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Why Do You Pay Commissions When You Do Your Own Travel Bookings?
When you buy a package, tour or service your price may include a number of levels of commission added to the original pure cost of the product direct from the supplier.
To give an example of such:
Let's take a tour operated in Australia at a cost direct from the operator of say $1,000:
1. This tour may be listed with an Inbound Tour Operator.
2. The ITO buys for $1,000, marks up 10%, sells to Wholesaler- tour price now $1,100.
3. The Wholesaler buys for $1,100, marks up !0%, sells to Retailer- tour price now $1,210.
4. The Retailer buys for $1210, marks up 10%, sells to Traveller- tour price now $1,331.
(prices change if percentages are higher, or less if the ITO is not in this equation)
(without the ITO, retail price would be $1,210 at 10% or $1322 at 15%).
The commission element, without the ITO at 10% mark-up is $210 per tour per person (21%).
The commission element, without the ITO at 15% mark-up is $322 per tour per person (32%).
So the Traveller pays variable levels of middleman commissions.. When you have 2 or 3 or a family of travellers, this is a considerable amount of cash and if you have a tour costing in excess of $1,000, just do the math.
Similarly, brochure prices have commissions built in to them for the retailers of 10 - 25%.
If a consumer goes to an Outlet Store they expect outlet prices, if they go directly to the Manufacturer they expect 'go-direct' prices, so why not handle arrangements in a similar way?
Because, it is only fair that each level of the product sales cycle earns revenue for the business involved and these businesses are necessary and needed to ensure that products are marketed, promoted, brochured and sold to consumers around the world who may not be comfortable with handling their own bookings and need the assistance of an expert professional consultant.. However, with the growth of the internet and the ability to now find the source of products, travellers who handle their own arrangements should get a fairer deal on the pricing as a middleman is not needed in the purchasing process.
It does not make sense for most operators to show different prices on their websites, Retail, Wholesale or Internet Direct etc as this could undermine their supply chain by deterring the efficient middlemen from representing their products, so we have to find a way for all of the
'do-it-yourself' bookers to get a fairer price.
There is a way. A new service has been introduced that enables operators to encourage and reward travellers who are comfortable with direct bookings and for them to get a fair price break for the commission no longer required to be paid out. The new service, operated by TopTravelSites.com, offers TopTravelVouchers for sale that have values equivalent to, or more than the commission elements on the operator's products. These may be purchased by travellers at very deep discounts to their redemption values, getting closer to the direct cost price of the product for the consumer... think outlet pricing or go-direct deals.
The Operator still incurs the commission
100 cool places in Arizona
Grand vistas? Check. Funky restaurants? On the list. Wild and woolly history? You got it. Arizona marks the centennial of its statehood, so we scoured the state and found five score places for your "must" list.<br/><br/>Western Arizona
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Arizona: First-rate journeys in the 48th state
When Arizona sought to become a state, an Indiana senator stood in its way, and President Taft vetoed the first try.<br/><br/>To get a modern-day perspective on the euphoria Arizonans felt on Feb. 14, 1912, when they were granted statehood, try to imagine the Cardinals winning the Super Bowl. Or the Diamondbacks winning the World Series. Or the Suns at long last nailing the NBA Championship. The territory had lusted after the equal status that came with statehood much like a teenager waiting for his driver's license.
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Latest news at Grand Canyon National Park
Visitors to the Grand Canyon National Park this year will find new water-bottle refilling stations, a South Rim bicycle rental and bike-tour operation is expected to open, a multiuse trail is expected to be finished, and more.<br/><br/>Grand Canyon National Park, the 5-million or 6-million-year-old granddaddy of Arizona tourism, logged 4.3 million visitors last year.
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Dining out in Phoenix with Dodger Andre Ethier
The Arizona native is a devoted foodie and loves chasing down hole-in-the-wall joints and trendy new places. Here are a few Phoenix-area favorites.<br/><br/>For Phoenix food tips, we turned to Andre Ethier, who summers in the right corner of Dodger Stadium and winters at his ranch in Chandler, 30 minutes south of Phoenix. The Arizona native is a devoted foodie — chasing down hole-in-the-wall joints and new, trendy places whenever he gets the chance.
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Travel experts share bargain-hunting tips
Los Angeles Times Travel Show: Experts from Travelzoo, LivingSocial and JohnnyJet.com share strategies for stretching vacation dollars.<br/><br/>If you don't know where you're going on vacation this year, you may not be indecisive. You might just be a bargain hunter.
