We asked our employees where they’d like to travel next. (We thought you might want to know where travel agents want to go.) Here’s what some of them said:
Shirley: Mediterranean Cruise - I haven't been to Europe in years and am craving to see more of the old cities for the culture and scenery. Since my favourite "vacation" is on a cruise ship why not combine the two? What could be better!
Marie: Cambodia, to see Angkor Wat
Cathy: South America. Before it gets invaded by Gap, Banana Republic and Starbucks
Laura: Egypt because I've always wanted to be an archaeologist and have dreamed about going to Egypt since I was 8.
Michele: Africa—possibly Namibia or Kenya, as I love adventure and wildlife.
David: Provence. Haven't seen enough of it yet; and I need to brush up on my French.
Annie: Egypt because I find Egyptian history fascinating.
Thursday, December 2, 2004
FREQUENT FLYER PROGRAMS: WHO'S THE BEST?
What is the best frequent-flyer program? Well, that depends. If you’re looking at the question from North American-wide or worldwide view, I happily defer to The Freddies Awards. Named after Sir Freddie Laker, founder of the world’s first great charter airline, The Freddies are sort of like the Oscars of the frequent-flyer world. Every year, based on members’ votes, the best rewards programs (airline and hotel) are picked. For 2003, the Freddie for the top program went to Alaska Airlines’ Mileage Plan. (The 2004 results are not yet in.)
“To win the Program of the Year award, a program must be…consistent, fair, attentive and generous. And for the second year in a row just such a performance was put in by the Alaska Airlines Mileage Plan program. Mileage Plan generated nothing but positive buzz. With the continued expansion of its route network (the Eskimo in Florida?), and hence, its award redemption possibilities; the additional upgrading of its Web presence; the offering of unique and lucrative bonuses (up to 100,000 bonus miles is a major promotion by any stretch of the frequent flyer imagination) and the above-board treatment of its elite members, Mileage Plan seemed to do everything right - and its members certainly noticed.”
So, from the point of view of North American travelers, Alaska’s plan is the best.*
On the other hand, we should consider which airline rewards program is best from the standpoint of our clients, who are mainly based in B.C. Obviously, Air Canada’s Aeroplan comes to mind as one likely candidate. Certainly, it has a lot of things going for it, the number one issue being that it rewards members traveling the airline we in BC (and Canada) are most likely to fly. Plus Aeroplan includes all of the Star Alliance airlines, such as United Airlines and Lufthansa, which cover a great deal more territory. And, it belongs to two very popular credit card affinity programs: CIBC’s Aerogold Visa and American Express. So, you can “top up” your flown mileage with credit card points, something you cannot do with all the U.S. programs unless you have a U.S. billing address. All of these factors guarantee that a typical B.C.-based traveler will earn more mileage on Aeroplan than any other program.
Aeroplan has a few strikes against it, however. To start, there is the continuing general dislike for its parent airline, Air Canada (although, Aeroplan tries to distance itself from Air Canada by claiming it is an independent entity). Also, there are policies and rules that compare negatively with the majority of U.S. frequent-flyer programs. For instance, Aeroplan does not offer the ability to cash in mileage to upgrade an economy ticket, which is probably the single most popular feature of virtually all U.S. programs. (In this regard, it is in line with most international carriers, who are not big fans of upgrades.) Also, Aeroplan is notoriously stingy in awarding points and “status miles.” All “deep discount” airfares within Canada and transborder (the so-called “Tango” fares) do not earn the “status miles” you need to reach high tier status (ie. Prestige, Elite, and SuperElite). This is a great sore spot with most business travelers, who often find themselves debating whether to spend hundreds of dollars more for a ticket just to maintain their status. On top of this, Aeroplan continues to award only 50% points for most discount fares within Canada and for “Tango” fares transborder.
There is also the thorny question of award travel availability. If you polled most Aeroplan members, they would tell you it is almost impossible to get points seats when they want them. In some cases, this is certainly true. Tara, our Frequent-flyer programs specialist, warns not to even try to get business class seats on points to destinations such as Hawaii, Australia, or Caribbean, unless you have prearranged with her to book these hard-to-get seats one year ahead. Tara must regularly book points tickets exactly to the day that the points seats first open up on Aeroplan’s computer (usually about 330 days ahead). On the other hand, Air Canada’s free seats policy has become increasingly generous over the years; and is currently running at about 10% of all available inventory. In this respect, Aeroplan’s free seat availability is superior to most other programs. Just don’t expect to get business class seats to London in the summer if you are checking in April. It won’t happen!
In terms of its higher tier policies, perks, and qualifying levels, Aeroplan is probably on par with most of its North American competitors. I could devote pages on this issue, as there are definitely important differences, both positive and negative, but on the whole Aeroplan comes out about even with the others.
The only other serious contender for best frequent-flyer program for B.C. travelers would have to be Alaska Airlines’ Mileage Plan. The reason: besides having very generous award levels, available awards seats, and upgrade policies (the latter being far superior to Aeroplan’s), the main issue for us is its partners. If you already have an Aeroplan membership, our agency advises you to join Alaska’s excellent plan. (We enroll our clients in any program you want for free.) Mileage Plan’s partners, which include American Airlines, Northwest, Delta, Hawaiian, Continental, and Helijet in North America, are a combination of North American airlines unparalleled in any other frequent-flyer program. So, if you find yourself flying American Airlines or Continental Airlines some day in the future, don’t be surprised if your agent suggests that we sign you up for the Alaska Mileage Plan rather than AAdvantage or One Pass. Chances are you will earn more mileage in this plan, with its excellent partners program, than in any program offered by these other airlines. Add to this a superb international partners list, which includes KLM, British Airways, Cathay Pacific, and Qantas, and you have the perfect program for a B.C. resident.
So, what is the best frequent-flyer program? My pick would be Alaska’s Mileage Plan. It appears to be the best overall North American program, and since virtually everyone in Canada already has Aeroplan by default anyway, the Alaska program is the one that will benefit our clients most.
