magic fingers Floodgates are hard to shut: Orbitz keeps hotel fees cutBack in April, Orbitz rolled back its hotel booking fees, in the face of some smashmouth competition between the online travel agencies. At the time, Orbitz promised that the hotel fee cuts would last until July 15. But no: They’ve been extended.

Orbitz was one of the last agencies to reduce its airline booking fees. Those fee cuts were set to resume on June 1. They didn’t. Until further notice, the fees are history.

It’s a brutal world and a nasty fight for market share, and agencies aren’t bringing the fees back. Expedia, Travelocity, Priceline, and Hotwire all eliminated their airline booking fees.

But other agencies haven’t reducing the hotel booking fees the way Orbitz has. Orbitz is trying to carve out a space as the site for hotel bookings.

On the one hand, they’ve got a better price than other agencies, so this gives Orbitz a competitive advantage that travelers would be wise to take advantage of.

But it simultaneously shows that Orbitz is hurting and needs to cut prices in order to generate business.

(image)

pixel Floodgates are hard to shut: Orbitz keeps hotel fees cut
Categorized in: Orbitz

4 Responses to “Floodgates are hard to shut: Orbitz keeps hotel fees cut”

  1. StayBankdotCom (toddmeadows) Says:

    Twitter Comment

    #Travel – Back in April, Orbitz rolled back its hotel booking fees, in the face of some smashmouth comp.. [link to post]

    Posted using Chat Catcher

  2. MelissaShultz (Melissa Shultz) Says:

    Twitter Comment


    No wonder I’ve had fantastic luck with Orbitz lately…

    [link to post]

    Posted using Chat Catcher

  3. Jean - OurExplorer Tour Guide Says:

    Cutting price is has good effects in short term. But not that good in long-term benefits and maintaining customers.

  4. Orbitz has a 24-hour cancellation policy that’s so secret, they can’t even explain it | Upgrade: Travel Better Says:

    [...] Second, I was frankly surprised to hear that Orbitz even HAS a 24-hour cancellation policy for airline tickets. Airlines have been scaling these policies back for purchases on their own websites, so it’s surprising that Orbitz can afford that kind of generosity. (Admittedly, the booking fee, if applicable is not refundable. But Orbitz eliminated most booking fees for airline tickets a while ago, and didn’t bring it back.) [...]

Leave a Reply