Discounts on RTW fares
#1
Original Poster


Join Date: May 1998
Location: australia
Posts: 5,962
Discounts on RTW fares
Here in Australia travel agents get a commission on tickets of the order of 8-10% officially with the more unpopular airlines giving higher rates. This then gives the agent the possibility of discounting the fare to their client.
On the STAR Alliance 1st and Business class RTW fares this discount can work out to around 9% and on the new Oneworld Explorer fares one on-line agent is quoting prices discounted around 6%.
Does this also happen in other countries. Any advice especially from Canada would be appreciated as on the 4 continent fare the price ex-Canada is about $CAD1200 cheaper than Oz.
I'll be in Montreal next month and it may be worth my while to buy my ticket there if someone knows an agent who discounts RTW fares.
Anyone with pricing in the States - the info would be appreciated as well.
Thanks
On the STAR Alliance 1st and Business class RTW fares this discount can work out to around 9% and on the new Oneworld Explorer fares one on-line agent is quoting prices discounted around 6%.
Does this also happen in other countries. Any advice especially from Canada would be appreciated as on the 4 continent fare the price ex-Canada is about $CAD1200 cheaper than Oz.
I'll be in Montreal next month and it may be worth my while to buy my ticket there if someone knows an agent who discounts RTW fares.
Anyone with pricing in the States - the info would be appreciated as well.
Thanks
#2
Original Member
Join Date: May 1998
Location: New York - DL Gold, AA Gold, AC Prestige, VS Silver
Posts: 811
Agents in Canada generally do not rebate fares - I remember them doing so 5+ years ago when commissions were even higher. But after commissions got capped to US$100 or CAD$140 for a round-trip - they (understandably) have to reluctant to rebate. I don't know if RTW commissions are capped as well - but even then they would need the money from RTW to cover losses elsewhere. More than half of registered agents in Canada are now charging a booking fee (generally $10/ticket) on top of the ticket price.
#3
Original Poster


Join Date: May 1998
Location: australia
Posts: 5,962
Thanks for the info megamiles. So much for competition, eh!
I'm glad we're still in a time warp here and haven't advanced like the civilised world.
[This message has been edited by 3544quebec (edited 03-15-99).]
I'm glad we're still in a time warp here and haven't advanced like the civilised world.
[This message has been edited by 3544quebec (edited 03-15-99).]
#4
Original Member




Join Date: May 1998
Location: CH-3823 Wengen Switzerland
Programs: miles&more, MileagePlus
Posts: 27,043
I would buy the ticket in AUSTRALIA - in economy they offer a REAL BARGAIN for STARALLIANCE round-the world trips (including now Air NewZealand and Ansett, AC, LH, RG, SK, TG, UA):
RWSTAR1 (29,000 flight-MILES) Y=AUD2799.00 (US$ 1'763)
RWSTAR2 (34,000 flight-MILES) Y=AUD3199.00 (US$ 2'015)
RWSTAR3 (39,000 flight-MILES) Y=AUD3799.00 (US$ 2'393)
*max 15 stopovers worldwide, max 8 stopovers in US/Canada/Mexico (a stopover is a stop of more than 23hrs59')
*transatlantic and pacific only once
*buy it at least 10 days before first segment
*min 10 days, max 1 year
*the booking classes allow mileage earnings and upgrades to business (with awards or vouchers)
(prices for business and first-class tickets have been published here too, some days ago)
RWSTAR1 (29,000 flight-MILES) Y=AUD2799.00 (US$ 1'763)
RWSTAR2 (34,000 flight-MILES) Y=AUD3199.00 (US$ 2'015)
RWSTAR3 (39,000 flight-MILES) Y=AUD3799.00 (US$ 2'393)
*max 15 stopovers worldwide, max 8 stopovers in US/Canada/Mexico (a stopover is a stop of more than 23hrs59')
*transatlantic and pacific only once
*buy it at least 10 days before first segment
*min 10 days, max 1 year
*the booking classes allow mileage earnings and upgrades to business (with awards or vouchers)
(prices for business and first-class tickets have been published here too, some days ago)
#5
Original Poster