If you have any questions or comments, I welcome your e-mails. Or, feel free to call our resident expert on all frequent-flyer matters, Tara Kay.
Useful Links:
Frequent-Flyer.com: A useful and well-organized summary of frequent-flyer programs for Americans (since Aeroplan is ignored); however, it’s summaries about program partnerships are not up-to-date. Go directly to the particular airline web sites for accurate information. It offers excellent links to all the major airline frequent-flyer programs, as well as news items, summaries of credit card affinity programs, and a chance to vote for your favourite program, airline, hotel chain, etc.
WebFlyer.com: Another well-constructed web site devoted to frequent-flyer programs and issues. Unlike Frequent-Flyer.com, this site offers extensive reviews of airline programs. It’s side-by-side comparisons of airline programs is very thorough and useful.
The Freddie Awards: an interesting site which is a bit like the Oscars of frequent-flyer programs.
Alaska Airlines’ Airline Partners: an impressive list that distinguishes this program from all other plans I know of, including Aeroplan.
Aeroplan Partners List: Probably the worst designed web site of all the major North American programs, click here and then click on a miniscule hyperlink called “Complete Partner List” near the top centre part of the page. If you lose this link, good luck trying to find this information again!
* Early this year, however, Alaska toughened many of its more generous rules about upgrades and qualification for high tier status—ie. “MVP” and “MVP Gold”—so it isn’t all that certain Mileage Plan will get the nod again from The Freddies’ for 2004.
“To win the Program of the Year award, a program must be…consistent, fair, attentive and generous. And for the second year in a row just such a performance was put in by the Alaska Airlines Mileage Plan program. Mileage Plan generated nothing but positive buzz. With the continued expansion of its route network (the Eskimo in Florida?), and hence, its award redemption possibilities; the additional upgrading of its Web presence; the offering of unique and lucrative bonuses (up to 100,000 bonus miles is a major promotion by any stretch of the frequent flyer imagination) and the above-board treatment of its elite members, Mileage Plan seemed to do everything right - and its members certainly noticed.”
So, from the point of view of North American travelers, Alaska’s plan is the best.*
On the other hand, we should consider which airline rewards program is best from the standpoint of our clients, who are mainly based in B.C. Obviously, Air Canada’s Aeroplan comes to mind as one likely candidate. Certainly, it has a lot of things going for it, the number one issue being that it rewards members traveling the airline we in BC (and Canada) are most likely to fly. Plus Aeroplan includes all of the Star Alliance airlines, such as United Airlines and Lufthansa, which cover a great deal more territory. And, it belongs to two very popular credit card affinity programs: CIBC’s Aerogold Visa and American Express. So, you can “top up” your flown mileage with credit card points, something you cannot do with all the U.S. programs unless you have a U.S. billing address. All of these factors guarantee that a typical B.C.-based traveler will earn more mileage on Aeroplan than any other program.
Aeroplan has a few strikes against it, however. To start, there is the continuing general dislike for its parent airline, Air Canada (although, Aeroplan tries to distance itself from Air Canada by claiming it is an independent entity). Also, there are policies and rules that compare negatively with the majority of U.S. frequent-flyer programs. For instance, Aeroplan does not offer the ability to cash in mileage to upgrade an economy ticket, which is probably the single most popular feature of virtually all U.S. programs. (In this regard, it is in line with most international carriers, who are not big fans of upgrades.) Also, Aeroplan is notoriously stingy in awarding points and “status miles.” All “deep discount” airfares within Canada and transborder (the so-called “Tango” fares) do not earn the “status miles” you need to reach high tier status (ie. Prestige, Elite, and SuperElite). This is a great sore spot with most business travelers, who often find themselves debating whether to spend hundreds of dollars more for a ticket just to maintain their status. On top of this, Aeroplan continues to award only 50% points for most discount fares within Canada and for “Tango” fares transborder.
There is also the thorny question of award travel availability. If you polled most Aeroplan members, they would tell you it is almost impossible to get points seats when they want them. In some cases, this is certainly true. Tara, our Frequent-flyer programs specialist, warns not to even try to get business class seats on points to destinations such as Hawaii, Australia, or Caribbean, unless you have prearranged with her to book these hard-to-get seats one year ahead. Tara must regularly book points tickets exactly to the day that the points seats first open up on Aeroplan’s computer (usually about 330 days ahead). On the other hand, Air Canada’s free seats policy has become increasingly generous over the years; and is currently running at about 10% of all available inventory. In this respect, Aeroplan’s free seat availability is superior to most other programs. Just don’t expect to get business class seats to London in the summer if you are checking in April. It won’t happen!
In terms of its higher tier policies, perks, and qualifying levels, Aeroplan is probably on par with most of its North American competitors. I could devote pages on this issue, as there are definitely important differences, both positive and negative, but on the whole Aeroplan comes out about even with the others.
The only other serious contender for best frequent-flyer program for B.C. travelers would have to be Alaska Airlines’ Mileage Plan. The reason: besides having very generous award levels, available awards seats, and upgrade policies (the latter being far superior to Aeroplan’s), the main issue for us is its partners. If you already have an Aeroplan membership, our agency advises you to join Alaska’s excellent plan. (We enroll our clients in any program you want for free.) Mileage Plan’s partners, which include American Airlines, Northwest, Delta, Hawaiian, Continental, and Helijet in North America, are a combination of North American airlines unparalleled in any other frequent-flyer program. So, if you find yourself flying American Airlines or Continental Airlines some day in the future, don’t be surprised if your agent suggests that we sign you up for the Alaska Mileage Plan rather than AAdvantage or One Pass. Chances are you will earn more mileage in this plan, with its excellent partners program, than in any program offered by these other airlines. Add to this a superb international partners list, which includes KLM, British Airways, Cathay Pacific, and Qantas, and you have the perfect program for a B.C. resident.
So, what is the best frequent-flyer program? My pick would be Alaska’s Mileage Plan. It appears to be the best overall North American program, and since virtually everyone in Canada already has Aeroplan by default anyway, the Alaska program is the one that will benefit our clients most.
