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Old Nov 18, 2001 | 10:12 am
  #53  
tvl4free
25 Years on Site
 
Join Date: Jan 2000
Location: 3A - most likey <> BKK <--> EZE; TACA 3A nobody, but GP million miler; Hilton Gold sometimes. Successfully divorced from CO PLAT.
Posts: 3,079
<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by VicOsaki:
The moral is: If you buy a consolidator ticket, make sure you know what you are buying and ask the agent how much he is making. </font>
Do you apply this same standard to other purchases that you make? For example, do you ask your lawyer how much actual profit he is making off a consultation with you - or would you possible apply another standard here? Do you ask your endodontist how much profit he is making off an $900, 45 minute root canal procedure? Do you require your new car dealer to disclose what his mark up is? If you buy a home for 50K and then re-sell it for 100K, do you disclose your profit to the buyer. Or, do you giggle all the way to the bank... check in hand?

Last evening I had an interesting conversation with a local prominent florest here in town. He disclosed that the industry standard mark up is 5-6 times. Should I ask him to disclose how much he is making off of me every time I buy a dozen pretty red roses?

I think not. Rather, I buy because I've either compared the prices and like what is being offered, or because I feel that the sevice offered by a particular vender serves my needs best.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by VicOsaki:
Most consumers assume that a agent is a commissionaire.... They assume that the agent may be making 10% or so. Without telling the customer, the agent here has metamorphosed into a retailer making a 100% markup.</font>
And what is wrong with a 100% markup? Why should the agent disclose his profit? Does one ask this of every business that one deals with? And how many businesses do you know that do not use the key-stone standard? And what kind of mark up will you disclose to us that you use in your business? Should we even have the 'right' to request this info from you?

The point is not how much money the agent makes - but rather how much money can h/she save you - and/or what additional service the agent can provide
. Typically, consolidators do not sell directly to the public... just like a car manufacturer does not sell directly to the public - or if the consolidator does sell to the public at large - they do not sell a ticket to the public for the same fare that they sell it to an agency. The agency gets additional discounts due to volume.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by VicOsaki:

Too many agents say, well look, the published fare is $6,000 and I'm charging you only $2,000. The agent buys the ticket for $1,000, makes 100% on the deal and the customer "saves" $4,000. That's preposterous.
</font>

I fail to see how this is preposterous. First, assuming that the consumer is NOT able to buy the ticket directly himself for $ 1,000, and the airline wants $ 6,000, there is a savings here by buying thru the agent. ONLY the 'business school taught' key-stone standard is being applied here. If you don't like the price offered by the agent, shop around... probably someone else will mark it up less to a price that will be more to your liking.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by VicOsaki:

It's impossible to charge a fee of say $20 and provide all the services that he (UAPremierExec) lists.
</font>
Somehow, I get the feeling that UAPremierExec does provided all the benefits he mentioned. Probably more.

Tvl4free could go on and on about the benefits of using a well trained agent... and to find one that is even more specilized to Mileage Runs exclusively is, indeed, a rare find.

But talking about the the benefits a good agent with this group, that is clearly more interested in a 1,000 miles online booking bonus vs. using a great agent, is cause for a Tylenol moment... and like banging ones head up against a wall... so tvl4free will stop now.




[This message has been edited by tvl4free (edited 11-18-2001).]
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