Airlines’ Web Site Adds Online Ticketing Fee
Orbitz.com, the Internet travel seller owned by five airlines, this month began charging a service fee of $5 per ticket. Customers are allowed a one-time free transaction until mid-January, said Roland Jacobs, chief marketing officer.
“We were, in fact, anticipating a fee months ago,” Jacobs said. He said the fee was justified because Orbitz provides an “unbiased,” easy-to-use search of airline fares (except for Southwest Airlines, which does not participate in the site) and does not accept commission overrides--extra fees for booking a particular airline.
Competitor Expedia, which doesn’t charge service fees, criticized Orbitz’s move. “This is how they’re helping airlines save money: by charging consumers,” said Suzi LeVine, Expedia’s director of product marketing.
But Henry Harteveldt, senior analyst for Forrester Research and an online travel expert, had a different view. “I don’t feel it’s necessarily anti-consumer,” he said. “If you are ... saving people a lot of money ... $5 is a modest fee.”
Among Internet travel sellers who charge service fees, $5 is on the lower end. Priceline, for instance, charges $5.95 per ticket, and Trip.com charges a $10-per-ticket service fee plus a $5 “processing fee.” Travelocity charges a $10 service fee for one airline, Northwest, which stopped paying online commissions in March.
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