If you have any questions or comments, I welcome your e-mails. Or, feel free to call our resident expert on all frequent-flyer matters, Tara Kay.
Useful Links:
Frequent-Flyer.com: A useful and well-organized summary of frequent-flyer programs for Americans (since Aeroplan is ignored); however, it’s summaries about program partnerships are not up-to-date. Go directly to the particular airline web sites for accurate information. It offers excellent links to all the major airline frequent-flyer programs, as well as news items, summaries of credit card affinity programs, and a chance to vote for your favourite program, airline, hotel chain, etc.
WebFlyer.com: Another well-constructed web site devoted to frequent-flyer programs and issues. Unlike Frequent-Flyer.com, this site offers extensive reviews of airline programs. It’s side-by-side comparisons of airline programs is very thorough and useful.
The Freddie Awards: an interesting site which is a bit like the Oscars of frequent-flyer programs.
Alaska Airlines’ Airline Partners: an impressive list that distinguishes this program from all other plans I know of, including Aeroplan.
Aeroplan Partners List: Probably the worst designed web site of all the major North American programs, click here and then click on a miniscule hyperlink called “Complete Partner List” near the top centre part of the page. If you lose this link, good luck trying to find this information again!
* Early this year, however, Alaska toughened many of its more generous rules about upgrades and qualification for high tier status—ie. “MVP” and “MVP Gold”—so it isn’t all that certain Mileage Plan will get the nod again from The Freddies’ for 2004.
GOOD NEWS AND BAD
Probably the two most significant new developments in travel are (1) soaring fuel prices and (2) the rising Canadian dollar. The latter, of course, is good news for Canadian travelers (although not necessarily for exporters). The former, soaring fuel prices, is a concern. Certainly, it will translate into even higher airline ticket prices (see web article); but perhaps even more disturbing is the fact that it will do further damage to airlines (particularly U.S. ones) already in shaky financial condition.
Already, the world’s two largest airlines, American and United, have announced new cuts to capacity in anticipation of decline in demand due to higher ticket prices. Also, sadly American is fazing out its much-praised extra legroom in economy class in an effort to squeeze more cost savings. And, as airline capacity starts to shrink, you can expect more delays and disruptions due to over-booked flights and fewer options.
In summary, the bad news is look for higher prices, lower comfort, and less convenience. The good news: once you get to the U.S. (and many other countries), our dollar will go further than before.
With the expectation of higher airfares, this is one more reason that wise travelers rely on professional travel consultants to not only find the best airfares, but to advise when to buy and when to hold off until a better deal comes along. Like the old Kenny Rogers’ song says, we have “to know when to hold ‘em and when to fold ‘em.”
Already, the world’s two largest airlines, American and United, have announced new cuts to capacity in anticipation of decline in demand due to higher ticket prices. Also, sadly American is fazing out its much-praised extra legroom in economy class in an effort to squeeze more cost savings. And, as airline capacity starts to shrink, you can expect more delays and disruptions due to over-booked flights and fewer options.
In summary, the bad news is look for higher prices, lower comfort, and less convenience. The good news: once you get to the U.S. (and many other countries), our dollar will go further than before.
With the expectation of higher airfares, this is one more reason that wise travelers rely on professional travel consultants to not only find the best airfares, but to advise when to buy and when to hold off until a better deal comes along. Like the old Kenny Rogers’ song says, we have “to know when to hold ‘em and when to fold ‘em.”
TO TIP OR NOT TO TIP
Florida joke: What’s the difference between a canoe and a Canadian?
Answer: "A canoe tips!"
Are Canadians really that bad? Or are we just confused? Do you tip to buy your way to the front of the line, or should it be a reward for good service? If you get poor service, should you withhold the tip? A tip that would be considered average in the USA would be excessive in Portugal or even refused in Japan. In Iceland, tipping is considered to be downright rude. So how do you know what is appropriate?
Roger Axtell, former vice-president of the Parker Pen Company, has written three books on international customs and protocol. He gives these guidelines for avoiding embarrassment when it comes to tipping in frequently visited countries.
Western Europe: A service charge ranging from 10 to 20 percent is automatically added to your hotel and dining bill. In France, it is not always applied so ask to be sure. In Spain, the money is rarely given to the employees even though it is included in the bill, so tip individually. In Scandinavia, it is included in the bill even for taxi rides.
The Middle East: An automatic 15% is now added to the bill in Israel and cash tipping has become more common. In Turkey and Greece, the proprietors take a share of the pooled 15% so a small tip given directly to the employee is appreciated. It is the custom to tip taxi drivers.
Latin America: There is a huge variation in tipping practices in Central and South America. Ask your hotel concierge about the local customs. In Argentina, tip waiters 10 to 15 percent, porters US$0.50 per bag, taxi drivers 15 percent, and theatre ushers 5 percent. In Brazil, tip waiters 5% in cash over the 10% added to the bill, taxi drivers 10%, and at the airport tip the last porter who handles your bags – he will share the money with the others. In Chile and Colombia, the cab drivers own their cars so tipping is not required, but remember to give theatre ushers small tips. In Venezuela, 10 percent is added to the bill in restaurants and hotels. Don’t tip the taxi drivers unless they have carried your bags or give extra service, but do give porters the equivalent of US$1.00 for carrying a few bags.
Down Under: There is general resistance to tipping in Australia, but service people in tourist areas have come to expect small tips. In New Zealand, tipping is not the custom unless exceptional service has been provided.
Asia: Tipping is not common in Asia and may even be considered insulting. Hotels and restaurants usually add a service fee to the bill. When in doubt, don’t tip! You could present a small gift to people who have extended special service. Exceptions are Hong Kong, India, Malaysia, and South Korea. Ask about current practices.
A final word of caution – When you park your car in a public area or along the street in Mexico and young watchacaros suddenly appear with open palms and a promise to watch your car, it is wise to accept their offer!
Books by Roger Axtell: Around the World; Of International Trade; and Of Hosting International Visitors (All published by John Wiley & Sons).