Join Date: May 1998
Location: australia
Posts: 5,962
Sorry Rudi
But I'm just on the verge of jumping ship to Oneworld and although their economy class fares are between $US600 and $US800 cheaper here in Australia than they are in Canada, the 4 continent 1st class fare is about $US1100 cheaper in Canada.
I think the Star Alliance fares went up far too much with minimal improvement in terms/mileage and having flown 5 times RTW with them in 2 years in First/Business Class, despite Senator status with Lufthansa, I'll be shifting allegiances.
PS There is an Australian website- travel.com.au - that you can check airfares on including discounted RTW fares in all classes ex Australia including the rules applying to the fares eg number of stops and permitted routings. Its a reliable company and no I don't work for it.
[This message has been edited by 3544quebec (edited 03-15-99).]
But I'm just on the verge of jumping ship to Oneworld and although their economy class fares are between $US600 and $US800 cheaper here in Australia than they are in Canada, the 4 continent 1st class fare is about $US1100 cheaper in Canada.
I think the Star Alliance fares went up far too much with minimal improvement in terms/mileage and having flown 5 times RTW with them in 2 years in First/Business Class, despite Senator status with Lufthansa, I'll be shifting allegiances.
PS There is an Australian website- travel.com.au - that you can check airfares on including discounted RTW fares in all classes ex Australia including the rules applying to the fares eg number of stops and permitted routings. Its a reliable company and no I don't work for it.
[This message has been edited by 3544quebec (edited 03-15-99).]
#6
Original Member


Join Date: May 1998
Location: Detroit, MI
Posts: 2,686
remember (I'm pretty sure) that the RTW rates quoted from any specific country are for travel originating/terminating in that country within the terms of the fare. On a RTW fare that I used on AC/KE, my travel agent after I came back (who was rebating the commission to me) grilled me about whether I had made any changes abroad (that would presumably have been returned to him on a debit memo, costing him $$)
#8
Original Poster


Join Date: May 1998
Location: australia
Posts: 5,962
Jamiel
Most of the time that's true. But on the Oneworld fare Fares Rule 3 says "when travel originates in a country for which a specified local currency fare is published and the ticket is sold in another country the fare will be that published for the country of origin. the resultant fare must not be lower than the fare published from the country of sale. NOT APPLICABLE FOR PAYMENTS MADE IN CANADA/USA"
The upshot of that is that as long as you're starting the ticket in Australia,in Canada/USA you could buy an economy Oneworld ticket for up to $CAD1200 less than one commencing in Canada which is a saving of 25-35% depending on the season.
And because the seasons are different you could organise it say using points to come to Australia to buy a low season fare here when you would have needed a high season fare from Canada.
And those savings are just off the published fares. If you bought them through a discount travel agent here you'd get another $CAD100 or so off.
Of course the Oneworld fares require a 7 day advance purchase that you might think is inconvenient but back to the rules - "no advance required for travel originating in the Southwest Pacific".
Most of the time that's true. But on the Oneworld fare Fares Rule 3 says "when travel originates in a country for which a specified local currency fare is published and the ticket is sold in another country the fare will be that published for the country of origin. the resultant fare must not be lower than the fare published from the country of sale. NOT APPLICABLE FOR PAYMENTS MADE IN CANADA/USA"
The upshot of that is that as long as you're starting the ticket in Australia,in Canada/USA you could buy an economy Oneworld ticket for up to $CAD1200 less than one commencing in Canada which is a saving of 25-35% depending on the season.
And because the seasons are different you could organise it say using points to come to Australia to buy a low season fare here when you would have needed a high season fare from Canada.
And those savings are just off the published fares. If you bought them through a discount travel agent here you'd get another $CAD100 or so off.
Of course the Oneworld fares require a 7 day advance purchase that you might think is inconvenient but back to the rules - "no advance required for travel originating in the Southwest Pacific".

