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p2 sep18 16/9/09 21:14 Page 2
Online agents must
stop ‘bait’ pricing –
news
before the OFT does
THE TRAVEL trade quite rightly kicked up a storm
when no-frills airlines persisted in advertising
headline prices that did not include non-optional
extras such as taxes.
The airlines did not back down until forced to do
so by the Office of Fair Trading and the practice
dented the public’s faith in the no-frills sector,
destroying any lingering hopes that some of the
this week
amazing deals might actually be available.
So it is disappointing to see similar concerns being
raised about some online agencies operating a sales
tactic known as “bait and switch”.
The battle for online sales is immense and in the
discount culture born of a recession, price is king, so
what volume businesses need to give them an edge
is a cheap headline price.
Competition should benefit the consumer but it Universal unveils wizard attraction
becomes damaging when the line between a good Universal Orlando has revealed details about its upcoming attraction, the
deal and a false deal gets blurred. Wizarding World of Harry Potter, and promised it will be open next spring.
It’s not a new issue: travel agent shop windows The 20-acre attraction will include the Dragon Challenge, a high-speed roller-
were often criticised for advertising deals customers coaster, the family-friendly Flight of the Hippogriff ride, and the Forbidden
found they could not buy once inside the shop. Journey – still under wraps but “something that’s never been done before”.
And for years advertisers on Teletext would
display unrealistically low prices in order to appear Cover story. Advantage 2009.
further up a price-ranked page. Price baiting dents faith p4 No new mergers on cards p12
The 21st-century online shop window is much the An online sales tactic known as Advantage chief John McEwan,
same: post the eye-popping cheap deal as bait, hook “bait and switch” is in danger of speaking ahead of this weekend’s
the customer, get them on the phone and charm destroying consumers’ faith in conference, said no more consortia
them into switching to a more expensive purchase. web travel retailing, agents claim mergers were likely in near future
But where does it lead? In the end, to a collapse
of trust in online agents. One survey out this week Protection. Abta 2009.
suggested one in four customers did not trust travel CAA: click-through APCs p5 Package up your queries p14
agents because they had been sold holidays that did Travel websites offering click- Tui regulation expert Mike Bowers
not match the descriptions given. throughs to other sites could be to field questions about impact of
If bait and switch becomes the norm required to have an Atol reform of European package laws
online, then that proportion will surely
rise. Perhaps stricter regulation is Homeworking. Operators.
needed, but it will not be easy to Hope starts social site p7 Inghams hits 75 p24
police. How will the authorities tell TTG Face of Travel winner and Ski specialist marks its 75th year
the difference between a price that is homeworker boss Paul Hope has with a flurry of celebrations
no longer available and one that set up a social networking website
was never there? Air.
What’s really needed is for Luxury. Sloping off to Geneva p28
all online agents to realise W&O reveals brand plan p9 Swiss is to repeat its winter ski
the utmost importance of Luxury operator Western & Oriental flights from Manchester to Geneva,
customers’ trust – before is uniting most of its brands under following strong demand last year
the OFT decides it’s time the parent company’s name
to intervene. SECTORS.
In-depth. Cruise p20
Chris Gray
Which way for Atol? p10 Operators p24
Deputy News Editor
With the government drawing up Air p28
plans to reform the Atol system, Business travel p32
we assess the probable proposals Letters p34
02 18.09.2009
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