Recommended Reading: The International Guide to Tipping, by Nancy Star, Berkley Publishing The Art of Tipping: Customs and Controversies, by Barbara Wohlfahrt, Edwin Jablonsk, and John E. Schein, published by Tippers International Limited Traveler’s Handbook on Tipping, Vol. 1, by David Stroman, published by AuthorHouse
Online: Ever wondered what to tip a tattoo artist or a piercing technician? For an excellent summary of this important question and some good guidelines for more mainstream tipping issues, go to: http://azaz.essortment.com/tipping_rdef.htm .
But what about pizza, you ask? Well don’t panic, for the proper tipping etiquette for pizza delivery, see: http://tipthepizzaguy.com/general/ Lots of people have found a way to make money on the issue; my favourite is a web site totally devoted to tipping, http://www.tipping.org, which sells a handle little wallet-sized tipping chart (15% and 20%).
Answer: "A canoe tips!"
Are Canadians really that bad? Or are we just confused? Do you tip to buy your way to the front of the line, or should it be a reward for good service? If you get poor service, should you withhold the tip? A tip that would be considered average in the USA would be excessive in Portugal or even refused in Japan. In Iceland, tipping is considered to be downright rude. So how do you know what is appropriate?
Roger Axtell, former vice-president of the Parker Pen Company, has written three books on international customs and protocol. He gives these guidelines for avoiding embarrassment when it comes to tipping in frequently visited countries.
Western Europe: A service charge ranging from 10 to 20 percent is automatically added to your hotel and dining bill. In France, it is not always applied so ask to be sure. In Spain, the money is rarely given to the employees even though it is included in the bill, so tip individually. In Scandinavia, it is included in the bill even for taxi rides.
The Middle East: An automatic 15% is now added to the bill in Israel and cash tipping has become more common. In Turkey and Greece, the proprietors take a share of the pooled 15% so a small tip given directly to the employee is appreciated. It is the custom to tip taxi drivers.
Latin America: There is a huge variation in tipping practices in Central and South America. Ask your hotel concierge about the local customs. In Argentina, tip waiters 10 to 15 percent, porters US$0.50 per bag, taxi drivers 15 percent, and theatre ushers 5 percent. In Brazil, tip waiters 5% in cash over the 10% added to the bill, taxi drivers 10%, and at the airport tip the last porter who handles your bags – he will share the money with the others. In Chile and Colombia, the cab drivers own their cars so tipping is not required, but remember to give theatre ushers small tips. In Venezuela, 10 percent is added to the bill in restaurants and hotels. Don’t tip the taxi drivers unless they have carried your bags or give extra service, but do give porters the equivalent of US$1.00 for carrying a few bags.
Down Under: There is general resistance to tipping in Australia, but service people in tourist areas have come to expect small tips. In New Zealand, tipping is not the custom unless exceptional service has been provided.
Asia: Tipping is not common in Asia and may even be considered insulting. Hotels and restaurants usually add a service fee to the bill. When in doubt, don’t tip! You could present a small gift to people who have extended special service. Exceptions are Hong Kong, India, Malaysia, and South Korea. Ask about current practices.
A final word of caution – When you park your car in a public area or along the street in Mexico and young watchacaros suddenly appear with open palms and a promise to watch your car, it is wise to accept their offer!
Books by Roger Axtell: Around the World; Of International Trade; and Of Hosting International Visitors (All published by John Wiley & Sons).
Recommended Reading: The International Guide to Tipping, by Nancy Star, Berkley Publishing The Art of Tipping: Customs and Controversies, by Barbara Wohlfahrt, Edwin Jablonsk, and John E. Schein, published by Tippers International Limited Traveler’s Handbook on Tipping, Vol. 1, by David Stroman, published by AuthorHouse
Online: Ever wondered what to tip a tattoo artist or a piercing technician? For an excellent summary of this important question and some good guidelines for more mainstream tipping issues, go to: http://azaz.essortment.com/tipping_rdef.htm .
But what about pizza, you ask? Well don’t panic, for the proper tipping etiquette for pizza delivery, see: http://tipthepizzaguy.com/general/ Lots of people have found a way to make money on the issue; my favourite is a web site totally devoted to tipping, http://www.tipping.org, which sells a handle little wallet-sized tipping chart (15% and 20%).
Wednesday, September 15, 2004
LOUNGING AROUND AT THE AIRPORT
More and more airports are opening premium lounges that you can use for a small fee. Vancouver International Airport has just launched two of these. They are available to all passengers, regardless of airline or class of travel, for an admission fee of $25 per person ($15 for children aged six to twelve and free for children five and under.)
Plaza Premium's arrivals lounge, on Level 2 of the International Terminal, is accessible by passengers arriving on US and international flights after they have cleared Canadian Customs. Their departures lounge is located past Security on Level 3.
These lounges offer all passengers the comforts, tranquility and services once reserved exclusively for business class travellers. Complimentary snacks and self-service bar, television and internet access, newspapers and magazines - even the use of shower facilities - are all included in the price of admission. Additional services are available on a pay-per-use basis, including clothes-pressing and business support services such as faxing and photocopying.
Vancouver's Plaza Premium lounges are North America's first pay-per-use airport lounges, but it is a growing trend in Europe, Asia and the Pacific. They are particularly popular with cost-conscious business travellers. A pay-per-use lounge means they can give up the inflight comfort of the business-class cabin and retain the perks and conveniences of the premium service airport lounge. Plaza Premium lounges are established features in Hong Kong, Singapore, Kuala Lumpur and Sydney airports.
Plaza Premium's arrivals lounge, on Level 2 of the International Terminal, is accessible by passengers arriving on US and international flights after they have cleared Canadian Customs. Their departures lounge is located past Security on Level 3.
These lounges offer all passengers the comforts, tranquility and services once reserved exclusively for business class travellers. Complimentary snacks and self-service bar, television and internet access, newspapers and magazines - even the use of shower facilities - are all included in the price of admission. Additional services are available on a pay-per-use basis, including clothes-pressing and business support services such as faxing and photocopying.
