booking hotels: four common mistakes

Thanks to the internet, it is now possible to be your own travel agent! All the major hotel chains have booking engines on their websites. If you know what brand of hotel you want to stay in, just surf to their site, plug in your dates, choose your room type and rate, enter your credit card information, and click, you're done. You've booked your own hotel room.

The internet also has more elaborate booking engines through which you can buy air, hotels, cars, cruises, or other kinds of travel. Orbitz, Expedia, and Travelocity are the big three. (Note: you are actually doing business with a travel agency when you book on these sites). Type in your destination city, select the class of hotel you want (choose the number of stars from 1 to 5), plug in your dates, and click, you are presented a list of available hotels with prices. Make your choice, enter your credit card information and click, you've booked a room.

It's so easy ... but there are pitfalls. Hence the title of this article, booking hotels: four common mistakes.

Making multiple reservations. Enter your information, click, and your cursor starts spinning ... and keeps spinning ... and keeps spinning. You're never taken to the next page where you get your confirmation. Assuming your reservation did not go through, you start over again. The tales are legion of travelers whose credit cards are charged for multiple reservations at the same hotel.

Pre-paying your room. Especially be on the guard for this when you are offered an "Orbitz Special Offer" or "Low Price Guarantee," an "Expedia Special Rate," or Travelocity "GoodBuy" rooms. Scrutinize the rate description for language such as "pre-paid negotiated rate" or a statement that "your credit card is charged the total cost at time of purchase." Don't buy it! With a traditional reservation, you typically pay the hotel when you check out. Why should you give the online travel agency the free use of your money?

Also be aware that online travel agencies may post rates that are not only pre-paid but non-refundable, non-changeable, and/or non-cancellable. Be absolutely certain that no such language is present in the rate description or the booking page; this is good news for the online travel agency but very bad news for you. If you are absolutely, 100% certain that you are going to use this reservation, and the rate you are being offered is much, much better than anything you can find elsewhere, well, it's your decision.

Booking rates with cancellation penalties. On a recent comparative "mock reservation," I found that every on-line booking site I researched charges cancellation fees. Up until 72 hours before the reservation, you are penalized $25 by orbitz, $50 by the hotel chain's own site, and $66.07 by expedia. With a traditional reservation, there is no cancellation fee. (And once you pass the 72 hour deadline, which is excessive, you forfeit one night's room charge.)

Getting socked with booking fees. Online travel agencies tend to charge booking fees without being upfront about the practice. They are hidden within the "taxes and fees" line item, but don't expect to get the breakdown. Here's what orbitz states in their fine print: "The Taxes and Fees line includes a fee we charge and retain in exchange for the services we provide in facilitating your transaction with the hotel supplier." This is in addition to any commission or mark-up they are already getting.

Paying more and getting less. Especially when booking luxury hotels, the best prices and amenities are often not available online. Often the best value for a luxury hotel can be found through sources such as American Express Fine Hotels & Resorts or through Virtuoso, a consortium of the world's top luxury travel agents. For no added cost, guests receive negotiated pricing and complimentary amenities such as breakfast served via room service; upgrades (sometimes at the time of booking); airport limousine transfers; complimentary lunch, dinner, or high tea; or spa services. Amenities vary by property.

Here's a true story of a recent booking I made for a client at a luxury hotel in Paris. The Virtuoso pricing for a comparable room was 162 EUR less per night than the hotel's own site and 264 EUR less per night than Orbitz and Expedia were offering. Orbitz, Expedia, and the hotel's rate had to be pre-paid; Virtuoso's just required a credit card guarantee. The three on-line deals had cancellation penalties; Virtuoso's rate could be cancelled without a fee up to 24 hours before check-in. Plus, the Virtuoso amenities offered breakfast, early check-in, late check-out, free parking for the duration of the stay, and champagne and tapas at the hotel's bar.

Consumers can often do very well for themselves online. Just watch for these four common mistakes.


If you have comments on this column, or questions about booking travel, email me or visit my website.

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