Other Credit Card Programs - ISO clarification on TYN-Expedia connection (hotel prices)




moondog
Oct 13, 09, 2:46 am
Hi. I recall reading somewhere (probably on FT, but hopefully derived from something "official") that TYN hotel prices were supposed to be identical to Expedia's (rounded to the nearest dollar), assuming points are worth a penny each.

Assuming I am not mistaken, I would appreciate a bit more information on the policy in question because I'm looking to book a hotel with points later this month and, while Expedia's rates are decent, the TYN prices range from identical to 20% higher (again, assuming a penny a point).

I'd love to know what their algorithm is and whether or not it corresponds with what they're obligated to deliver.


mia
Oct 13, 09, 8:25 am
ThankYou network's FAQ states...

The point-cost of the flight, hotel or travel package corresponds with the actual travel value: 100 points = $1. So a hotel stay or air ticket of $300 requires 30,000 points, $450 requires 45,000 points and so on.

https://www.thankyou.com/helpTopic.jspx?itemId=10012&topic=Travel%2BRewards

I don't see anything that would oblige Expedia to offer every fare or rate through ThankYou, but obviously you could ask a manager to explain how the rate you could book using TYP offers more travel value than the rate you could book with money.

virmaior
Oct 13, 09, 9:53 am
one thing to be aware of us is that expedia often lists advertised prices of signing up for the credit card or paying with a mastercard, etc. etc.

consequently, one must be careful as to which prices one is comparing.

but I believe Mia is correct that they don't promise to have everything on TYN that Expedia has (even though expedia is providing the reservation services).


moondog
Oct 13, 09, 12:43 pm
ThankYou network's FAQ states...

The point-cost of the flight, hotel or travel package corresponds with the actual travel value: 100 points = $1. So a hotel stay or air ticket of $300 requires 30,000 points, $450 requires 45,000 points and so on.



I guess "actual travel value" is the term that warrants clarification.


I don't see anything that would oblige Expedia to offer every fare or rate through ThankYou


Common sense dictates that Expedia wouldn't charge TYN more than ordinary people.

(I understand your point, but I think the more likely scenario is that TYN purchases Expedia services at a discount and keeps an arbitrary amount of profit for itself. AFICT, there's not a lot of transparency to the process. I will try to get them on the phone soon with the hope of walking through a specific case in order to learn how the price is constructed.)

davidjdewey
Oct 13, 09, 1:21 pm
Could the difference be that TYN reservations include taxes and fees and the Expedia rate you are seeing does not?

moondog
Oct 13, 09, 1:36 pm
Could the difference be that TYN reservations include taxes and fees and the Expedia rate you are seeing does not?

Thanks for this tip. I had, indeed, overlooked this tidbit (it didn't occur to me that Expedia quoted pre-fee rates). While it isn't clear to me whether this solves the mystery, this is a pretty significant finding.

Happy
Oct 13, 09, 2:22 pm
Thanks for this tip. I had, indeed, overlooked this tidbit (it didn't occur to me that Expedia quoted pre-fee rates). While it isn't clear to me whether this solves the mystery, this is a pretty significant finding.

So, can you identify the difference between the TYN price and Expedia price on the SAME type of room, SAME hotel, SAME date, can be approximated by the hotel tax and the Expedia fee?

The hotel tax is usually different from the general sales tax. Most hotel chains own websites would give the tax information on their booking engine. If you can find an example that the tax rate can be verified, may be you can solve this mystery?

moondog
Oct 13, 09, 4:03 pm
So, can you identify the difference between the TYN price and Expedia price on the SAME type of room, SAME hotel, SAME date, can be approximated by the hotel tax and the Expedia fee?

The hotel tax is usually different from the general sales tax. Most hotel chains own websites would give the tax information on their booking engine. If you can find an example that the tax rate can be verified, may be you can solve this mystery?

When I compared Expedia's final price to a handful of TYN rates at the same hotel (same date, same room, etc), the numbers were comparable in 3 test cases.

I'm sure the situation is more complex than that, but I'm no longer feeling cheated, which is what counts (for me).

skofarrell
Oct 13, 09, 4:11 pm
Pretty easy one to figure out. TYN/Expedia includes taxes on TYP/night quote page, Expedia alone does not. When you drill in, Expedia then gives you the "real price" including taxes.

In each case it looks like, depending on the city, some taxes are included, others are not (perhaps a sales tax or other tax is not charged on a "free" room?)

City: NYC
Hotel: The Edison
Date: 10/27/2009, 1 night
TYN: 18,100
Expedia: 184.07

City: Chicago
Hotel: Ambassador East
Date: 10/27/2009, 1 night
TYN: 14,900
Expedia: 152.32

City: Chicago
Hotel: The Allerton
Date: 10/27/2009, 1 night
TYN: 17,900
Expedia: 182.83

City: Chicago
Hotel: Hard Rock
Date: 10/27/2009, 1 night
TYN: 22,900
Expedia: 233.44

City: Portland, OR
Hotel: Hotel Modera
Date: 10/27/2009, 1 night
TYN: 13,100
Expedia: 133.14

City: Colorado Springs, CO
Hotel:Colorado Springs Marriott
Date: 10/27/2009, 1 night
TYN: 10,200
Expedia: 103.45

The nice thing is that hotels on Expedia and TYP/Expedia come up in the exact same order (if you want to do your own check).



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