Vancouver's Plaza Premium lounges are North America's first pay-per-use airport lounges, but it is a growing trend in Europe, Asia and the Pacific. They are particularly popular with cost-conscious business travellers. A pay-per-use lounge means they can give up the inflight comfort of the business-class cabin and retain the perks and conveniences of the premium service airport lounge. Plaza Premium lounges are established features in Hong Kong, Singapore, Kuala Lumpur and Sydney airports.
GOOD POINTS AND BAD
With the incredible success of CIBC’s Aerogold Visa, the other credit card companies have had to scramble to come up with their own points program. At first they tried offering merchandise, but as we all know, travel is the most desirable reward. So now, virtually every bank has its own version of a travel points program—usually connected to their Gold and Platinum cards. While these plans do have some advantages over Aeroplan and other traditional frequent-flyer programs, there are important issues to consider.
First the advantages. Unlike airline points plans, credit card travel plans have no "blackouts." Also, in theory, you can travel anywhere and on any airline with most credit card travel reward programs.
That’s the theory, anyway. In practice, it is not quite that simple. First of all, the credit card travel plans have dollar-based awards. For example, 30,000 points on a program typically gets you about $750.00 worth of airline tickets in North America. You may be lucky enough to find a ticket under that price in some cases, but if you are travelling in peak season, booking at the last minute, or travelling somewhere that has restrictions on their best airfares that you don’t qualify for, you may find that you have to “top up” the award to the tune of hundreds, even thousands of dollars! So much for it being a “free” ticket.
Secondly, unlike airline programs, credit card award programs cannot be managed by your professional travel consultant. They have their own, in-house travel department, located who-knows-where. So you are not going to be dealing with an experienced, skilled agent who understands your travel market. These call centres are staffed by entry-level agents, leaving you with a novice to handle your all-important vacation. Add to this the fact that an inexperienced agent is very unlikely to find you the lowest airfare, which means you may well be getting poor service combined with a higher airfare!
Finally, most experienced travellers like to reserve their frequent-flyer points to travel business or first class. It is a treat they’d not normally pay for, and they know that they are getting better value for their points with a premium class award. This is a great idea with airline plans, but it is a disaster with credit card plans. Again, because the awards are dollar-based, you must top up any costs that exceed your award budget. For example, that same 25,000-point award valued at $750.00 does not go a long way to pay for a $3000.00 business class ticket!
With regular frequent-flyer plans, on the other hand, you typically get 500% greater value out of a business class award level for about 60% more points. (Eg. a typical round-trip economy ticket to/from Toronto costs about $650.00, while business costs $3200.00; but the difference in points levels in Aeroplan is 25,000 vs. 40,000.)
Credit card programs such as “Aventura” claim to offer a business class option, but it is at an enormous cost in points. For that same business class ticket to Toronto mentioned above, it would cost a total of 280,000 points! *
Two credit card programs we would recommend are RBC’s Avion Platinum card and Amex Rewards. Both of these do have a frequent-flyer program option. That is, in addition to their own (not-so-useful) in-house program, with Amex you can transfer your points to Continental Airlines’ or Delta Airlines’ frequent-flyer plans (as well as Aeroplan); and with RBC Avion you can transfer your points to the American Airlines’ or British Airways’ programs. Our recommendation, then, is if you want to own a second credit card anyway, maintain enough points (say 30,000 or 60,000) in one of these programs to pay for two economy tickets within North America as a backup to your Aeroplan account. That way, you will always have a second option when your Aeroplan (or other frequent-flyer program) fails. But, for big-ticket items—such as a business class ticket to Europe or Australia—keep building your points in a traditional airline frequent-flyer program.
(Next month: other than Aeroplan, what is the second best frequent-flyer plan?)
*30,000 points = $750.00 budget. A $3200.00 business class ticket will be $2450 extra. You can use additional points at a rate of 10,000 points per $100. This means you’d have to spend an additional 250,000 points to “pay” for the extra cost of the ticket!
First the advantages. Unlike airline points plans, credit card travel plans have no "blackouts." Also, in theory, you can travel anywhere and on any airline with most credit card travel reward programs.
That’s the theory, anyway. In practice, it is not quite that simple. First of all, the credit card travel plans have dollar-based awards. For example, 30,000 points on a program typically gets you about $750.00 worth of airline tickets in North America. You may be lucky enough to find a ticket under that price in some cases, but if you are travelling in peak season, booking at the last minute, or travelling somewhere that has restrictions on their best airfares that you don’t qualify for, you may find that you have to “top up” the award to the tune of hundreds, even thousands of dollars! So much for it being a “free” ticket.
Secondly, unlike airline programs, credit card award programs cannot be managed by your professional travel consultant. They have their own, in-house travel department, located who-knows-where. So you are not going to be dealing with an experienced, skilled agent who understands your travel market. These call centres are staffed by entry-level agents, leaving you with a novice to handle your all-important vacation. Add to this the fact that an inexperienced agent is very unlikely to find you the lowest airfare, which means you may well be getting poor service combined with a higher airfare!
Finally, most experienced travellers like to reserve their frequent-flyer points to travel business or first class. It is a treat they’d not normally pay for, and they know that they are getting better value for their points with a premium class award. This is a great idea with airline plans, but it is a disaster with credit card plans. Again, because the awards are dollar-based, you must top up any costs that exceed your award budget. For example, that same 25,000-point award valued at $750.00 does not go a long way to pay for a $3000.00 business class ticket!
With regular frequent-flyer plans, on the other hand, you typically get 500% greater value out of a business class award level for about 60% more points. (Eg. a typical round-trip economy ticket to/from Toronto costs about $650.00, while business costs $3200.00; but the difference in points levels in Aeroplan is 25,000 vs. 40,000.)
