Airfares: Risng or falling

I’ve mentioned the reduction in scheduled air service and how this decreased flight schedule should lead to increased fares. This has occurred across the country but it appears that some markets are not being impacted at all with rapidly rising fares. Select gateways continue to offer stable or even bargain fares especially when compared to surrounding departure points.

Why? The presence of a low cost no frills carrier appears to be the reason for this fare stabilization. Airlines like Air Tran, Jet Blue, Virgin American and Southwest have had a tempering effect on the legacy carriers and this has helped keep the fares from escalating out of control.

For example look at Columbus OH and the markets served by Southwest Airlines. Their ticket prices have not increased as rapidly as have the prices in the cities that they do not fly to. When Skybus and Jet Blue operated out of here the fares in the markets they service were kept low. Due to competition over passengers the other carriers have been forced to match low fares these companies offer. Once these firms disappeared from the radar screens thereby reducing competition the ticket prices rose quickly.

The opposite of this is found in Cincinnati OH. A fortress hub of Delta Airlines there is little competition between airlines so the prices remain high.

Air travelers from the Tri-State are fortunate in their air travel departure options. Within a 2 to 3 hour drive we can fly out of Huntington Tri-State, Charleston’s Yeager, Greater Columbus and Cincinnati. Lexington, Louisville and Dayton are some additional options. Search the different airports drive a little and save a lot.

Happy travels.

What happened to my rental car's free unlimited mileage deal?

Hey Travel Professor I recently rented an automobile from a national firm and the rate was supposed to come with unlimited free miles. However when I returned it they charged for miles. What gives? What can I do?

First off read the fine print or ask questions of the rental agent. Your rental agreement does provide free mileage as long as the vehicle stays with the renting state or states that border that state. So when you picked your vehicle up in Ashland, KY that identified the states that qualified for the unlimited miles deal. Once you crossed out of those states the contract was modified back to the daily 100 free miles plus whatever for each extra mile.

An inexpensive little electronic gadget like a GPS system was the culprit that told the story of your travel itinerary so there’s nothing much you can do in this instance.

So this is another example of the hidden fees that can chip away at your good deal!

On-line travel booking horror stories

It seems that every time I wear something with a travel related logo on it people want to share their travel experiences with me.

For the past few years I have been hearing mostly horror stories about on-line booking problems and supplier issues. It is always a tale about a friend (a nice way to deflect the blame from themselves) that made their own reservations and was extremely disappointed (sorry I can’t use some of the other colorful and descriptive terms that were used) with the product or service.

Complaints about price have never really been mentioned other than in the same breath as having found a great deal.

Actually they found what they perceived as a great price and bought on that consideration alone. Quality or the lack of was never their major concern until they traveled then it became an important issue.

Their complaints really focus on quality and I recall the old saying “that you get what you pay for” and in travel that axiom really holds true.

I bit my tongue wanting dearly to remind them of this but I listen attentively to their conversation. Then I smile and add “Two amazing deals were found online. One is a dream come true. The other one is a nightmare. Do you know which one is which? Your friend sure didn’t but I’m sure that a professional travel agent does. Check with a travel agent next time!” (NOTE: Not all travel agents are created equal so you’ll need to conduct so research on that subject too.)

Years ago I discovered it was easier and cheaper for to have a professional work on my car or the house’s air conditioner. I believe that this approach applies to most if not all professions so I advocate working with someone who knows what they are doing or you’ll suffer the do-it yourselfer consequences.

Happy travels! Got questions? Email me at thetravelprofessor@gmail.com.

Hidden hotel fees and surcharges add to your stay

The list of hidden fees and surcharges added to travelers hotel & motel bills continue to rapidly escalate.

A recent report from PricewaterhouseCoopers states that hotels charged nearly $2 billion in hidden fees and surcharges in 2007, up from $1.6 billion in 2006 and $550 million just five years ago.

The list is almost endless:

• The in room safe runs $3.00-$5.00 a day regardless if you use it
• Free wire Internet but you pay an access fee
• That bottled water left in your room comes with a hefty price tag
• Daily parking fee
• Don't touch the min-bar unless you want to pay $10.00 for a few ounces of peanuts
• Resort fees even if you don't hit the links or spa
• Housekeeping service fee
• Energy recovery tax
• And on & on & on

That's enough for now as I believe you have the idea.

What can you do?

