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Orbitz vs. American Airlines: The traveler is the loser

January 21, 2011 |

According to The Washington Post, this is a dispute over which company or travel industry sector controls price information. But consumers' interest is in price transparency, which nobody in the industry really wants.

Online agencies typically show "base" airfares, minus any taxes and optional fees. They allow travelers to compare prices between airlines, but those comparisons have become increasingly difficult to make in the past two years, as air carriers have removed once-included items from the ticket price, such as checking a bag or making a seat reservation. Generally, airlines have refused to disclose these fees to travel agents in a meaningful and comprehensive way.

By withholding the fee information and waiting until the end of the reservation to disclose it, airlines stand to make more money because their tickets appear cheaper, and they can pocket all the profits from the extra fees that they charge later. Travel agencies want access to the information, and they say that they want to disclose it earlier so that they can keep their customers from being surprised by these fees at the airport. Plus, they hope to sell you the extras up front, potentially earning them a bonus or a commission.

Get the full story at The Washington Post

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