OD price calculations

OTA = Online Travel Agency, which means those sites that sell the booking and take the payment for you.
Giraffe
Posts: 410
Joined: Sun Jun 26, 2016 10:10 am
Location: Cornwall, England

OD price calculations

Post by Giraffe »

After 4 years on subscription I'm now on commission with OD, so I have to rely on their quotes to customers. I've recently had an enquiry for 2 weeks in Aug 2019, but OD did not send me an automatic email notification. Without my approval they then sent the customer a 1 week price, although to the customer this looked like the quote for 2 weeks. Also I have not yet set up prices for 16 months away.

Anyone else had similar problems? Do I now have to set up prices 2 years in advance? I would be glad of advice - commission is so new to me. Thank you.
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rosebud
Posts: 625
Joined: Wed Mar 14, 2012 5:24 pm
Location: Steyning, West Sussex

Post by rosebud »

Hi Giraffe

Sending the 1 week rate seems very strange and confusing for the potential guest.

I think it is good to set rates for 18 months ahead if possible..( I have just done this for OD subscription)
Giraffe
Posts: 410
Joined: Sun Jun 26, 2016 10:10 am
Location: Cornwall, England

Post by Giraffe »

Thanks rosebud. We eventually worked out what we think happened. Because we don't have prices for August 2019 we believe OD took our cheapest week and doubled it for the 2 week request. As our cheapest week is normally 50% of our peak week the result looked like a one week price!! Heaven preserve me from OD's immediate online booking system.

As you say this is confusing for potential guests and they don't come back when you tell them the cost is much higher. Your suggestion to put in prices 18 months in advance is excellent advice. Thank you, Giraffe x
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Dusty
Posts: 356
Joined: Wed Dec 19, 2012 3:32 pm
Location: St Cernin de Labarde, Dordogne
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Post by Dusty »

Hi Giraffe, your analysis soounds right, I had a similar thing happen last year with TA. We had an enquiry for a period we hadn't set a price for and they gave them our cheapest off-peak price. After I explained the siutation to the client they weren't happy but understood, thought they were getting a real bargain.
Giraffe
Posts: 410
Joined: Sun Jun 26, 2016 10:10 am
Location: Cornwall, England

Post by Giraffe »

Dusty, great your clients understood. I'm dreading the possibility of OD charging per day. Due to our high cost of changeovers we can only do whole weeks. I wish the OTAs would recognise that we are not hotels that charge per day. To limit OD going wrong on this front we have put a disclaimer on our front page that we only do whole weeks and if a client asks for anything else they are likely to get an incorrect quote from OD. (This was suggested by a LMH member).
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