Credit card programs such as “Aventura” claim to offer a business class option, but it is at an enormous cost in points. For that same business class ticket to Toronto mentioned above, it would cost a total of 280,000 points! *
Two credit card programs we would recommend are RBC’s Avion Platinum card and Amex Rewards. Both of these do have a frequent-flyer program option. That is, in addition to their own (not-so-useful) in-house program, with Amex you can transfer your points to Continental Airlines’ or Delta Airlines’ frequent-flyer plans (as well as Aeroplan); and with RBC Avion you can transfer your points to the American Airlines’ or British Airways’ programs. Our recommendation, then, is if you want to own a second credit card anyway, maintain enough points (say 30,000 or 60,000) in one of these programs to pay for two economy tickets within North America as a backup to your Aeroplan account. That way, you will always have a second option when your Aeroplan (or other frequent-flyer program) fails. But, for big-ticket items—such as a business class ticket to Europe or Australia—keep building your points in a traditional airline frequent-flyer program.
(Next month: other than Aeroplan, what is the second best frequent-flyer plan?)
*30,000 points = $750.00 budget. A $3200.00 business class ticket will be $2450 extra. You can use additional points at a rate of 10,000 points per $100. This means you’d have to spend an additional 250,000 points to “pay” for the extra cost of the ticket!
Tuesday, September 14, 2004
TICKET PRICE SHOCK
How many of you have called about a $49 ticket to Edmonton, only to learn that (a) it was just one-way and (b) it excluded all taxes, fuel surcharges, and government fees. So typically, your “$49 ticket” turned out to cost $250.00! Well just maybe, the governments—Federal and Provincial- may be doing something about it at last.
For years, our travel trade association ACTA has lobbied governments on behalf of consumers for more truthful advertising of airfares by airlines. Finally, in January of this year, the federal, provincial, and territorial ministers responsible for consumer affairs met to discuss this issue. The outcome of this meeting was the creation of the Consumer Measures Committee (CMC), which will work to coordinate consumer protection laws and policies, particularly with respect to airline travel advertising. The CMC is now consulting the public on how to achieve greater “transparency” in airline fare advertising.
The aim is to eliminate misleading advertising. According to a report by a group of consumer agencies (Option Consommateurs, the Public Interest Advocacy Centre, and Transport 200 Canada), current airline advertising hides up to 79% of the total cost of a ticket! The chart below gives examples of these discrepancies:
While most of the travel industry, including travel agencies and tour operators, is regulated by the provincial governments, airline policy is a federal responsibility. There is currently no federal law specifically governing airline advertising. Visit: http://cmcweb.ca/epic/internet/incmc-cmc.nsf/en/fe00083e.html to read more about this issue and to fill in a survey.
For years, our travel trade association ACTA has lobbied governments on behalf of consumers for more truthful advertising of airfares by airlines. Finally, in January of this year, the federal, provincial, and territorial ministers responsible for consumer affairs met to discuss this issue. The outcome of this meeting was the creation of the Consumer Measures Committee (CMC), which will work to coordinate consumer protection laws and policies, particularly with respect to airline travel advertising. The CMC is now consulting the public on how to achieve greater “transparency” in airline fare advertising.
The aim is to eliminate misleading advertising. According to a report by a group of consumer agencies (Option Consommateurs, the Public Interest Advocacy Centre, and Transport 200 Canada), current airline advertising hides up to 79% of the total cost of a ticket! The chart below gives examples of these discrepancies:
While most of the travel industry, including travel agencies and tour operators, is regulated by the provincial governments, airline policy is a federal responsibility. There is currently no federal law specifically governing airline advertising. Visit: http://cmcweb.ca/epic/internet/incmc-cmc.nsf/en/fe00083e.html to read more about this issue and to fill in a survey.
Wednesday, June 23, 2004
What are travellers' rights?
What are travellers’ rights? With airlines under great financial and competitive pressure these days, customer service has taken a back seat. Things that you probably once took for granted may no longer happen. What happens, for instance, when a flight is cancelled and you are stranded in Boise, Idaho? What rights do you have as a passenger?
First, the shocking part—you have very few “rights” when it comes to airline travel. For years our travel association, ASTA, has lobbied both the U.S. and the Canadian governments to pass legislation called “The Air Travelers’ Bill of Rights,” but with no real success.*
So when your flight is cancelled or delayed, legally speaking, the airline is not obliged to do much if anything to help. An airline’s legal contract with you is limited to transporting you from point A to point B. There is no requirement to get you there by a specified time. They don’t even have to use an airplane to fulfill their contract. In a pinch, they are perfectly entitled to put you on a bus!
Fortunately, for public relations reasons all major airlines will try to offer you decent alternatives and/or compensation when your scheduled flight evaporates. The extent of their generosity, however, depends on how much they feel they are responsible for the problem. For instance, if you are delayed because of a mechanical issue or airline labour dispute, the airline will either accommodate you on another of their flights or, if none available, on another carrier’s flight. If you are forced to “overnight,” most major airlines will pay for your accommodation and some meals. Not all airlines, however, may be so accommodating—don’t expect much from any of the new discount airlines. Again, no law obliges them to pay anything or do much to help you out. It is solely for customer relations reasons that you get what you do from airlines.
On the other hand, if the cancellation or delay is caused by a force outside of the airline’s control—say bad weather, an air-traffic control strike, or a terrorist threat—most airlines will do very little to help you. You’re going to be stranded until they see fit to get you out of there. If you are without a reliable travel agent, you’re probably on your own! In several recent cases (eg. “Sept. 11th”) airlines simply sent most of their staff home, leaving thousands of passengers stranded, phone lines unanswered, and chaos at the airports! When it comes to an emergency, you just can’t rely on the airlines. Even if there were the good will to help, they are no longer staffed to deal with these situations.
What You Can Do:
Here are some things you can do to head off problems:
• If you must reach your destination on the same day or by a particular time, book a flight that leaves early in the day (or at least has a later backup), that way you will have alternative flights if your flight is delayed or cancelled.
• Before you leave for the airport, review other flight options in case your flight is cancelled. And check that your flight is on schedule.
• Purchase trip-cancellation insurance. RBC Travel Insurance will cover various issues, such as “flight interruption” which generally pays for costs incurred when your connection is missed due to flight delays/cancellations.
