airline parlance) until otherwise directed, I knew there had to be more to the story. (Now we know how potty-training kids must feel.) If you pencil it out, his biffy-sitting rate is $1.3 million an hour. Not bad for a day's work.

Ironically, the suer was traveling on a buddy pass, which is a perk where employees are given free or discounted tickets to share with friends or family. Considering it was New York to San Diego flight, I would have embraced the privacy and grabbed a good book. And while there's a lot of fingerpointing going on, I shall leave you with what's been reported on so far in this game of high-altitude musical chairs.

 USA Today: Man Said JetBlue Made Him Sit on Toilet

 

May 9, 2008

Corporate Travel Is Not a Day at the Beach

Rein in your travel program's booking practices and centralize with a TMC.

Anyone who's been on a business trip is not likely going to confuse the experience with vacation travel. And sure you can book a business trip on a leisure or vacation site, but for companies who seek control and cost savings, it's not the best way to optimize your travel spend and your travel program's goals. Even at Expedia, Inc., we offer a corporate travel management solution, Expedia Corporate Travel and a separate vacation or leisure solution, Expedia.com

In corporate travel, it was once common for companies to book travel all over the place, a little on this site, oh this deal looks good on that site.  In the long run a quick deal may be no deal at all and the general health and growth of a corporate travel program can suffer.

Below I've listed some of the benefits of companies consolidating travel booking and working with a corporate travel company as a single agency.

1. Supplier negotiations create savings opportunities

Suppliers view companies without a designated travel agency as companies with an unmanaged program. They become hesitant to negotiate with these organizations. To gain an edge in negotiations with suppliers, start by consolidating your spend, and your data, with a single corporate travel management company (TMC).

2. Find your travelers in an emergency.

Locating the phone number to a hotel where your traveler is staying is infinitely easier if you know where to look. When travelers all use one agency for their purchases, you have just one place to look for them. A few clicks and you can find their itinerary for any particular point in time. Call the hotel number or leave a message at the front desk.

3. Simplified reporting and reconciliation.

Reports tied to the spending and booking from a single source creates a simplicity and on-demand accessibility you won't have when using several sources. If all purchases aren't being made through one bookig tool, the reports aren't going to capture all the information you need to have a clear view of your company's travel spend.

4. Easier program management

Utilizing the online reports, you can gather travel information quickly and easily. By consolidating that information, you have immediate access to powerful data that can give you greater control over your program. When the information is widely distributed and fragmented so is your control.

5. Relationships in for the long haul

By developing a relationship with a TMC's account manager, you have a partner in facing the challenges of modern business travel. By utlizing a single agency, you're working with a partner who will have a full view of your company's needs and will gain experience working with you as your company grows.

These are just a few of the advantages in advocating a single TMC for your company's travel program. And when the time comes to book a vacation (and no doubt we all need one) our compatriots at Expedia.com are more than happy to help.

May 2, 2008

Beijing Airport: Enter the Dragon

At 14 million square feet, Beijing's new airport is a staggering marvel of engineering and archirtecture, owing its design inspiration to the art of feng sui and the torso of a dragron. Take a sneak peak at the world's largest airport, courtesy of CNN and The New York Times.

CNN Reports: Beijing Airport



The New York Times Video
Welcomed In by a Dragon



May 1, 2008

Airline Services Go La Carte

How much is that one seat on the Window?

I can remember the first time I went to a fancy cafeteria (if you can have such a thing) with my grandparents. I loved the idea of collecting plates of food as my journey progressed, sliding my tray from Jell-o salads past vegetables to desserts and finally to the cash register. My grandfather was less enthusiastic about the final tally of my dish-laden landscape.

What's this have to do with travel? Plenty. Airlines are borrowing one from the cafeteria playbook: a la carte pricing. In the past, travel was an all-you-can-eat buffet; today, the traveler is faced with a pay-as-you-go menu where any additional item has an additional cost.  Since airfares have remained somewhat stable since 2001, while fuel prices have almost doubled, airlines are looking for every opportunity to generate extra revenue. Just in the first quarter of 2008, U.S. airline losses ranged between $500 million to $6 billion.

Every major U.S. carrier is charging $25 for a second checked piece of luggage beginning in May.  Even if you have just one suitcase, you need to consider its weight. In most cases, the fee is $50 for anything over 50 pounds and up 70 pounds. Anything exceeding that weight is usually prohibited or prohibitively expensive to check, usually around $100.  

And should you wish to check your bags curbside, expect a fee of $2-3 per bag when traveling on American, Delta, Northwest, United and US Airways (not including tip).

Most international flights now have additional ticket surcharges to offset fuel prices. For long haul flights it can be in the hundreds of dollars. Another area for income generation comes in the form of ticket changes where some carriers are now planning to increase ticket change fees to $150. 

In the realm of seat assignments, airlines are beginning to recognize the value of a coveted window or aisle seat and charge accordingly for that added comfort, anywhere from $5 -$35. An exit row seat is fair game if you wish to ante up a little extra to secure it. In most cases the seats become available for purchase online 24 hours prior to departure.

As airlines scramble to offset fuel prices, travelers can expect to encounter new fees or surcharges for services that once were included in the price of the ticket. If you want to save on fees, there are a few you can affect. But even if you pack lightly, bring snacks, charge up your MP3 player and stick with your itinerary, it looks like the all-inclusive air fare has no intention of booking a return flight.

And since I brought up luggage earlier, here are the latest baggage allowance links by airline.

AirTran
Alaska Airlines
American Airlines
Continental Airlines
Delta Air Lines
JetBlue
Northwest Airlines
United Airlines
US Airways

Tom Conway, who learned the difference between a cafeteria line and a smorgasbord at an early age, says share your comments about airline service fees.