Allow yourself plenty of time at check in & check out to go over the bill. Identify what extra fees may apply and opt out in advance.

Ask plenty of questions before you use a service-don't assume that it is free.

Book or at least price your room at a 3rd party site. They seem to do a better job of itemizing the miscellaneous fees that the corporate hotel reservation sites.

Question everything!

Complain loudly and ask to see the general manager.

The Art of "Nickel & Diming" the Rental Car Customer

I’ve commented in the past about how the airlines and cruise lines are “nickel and diming” travelers these days. Here’s a recent rental car experience that someone shared with me that helps illustrate the fees and surcharges that are being added to the base cost and eventually drives up the amount that you pay.

With a rental car you pay for the period that you use the vehicle and these are generally quoted in 24 hour periods or a 1 day rental. On a recent 3 day rental my colleague reserved a mid sized automobile at $14.99 a day with a total rental of $44.97. A normal person would expect to pay some taxes on the rental but her final bill was $84.09!

There were seven, yes count them, 7 extra fees and surcharges tacked onto to her bill. That’s close to a 50% increase over the base rate. What was more interesting is that most of these extras were taxable items.

Imagine what the total bill would have been if she purchased the rental car companies fuel and insurance options.

Demand for U.S. hotel predicted to decline; rates to follow?

A new study recently released by PKF Hospitality Research (PKF-HR) forecasts that demand for U.S. hotel rooms will decline for the next two years.

This is not good news for the hotel industry but may be good news for travelers. In an attempt to bolster sagging occupancy rates hotels will be forced to lower rates and look to other incentives to generate revenue.

It may take a while until the general managers take a close look at their slumping revenue figures and falling occupancy rates before we see room rates drop but there should be some bargains available.

Happy travels.

Demand for U.S. hotel predicted to decline; rates to follow?

A new study recently released by PKF Hospitality Research (PKF-HR) forecasts that demand for U.S. hotel rooms will decline for the next two years.

This is not good news for the hotel industry but may be good news for travelers. In an attempt to bolster sagging occupancy rates hotels will be forced to lower rates and look to other incentives to generate revenue.

It may take a while until the general managers take a close look at their slumping revenue figures and falling occupancy rates before we see room rates drop but there should be some bargains available.

Happy travels.

Weekend weather update for Browns and Bengals fans

Here's an update for the Cleveland Browns and Cincinnati Bengals fans that heading to the game this Sunday:

THE NORTHEAST OHIO WEATHER BUREAU located in Cleveland, Ohio has issued this NEW TORNADO POLICY

For the Cleveland and nearby areas:

In case of possible tornadoes sweeping through the greater Cleveland metro
area, we ask that all residents take shelter at the Cleveland Browns Stadium.

We are certain that a TOUCHDOWN will not occur there.

Thank you for your cooperation.
National Weather Bureau

Fuel surcharges and misc. fees are hear to stay

Don’t expect major U.S. airlines and cruise lines to cancel any of the recently introduced fuel surcharges and incidental service fees. The main reasons are simple: Corporate greed and profit taking. Plus the executives think that as consumers we only look at the base price and ignore the total amount that we actually pay for an airline ticket or cruise berth.

The actually costs of an airline ticket with a base airfare of $198.00 is not $198.00. Add in $50.00 for fuel fees, $60.00 in taxes, $100.00 roundtrip baggage costs and your total ticket cost increases to $408.00. I’ve left off a fee charges like premium seating, meals and beverages so the amount can escalate higher.

In their quests for new revenue streams I see the airlines adding pay toilets on the planes then also selling you the toilet paper. For frequent flyers you’ll be able to purchase a seat license which gives you unlimited trip to the “john”.

In June, when crude oil was $134 a barrel, jet fuel was $163 a barrel. This week, the jet fuel price was about $140, according to the International Air Transport Association. But like the price of gasoline you won’t see the surcharges drop as quickly as the rose.

The carriers also have added fees for other services checking bags, redeeming miles online, booking reservations over the phone and are showing no signs of retiring them. The cruise lines have gradually added fees for dining in their specialty restaurants and I would not be surprised if they start adding fees for previously free items like use of the health club or the walking track.

The Travel Prof predicts that the industry will retain these surcharges and à la carte pricing models indefinitely. I also believe that we will continue to see a wide range of future fees added to the products.

Happy travels!