• Use a travel agent. For a small fee, you have the assurance that someone will be there to help you out in an emergency and/or be your advocate when an airline does not want to assume responsibility for its mistake.
*For details, go to: http://www.astanet.com/travel/trav_rights.asp
First, the shocking part—you have very few “rights” when it comes to airline travel. For years our travel association, ASTA, has lobbied both the U.S. and the Canadian governments to pass legislation called “The Air Travelers’ Bill of Rights,” but with no real success.*
So when your flight is cancelled or delayed, legally speaking, the airline is not obliged to do much if anything to help. An airline’s legal contract with you is limited to transporting you from point A to point B. There is no requirement to get you there by a specified time. They don’t even have to use an airplane to fulfill their contract. In a pinch, they are perfectly entitled to put you on a bus!
Fortunately, for public relations reasons all major airlines will try to offer you decent alternatives and/or compensation when your scheduled flight evaporates. The extent of their generosity, however, depends on how much they feel they are responsible for the problem. For instance, if you are delayed because of a mechanical issue or airline labour dispute, the airline will either accommodate you on another of their flights or, if none available, on another carrier’s flight. If you are forced to “overnight,” most major airlines will pay for your accommodation and some meals. Not all airlines, however, may be so accommodating—don’t expect much from any of the new discount airlines. Again, no law obliges them to pay anything or do much to help you out. It is solely for customer relations reasons that you get what you do from airlines.
On the other hand, if the cancellation or delay is caused by a force outside of the airline’s control—say bad weather, an air-traffic control strike, or a terrorist threat—most airlines will do very little to help you. You’re going to be stranded until they see fit to get you out of there. If you are without a reliable travel agent, you’re probably on your own! In several recent cases (eg. “Sept. 11th”) airlines simply sent most of their staff home, leaving thousands of passengers stranded, phone lines unanswered, and chaos at the airports! When it comes to an emergency, you just can’t rely on the airlines. Even if there were the good will to help, they are no longer staffed to deal with these situations.
What You Can Do:
Here are some things you can do to head off problems:
• If you must reach your destination on the same day or by a particular time, book a flight that leaves early in the day (or at least has a later backup), that way you will have alternative flights if your flight is delayed or cancelled.
• Before you leave for the airport, review other flight options in case your flight is cancelled. And check that your flight is on schedule.
• Purchase trip-cancellation insurance. RBC Travel Insurance will cover various issues, such as “flight interruption” which generally pays for costs incurred when your connection is missed due to flight delays/cancellations.
• Use a travel agent. For a small fee, you have the assurance that someone will be there to help you out in an emergency and/or be your advocate when an airline does not want to assume responsibility for its mistake.
*For details, go to: http://www.astanet.com/travel/trav_rights.asp
Land of the Rings
(Original article from Vancouver Sun on Saturday, February 21, 2004)
A guided tour of 'Middle Earth' Package takes Lord of the Rings fans to New Zealand sites where the movie was filmed
A local travel agent who bills himself as Canada's Lord of the Rings Middle Earth specialist creates tours throughout New Zealand for Rings fans to visit the sites where the popular movies were filmed.
Jason Stratford, director of sales for the South Pacific division of The Travel Group, puts together fully escorted and self-guided "Middle Earth" tours. The Australian-born Stratford recently did a self-drive tour and provides travellers with first-hand knowledge of the sites.
"People are looking for new things to do on their vacations," says Stratford. "This is the kind of holiday that appeals to Tolkien fans and people who are looking for an element of adventure. A "Middle Earth" tour is a memorable way to see New Zealand."
Stratford helps Rings fans design their self-drive adventure with the help of The Lord of the Rings Location Guidebook. The book gives detailed descriptions of the scenes and directions to each of the settings.
"It is like a treasure hunt," Stratford says. "I took the guide book, jumped in a car, and saw almost every major site. The trip was an emotional experience as the locations seemed strangely familiar, even though everything was new to me."
The Location Guidebook has been revised to include the new locations from scenes in the latest movie The Return of the King. Stratford gives his clients a free copy of the guidebook, signed by the author, with every self-drive or escorted tour booked with him to New Zealand.
According to Stratford, he "Middle Earth" theme adds a unique twist to an already great destination. New Zealand is a safe, beautiful and friendly country that provides excellent value.
For information on a "Middle Earth" tour or the South Pacific phone Jason Stratford at 604-681-6345. or visit the website: The Travel Group - Lord Of The Rings.
© The Vancouver Sun 2004
Doing Business Down Under
DOING BUSINESS DOWN UNDER
What are the challenges and opportunities of doing business in Australia & New Zealand? Our Director of sales for our South Pacific division, Jason Stratford recently interviewed Nerella Campigotto, president of Boomerang Consulting Inc., a Vancouver-based firm that specializes in international business development.
JS: Would you agree that Australia is overlooked as a business destination?
NC: Yes, I would say that there certainly are businesses in Canada that may be missing out on good opportunities there. Canadian companies understandably focus on the US, and I think they perceive Australia as perhaps being too small or too distant a market, and don’t fully understand the potential.
JS: Why should businesses consider Australia?
NC: There are several reasons why Australia should be on the radar screen – the economy is strong and has shown amazing resilience in the past decade, unemployment is low and average income is significantly higher than in Canada, the currency tends to move in parity with the Canadian dollar eliminating some of the exchange risks, the business environment is vibrant and has very high standards, and it is an ideal gateway for companies looking to do business in Asia.
JS: What are the advantages for those looking at the Asian market?
NC: There are actually close to 500 multinationals that have their Asian headquarters in Australia. There are obvious cost advantages and proximity to those markets, but more importantly, in Australia you have access to business people who are very familiar with doing business in Asia and have strong networks there. And the workforce is multilingual as there are about one million people who speak Asian languages.
JS: Can you give me an example of a Canadian multinational whose Asian headquarters are in Australia?
NC: A well-known example is McCains Foods; their Asian HQ is in Melbourne where they employ about 1000 people. Interestingly, they also have about 30% of the processed food market share in Australia.
JS: In what kinds of industries are there opportunities Down Under?
