Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 07-21-2012, 09:09 AM   #21
Moderator
ziggy29's Avatar
 
Join Date: Oct 2005
Location: Texas
Posts: 15,613
Quote:
Originally Posted by Danmar View Post
The concept of on board credits is interesting. The fact that big travel agents can offer these(and they can be over $1,000 on expensive cruises) tells me that commissions paid by the cruise lines is too high.
It has historically been in the range of about 8-15%, usually around 10% depending on a number of factors. But don't delude yourself into thinking eliminating agent commissions will result in a significant drop in fares. The truth is that most cruise lines have, for years, kept base fares low (this is the commissionable part) while increasing "junk" fees which are not. The junk fees can almost equal the base fare itself, so in terms of the total price you pay, the commission percentage is almost cut in half.
__________________

__________________
"Hey, for every ten dollars, that's another hour that I have to be in the work place. That's an hour of my life. And my life is a very finite thing. I have only 'x' number of hours left before I'm dead. So how do I want to use these hours of my life? Do I want to use them just spending it on more crap and more stuff, or do I want to start getting a handle on it and using my life more intelligently?" -- Joe Dominguez (1938 - 1997)

RIP to Reemy, my avatar dog (2003 - 9/16/2017)
ziggy29 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 07-21-2012, 11:41 AM   #22
Thinks s/he gets paid by the post
 
Join Date: Dec 2009
Location: Alberta/Ontario/ Arizona
Posts: 3,158
I don't think I am deluding myself. Just that commissions seem high for what the agents do. In any event, I don't buy travel based on price although I know that most people do. Making $500-1,000 commission on a cookie cutter cruise seems unsustainable.
__________________

__________________
Danmar is offline   Reply With Quote
Old 07-21-2012, 11:45 AM   #23
Moderator
ziggy29's Avatar
 
Join Date: Oct 2005
Location: Texas
Posts: 15,613
Quote:
Originally Posted by Danmar View Post
I don't think I am deluding myself. Just that commissions seem high for what the agents do. In any event, I don't buy travel based on price although I know that most people do. Making $500-1,000 commission on a cookie cutter cruise seems unsustainable.
Fair enough. But as my wife used to sell cruises I think I have a pretty good handle on how the industry works. (She doesn't any more, so I have no vested interest in maintaining the status quo.)

Even when she was selling travel we were recognizing that "travel agent" won't entirely go the way of buggy whip maker, but it will be an increasingly niche product that can support far fewer agents. There is a market for booking, coordinating and selling travel products, but it's increasingly not for the masses but for those willing to pay extra for the service and don't want to deal with all the details themselves with a complicated itinerary.
__________________
"Hey, for every ten dollars, that's another hour that I have to be in the work place. That's an hour of my life. And my life is a very finite thing. I have only 'x' number of hours left before I'm dead. So how do I want to use these hours of my life? Do I want to use them just spending it on more crap and more stuff, or do I want to start getting a handle on it and using my life more intelligently?" -- Joe Dominguez (1938 - 1997)

RIP to Reemy, my avatar dog (2003 - 9/16/2017)
ziggy29 is offline   Reply With Quote
Old 07-21-2012, 12:49 PM   #24
Thinks s/he gets paid by the post
 
Join Date: Dec 2009
Location: Alberta/Ontario/ Arizona
Posts: 3,158
Ziggy: I think we have reached common ground on this issue. Cheers.
__________________

__________________
Danmar is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


 

 
All times are GMT -6. The time now is 05:29 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.