Discounts on travel commonly come from a travel service provider’s attempt to promote their business. An airline may have extra seats to fill so they discount them, offering a better value. Hotels promote traditionally slow occupancy times in one way or another and cruise lines do much of the same. But how do we know what is really a good deal or just an effort to encourage us to buy?
Start by learning the difference between “special” and “featured” when considering travel pricing. Its a tactic other businesses have used for decades, one we expect to see in travel more in the coming years.
“Special,“ in the world of travel, will most often translate to “discount,” offering the same travel product for less.
Travelocity, for example, has a cruise vacation special that came to an end recently where buyers could get up to $500 cash to spend on their sailing, based on the price paid. Assuming that price is competitive, that’s adding value to the deal by giving us more than we paid for.
“Featured” in the world of travel services, commonly highlights destinations, modes of travel and other offerings by a travel company that they want us to know about. “Featured” may or may not be sold at a discounted price.
Hertz car rental, for example, has a weekend, unlimited mileage car rental deal featured. It’s priced at $14.99 per day on an economy or compact car when you pick-up from Thursday through Sunday at select participating airport or neighborhood locations.Easy way to remember: A restaurant’s “special” is commonly a bundled offering that, if priced separately, would cost more. That restaurant’s chef may have created a fabulous new menu item so it is being “featured” on the menu today.
This is just one small piece of the discount on travel puzzle, but an important one.
Except for travelers who have never been anywhere, ever, “feature” pricing most often deserves no more than a passing glance. Spend that time on travel products that offer “special,” not normal pricing where actual gains can be made.
Some other terms to know the difference between are “value-based” or “cost-based” pricing, as explained in this video-
[Photo Credit- Flickr user miskan]