NC: Opportunities can be found in sectors such as agrifood, aerospace, building and wood products, engineering, R&D, various technology sectors (biotech, environmental, ICT, broadband, etc.) and cultural industries.
JS: Many of these would be competitors for Canadian businesses wouldn’t they?
NC: Absolutely, but we mustn’t forget that these can offer opportunities for collaboration, partnering and alliances that are often very successful.
JS: Where can businesses find information if they are considering entering the Australian market?
NC: The first step is to contact government sources such as the Trade Commissioner (www.infoexport.gc.ca) or for those looking to invest in Australia, they can visit www.investaustralia.gov.au. These organizations provide an overview of the market. You should also check out industry or business groups such as the Canada, Australia & New Zealand Business Association in Vancouver (www.canzba.org) where they can make some important connections. However, once they need more in-depth assistance it’s advisable to engage a consultant who has a good knowledge of the market and can access the right contacts.
JS: Can our readers contact you if they have any questions?
NC: Of course, they can email nc@boomerangconsulting.com or call me at 604-609-6178 and I’d be happy to answer any questions they have.
Nerella Campigotto is President of Boomerang Consulting Inc. a company based in Vancouver, Canada, which specializes in International Business Development. For more information please visit http://www.boomerangconsulting.com or call: 604-609-6178, email: info@boomerangconsulting.com
Those Wacky Airfares
With the current trend towards Internet-based travel, airfares have become more confusing, unpredictable, and treacherous. Here’s why.
These days many airlines, including Air Canada, sell tickets the way that service stations sell gas—their prices go up and down depending on what the competition is doing. This might seem like a good thing, but it has resulted in an airfare system that is even more confusing than the old one. And unlike buying gas, which is pretty simple and something most of us do all the time, searching for airfares can be frustrating and baffling to those who do not do it professionally. With prices swinging wildly up and down all day, if you’re not constantly shopping for airfares how do you know what is a good deal?
What has happened is that most North American airlines have radically changed the way they price their airfares. Up until recently all airlines used an “inventory control” system to determine their fares. It is simple to understand and is based on the principle of supply-and-demand. If there are lots of seats available, the price will be low. If space is tight, particularly around holiday periods, airlines will typically charge a lot more. The idea of the old system is to get a fair price for a seat, which is a perishable item, based on demand and the amount of time left to sell it.
Lately, however, thanks to the chaotic nature of the Internet marketplace, many airlines are abandoning “inventory control” in favour of a “dynamic pricing” system. This is an impressive-sounding expression for being a “copy-cat” at setting airfares. Air Canada, for instance, monitors electronically what WestJet, Jetsgo, and other competitors are doing day-by-day (and in some cases perhaps minute-by-minute), and adjusts its prices accordingly. The result is much like our local gas stations, whose prices fluctuate up and down according to whatever the guy down the road is charging at the moment. There will be no rhyme or reason for the price other than this. Sometimes this will be great for consumers, but quite often we feel we are getting “burned” by prices that are too high for no good reason.
Fortunately, our agents can help. Just as regular drivers know what is a good deal for gas, our agents, who deal with airfares all day long, can help you sort out what is a good price for a ticket. We are trained to consider historical issues, amount of advance notice involved, available inventory, and many other factors. We will help you decide whether to “lock in” at the present price or allow us to monitor for better airfares. The moral of the story: the more complicated the world becomes, the more you need an expert to help you navigate safely through it.
These days many airlines, including Air Canada, sell tickets the way that service stations sell gas—their prices go up and down depending on what the competition is doing. This might seem like a good thing, but it has resulted in an airfare system that is even more confusing than the old one. And unlike buying gas, which is pretty simple and something most of us do all the time, searching for airfares can be frustrating and baffling to those who do not do it professionally. With prices swinging wildly up and down all day, if you’re not constantly shopping for airfares how do you know what is a good deal?
What has happened is that most North American airlines have radically changed the way they price their airfares. Up until recently all airlines used an “inventory control” system to determine their fares. It is simple to understand and is based on the principle of supply-and-demand. If there are lots of seats available, the price will be low. If space is tight, particularly around holiday periods, airlines will typically charge a lot more. The idea of the old system is to get a fair price for a seat, which is a perishable item, based on demand and the amount of time left to sell it.
Lately, however, thanks to the chaotic nature of the Internet marketplace, many airlines are abandoning “inventory control” in favour of a “dynamic pricing” system. This is an impressive-sounding expression for being a “copy-cat” at setting airfares. Air Canada, for instance, monitors electronically what WestJet, Jetsgo, and other competitors are doing day-by-day (and in some cases perhaps minute-by-minute), and adjusts its prices accordingly. The result is much like our local gas stations, whose prices fluctuate up and down according to whatever the guy down the road is charging at the moment. There will be no rhyme or reason for the price other than this. Sometimes this will be great for consumers, but quite often we feel we are getting “burned” by prices that are too high for no good reason.
Fortunately, our agents can help. Just as regular drivers know what is a good deal for gas, our agents, who deal with airfares all day long, can help you sort out what is a good price for a ticket. We are trained to consider historical issues, amount of advance notice involved, available inventory, and many other factors. We will help you decide whether to “lock in” at the present price or allow us to monitor for better airfares. The moral of the story: the more complicated the world becomes, the more you need an expert to help you navigate safely through it.
Welcome to our E-newsletter
Welcome: This is our 1st e-newsletter, which has been designed especially for our corporate traveller clients. We are very conscious of how much unwanted e-mail everyone gets these days, but we hope you will find that our newsletter contains information that is useful and relevant.
Each monthly issue will include a feature travel news item, a commentary on a current travel issue, a profile on a corporate client, and a look at one of our agents or departments, so that you will have a better understanding of who we are and what we can do for you. We hope you will find these articles fun and informative.
Each monthly issue will include a feature travel news item, a commentary on a current travel issue, a profile on a corporate client, and a look at one of our agents or departments, so that you will have a better understanding of who we are and what we can do for you. We hope you will find these articles fun and informative.
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