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Hoteliers Lie
ChrisCrossings · May 10, 2001

I can't think of a more fitting season finale than this week's column. Reaction from a controversial Consumer Reports Travel Letter poll continues to pour in. Two weeks ago, I berated the survey, which suggested almost half of all travel agents lie to clients when asked about the lowest airfare. Then a reader countered that the newsletter had exposed a real problem among agencies - to put it bluntly, she said, agents lie. This week, travel retailers are getting their turn. ChrisCrossings goes on summer break and will return after Labor Day. Have a great summer!

Q: I haven't been called a liar in a long time. Ms. Wells should be aware that often a travel agent has to drag the best room rate out of a hotel reservationist. Often, the lowest rate isn't the first or even second option offered. While one couldn't exactly call that lying, it certainly makes serving a client harder.

Our agency's loyalty lies with the customer. Why wouldn't it? After all it's repeat business that keeps our doors open. Sometimes it's not just a matter of the cheapest fare or rate; it's also a matter of matching the most appropriate vendor to the client.

It is appreciated you've been clear in your columns that there are travel agents out there who strive to keep their clients best interests at heart and we feel we are one of those unique agencies.

-- Win Dickson

A: I think if you focus on getting the best product for a client - and you're right, that doesn't always mean the lowest price - then you can't go wrong. Ms. Wells and you would probably agree on that point.

Q: I hope Carrie didn't use her real name. She's made some enemies in the agent community with her sarcastic comments, and someone will find her.

Only an unethical travel agent would lie about the lowest fare or lowest hotel room price. We have negotiated rates with hotels worldwide and sure, I cut my commission by offering these rates, but I also earn my clients' trust and respect by offering them the best value for their travel dollar. Unfortunately, not everyone in this business is ethical, but the same can be said for any business.

Carrie, it's not only the airlines that have "screwed" (as you so eloquently put it) travel agents - I could write a book on how hard it is to collect commissions from most hotel companies. And then there's the car rental companies that cancel the travel agent reservation and offer our clients a vehicle upgrade - just so the counter person can be paid a spiff for upgrading. Let the travel agents do all the work for no pay? Give us a break - no one else does!

-- Anise Morris

A: Strong words, there, Anise. I certainly hope no one goes after Carrie for expressing her opinion. She's entitled to it, however misguided you may think it is. You suggest that there should be a code of conduct among agents - that only "unethical" agents lie. But as far as I can tell, none of the major agency certification groups actively enforce their code of conduct. If they even have one. I do find that disturbing, because the bad agents get to keep practicing. I'm sure you'll agree that they shouldn't, because they give the rest of their colleagues a bad name and invite missives from the likes of Ms. Wells.

Q: Carrie states that travel agents have told her not to book the corporate rate because it's not commissionable. I am not aware of one corporate rate booked under corporate hotel programs that are not commissionable.

She states that travel agents have told her not to book the group rate. A negotiated group rate booked between an organization and a conference hotel is not commissionable and is typically published in the conference or meeting brochure. If a travel agent were to confirm a rate higher than the group rate, the traveler would know immediately and all hell would break lose and the account would be in jeopardy. Typically, we tell the traveler to book it or we advise them that there is a booking fee.

Carrie further states that travel agents have told her "don't book the promo rate". Again, what the hell good does this do a travel agent? If the promo rate is $90 and the rack rate is $150 and the stay is 3 nights, we make $18 extra (that is, if the hotel pays our commission).

-- John Nigro

A: Excellent points, John. Why distort the truth when there's so little at stake? The answer must be that in some cases there's more at stake than a few extra dollars of commission or that some agents lie out of habit to a vendor because they expect to be lied to in return. In other words, they're lying reflexively, with little if any economic motive.

Q: Obviously Consumer Reports doesn't realize that if you included Internet sites and airlines in its 800-plus calls, it would have received even more answers different that the one it sought.

Airfares are complicated, because the airlines can make them complicated. Computers and yield control have resulted in the one of the most complex pricing systems of any industry in the world. Rates vary by flight time, date, sales, rules, "availability" at the time the fare is searched and a host of other variables.

The same person looking up the same rate twice, 10 minutes apart could find different fares just because of availability. The article also fails to touch on the notion that agents all have differing levels of expertise. Often cold calls are given to the least experienced person, while the best agents handle day-to-day clients.

The system makes all those people who give the "wrong" answer a liar? Why are agents still selling the lion's share of airline tickets if 50 percent of us are liars? If it were true, agencies wouldn't need the airlines help to get out of this crazy business.

-- Michael Matz

A: Consumer Reports was interested in raising its visibility. How do I know? Well, in all my years of covering travel, I've never gotten a press release on a story. Until this one. The newsletter wanted to tweak agents - and it did.

Q: I am a travel agent who does not book the highest rate available. I look for the lowest that will fit in with the client.

Now comes the rub: when clients arrive at the hotel, they will, if they ask, receive a lower rate than the "lowest rate" I was quoted. Plus the hotel will consider my client a no-show and rebook them.

I have clients who will call the hotel after I give them the lowest rate available for me and receive a lower rate than quoted and that is only five minutes later. I have had clients get this lower rate and call the next day and still get a lower rate.

Some hotels also will not pay a commission on the lowest rate available. I do a lot of freebies for my clients because I am giving them a service. By the way, I do not charge a service fee.

-- Walter Ward

A: It's appropriate that your note is the last one that I answer for the season. You've been one of this column's most regular critics, and your comments are always appreciated.

I think you, like the others who wrote in last week, represent the good agents. You've got your priorities in the right place - serving the customer, not fixated on the commission. I'm sure that you'll prosper because of it.

I'm not going to join in with everyone this week by berating Carrie. I think she's telling the truth about her experience, and she's entitled to her opinion about agents - just as you're entitled to your opinion about hotel reservationists.

As I've already noted, she's made some valid points. So have you. But how do we move beyond this debate - the name-calling, finger pointing, and the virtual insults? Being able to separate the agents (and hotel reservationists) who routinely lie from the honest, ethical ones is crucial.

Any suggestions?

Christopher Elliott's column appears on Thursdays. All e-mailed questions to ChrisCrossings become property of Ticked.com and may be edited, condensed or republished at the site's discretion. You may reach Elliott at chris@ticked.com. Or visit his home page at http://www.elliott.org.