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Romantic getaways
A vibrant street life, stunning visuals, food and drink that sweeten your lips. The world's most romantic places seem to share these traits. But there is something more: a sense of style and spirit, a pace that's almost musical. Here's a list of ethereal places -- some expected, some not -- that can easily capture your heart.<br/><br/>Berlin: Put Berlin next to Paris and you have both sides of the coin: romance, which occasionally appeals, and eros, which never fails. "Berlin is sexy," said the German capital's openly gay Mayor Klaus Wowereit, and it's been that way since the iniquitous Weimar Republic of Marlene Dietrich and cabaret, when only verboten was a naughty word. Recent influxes of German hipsters and clued-in foreigners are (as the song says) "Falling in Love Again (Can't Help It)" with Berlin's outré art scene, drinking in all-night bars where mind-numbing absinthe is the poison of choice, and dressing in provocative Weimar styles for Bohème Sauvage, an on-going series of nightclub parties with dancing to hot jazz, backroom poker and floor shows featuring scantily clad performers of undetermined sex.
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Hollywood finds romance in travel
On a train 'North by Northwest' and others, on a bus in 'It Happened One Night,' in Italy in 'Roman Holiday,' in Bali in 'Eat, Pray, Love' — love is all around.<br/><br/>Love is always lovelier some place other than home. Well, at least in the celluloid universe.
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Indy tips for Super Bowl visitors
OK, you somehow scored Super Bowl tix. Congrats. Shouldn’t everyone’s uncle be a regional fleet manager for Ford?<br/><br/>OK, you somehow scored Super Bowl tix. Congrats. Shouldn’t everyone’s uncle be a regional fleet manager for Ford?
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Cooking up gourmet adventures across the West
A guide to the hotels, resorts and other locales in the West that offer travelers hand's-on cooking lessons.<br/><br/>Cooking classes are sprouting like shiitake mushrooms across the West, often in gorgeous locations. For travelers who want to plan their gourmet adventures, we've found restaurants, hotels, lodges, resorts and culinary academies where they can improve their home-chef skills with hands-on lessons, demonstrations or tutoring by noted chefs.
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12 places to visit in 2012
From historical celebrations to Oregon wines to a diamond jubilee in Britain to Warhol in Arkansas, here are a dozen places to explore and enjoy.<br/><br/>New Mexico: This year, New Mexicans mark 100 years of statehood. But much of the state's appeal stems from its human history that goes back much further. (In 2010, Santa Fe celebrated 400 years of cityhood.) Explore here: the adobe architecture and art galleries of Santa Fe; the vintage signage along old Route 66; the lingering hippie vibe of Truth or Consequences. Don't forget the Lightning Field, an art installation outside Quemado where (for $150 to $250 a person) you spend a summer night in a wood cabin and wait to see if lightning will strike one of the 400 tall steel poles outside your door. Even if there's no strike, the sky puts on shows at sunset and sunrise that will leave you in awe.
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cost by issuing a toptravelvoucher but the beneficiary of the price break is the traveller, not the middleman. By encouraging and rewarding travellers, the operators should get more traffic to their websites.
TopTravelSites can be compared to a retail company but it does not sell travel. It only introduces travellers to operators involved with the program and invites them to go directly to the websites of its clients. If travellers want to do business directly with the providers on the site they can get a price break by purchasing toptravelvouchers online at prices of $30, $50 or $100usd (or equivalent foreign currency). The vouchers have a 100% money-back guarantee and if, after the has been completed, the traveller is unhappy with the product, the cost of the voucher is reimbursed and redress is sought from the operator.
Hundreds of vouchers are currently available and new vouchers are being added each month but when you see a voucher valued at 1,500 euros for sale for $100usd it may not be long before you will see thousands of choices. Many other vouchers are available and can be purchased by single travellers, groups or families, leading to very healthy savings for all 'do-it-yourself' bookers.
Many operators will continue to sell through a supply chain but there are thousands of businesses around the world that want to improve their representation and for their services to be seen by a wider audience of travellers. Most operators would always be willing to pay a commission on sales and so this site might offer great appeal to them. It will surely attract travellers booking their own arrangements and being rewarded by rebated commission and as long as the site operator keeps to low overheads (no bricks and mortar stores or expensive brochures) it will also appeal to many more travellers and providers. .
You can visit the site at http://www.toptravelsites.com where you can also link to some last minute deals, a ezine and some destination specific sites for the South Pacific.. Article Source: http://www.ArticleJoe.com A UK Chartered Accountant with over 40yrs of internationala and over 25yrs in the industry. Editor of www.thetravelinsider.net and developer of the TopTravelVoucher service at www.toptravelsites.com
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