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Comments (16)
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Save/ShareWith its new Price Assurance program, the online travel agency is giving travelers a powerful new incentive to book flights early and through Orbitz.com. Here’s the gist: As of the beta launch on June 6, if you book a flight and another Orbitz customer subsequently books the same class seat on the same flight for a lower price, Orbitz will reimburse you for the difference—anywhere from $5 to $250.
The company tracks prices from the moment you book until the day you travel and will notify you by email if you’re going to receive a refund (you can also login to check the My Trips web page). If the fare you booked falls from, say, $500 to $450 and then again to $400, you’ll get a $100 refund. Expect a check to arrive about 30 days after you return.
The immediate appeal of the Price Assurance is that it takes the onus off the customer. Unlike other best-price guarantees, you don’t have to monitor fares yourself or scramble to find a lower fare within a brief time period or even request a reimbursement. It also helps relieve that sneaking suspicion that the passenger seated next to you somehow got a better deal.
One noteworthy caveat: the policy just applies to airfare-only purchases. So, if you book a flight along with a rental car or hotel stay, you won’t be eligible for a refund. As always, read the full conditions and terms to avoid any surprises.
There’s no limit to how early you can book a fare, and chances are the earlier you book, the greater the refund potential. But don’t assume a refund will be coming. While Tom Russell, VP of brand marketing, told me that Orbitz anticipates mailing thousands of checks monthly, that estimate may drop if cash-strapped airlines continue to raise fares.
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I think this is a fantastic way for Orbitz to differentiate itself from other travel sites.
Often I'm reluctant to buy a ticket out of fear that the price may drop. Now Orbitz has taken the guesswork out of the process.
Recently purchased a ticket to Chicago on Orbitz without knowing about the Price Assurance program and was pleasantly surprised to be informed that I was protected against price drops.
(Do be aware, however, that there's an awful lot of small print attached to the offer. Another passenger has to book the same exact flights through Orbitz in the same fare class, etc.)
- Aaron Dalton, 1GreenProduct.com
Posted By Aaron Dalton on June 14, 2008, 4:22 PM
Smart move by Orbitz.
Posted By Marilyn Terrell on June 16, 2008, 5:46 AM
Read the fine print. The guarantee ONLY applies if someone else uses Orbitz to book the same itinerary (flight, time, fare class) for a lower price. Even if the price drops, if no one else books exactly the same ticket through Orbitz, you get nothing.
A very few early bookers on popular routes (like NY-London or NY-LA) may benefit as a) it is more likely that someone else may book exactly the same class on the same flight with Orbitz and b) that the price will actually drop.
But it will be kind of like winning the lottery except that the payoff will only be a few bucks!
Better to book direct with an airline that guarantees you the lowest fare no matter what.
Posted By Harry Albright on June 16, 2008, 11:12 AM
This is a brilliant marketing strategy for Orbitz because the payout will be almost ZERO! The chances of someone else booking exactly the same flight on Orbitz is low to start with. Plus, airfares are going nowhere but UP and UP. I'm a travel agent; I know. Last, the cheapest fares are typically NOT on the airline sites; they are with your travel agent who can use consolidators. Those are by far the lowest fares, often hundreds of $ less. I am shocked daily by what I can get from a good consolidator versus what the airline is charging! It's highway robbery!But they get away with their "low price guarantee" because consolidator fares are generally not available to the public; you must use a travel agent.
Posted By Mary on June 16, 2008, 12:46 PM
Life is a game. And traveling is a part of game. The word Traveling surely sends shiver down the spine because words like Adventures, sport, fun, Enjoyment are always associated with it. Most people (generally)..
Posted By Mike on June 17, 2008, 1:28 AM
Orbitz Price Assurance is a play on consumer perception & trust. By keeping its customers veiled from their ticket price and refund eligibility status, Orbitz is giving the perception that they’re providing price-protection. In reality, the only thing Orbitz is "assuring" its customers is the "possibility" of a refund.
Posted By Jeff on June 20, 2008, 2:06 PM
Orbitz, foul, buyer bewares. They are con artist. Don't buy flight tickets there.
Orbitz cancelled our trip without notifying us. They claimed Airlines changed it. We called Airlines, and they said Orbitz cancelled it. They have cashed in and sold out seats to other buyers for better price.
We have reserved trip to Taiwan in March 08 for 4 people from Orbitz. We received Tickets. Nov 6 08, my husband check on Orbitz website found out our flight from LAX to Taipei, no longer there. We called, and they let us hold more than half hour. We requested reschedule and they told us no seats are available on the way back form Jan 1-10. If we want a refund, we have to mail back all the paper tickets. I asked to return ticket to their Chicago Location. They said they are in Minnesota. (Later I found out their HQ is in Chicago).
We call the Airlines; they told us seats are still open for our desired date. We will take legal action against Orbitz. We called many times and spoke to many supervisors at Orbtiz. They kept saying Airlines cancelled the trip. They either did not call back or let us wait, and finally say the same thing for refund. They just won't help us reschedule our trip. How could they deceive consumers like this? I have scheduled this vacation since Feb 08, and this is my only week off for whole year, and it's the first time my kids will visit my hometown. How could they do this? I was so heartbroken and depressed. Buyers beware!!!!
Posted By PAM on November 13, 2008, 11:04 PM
Its fine that they will send you back the difference IF they book another person the same flight but if you compare their flight with the same flights directly to the airline I found on American it is usually over 200 dollars difference than the flight booked directly for the flights that I have been booking. Check it first for yourself!!
Posted By Marie Payne on January 16, 2009, 6:42 PM
I pay for a trip in Aug. and took it to Germany Dec. 16 flight2509 was suppose to get refund. Have never heard anything from you . would like to know what happen ?
Posted By Gloria Platt on February 12, 2009, 8:18 AM
Orbitz is a total fraud , they wont refund my money after canceling a flight. They said they are going to refund it in 60 days even though I am being still charged 200 dollars. STAY AWAY FROM ORBITZ!
Posted By mithat arslan on June 16, 2009, 6:01 PM
My husband suggested I book our airfare before the 4th of July holidays. I thought that Orbitz would be a win win since they offer a price guarantee. Little did I know that someone has to book the same flight, dates and TIMES as you do! I never thought they would also have to be the same TIMES! What are the chances of that happening?
Guess what, the fares dropped after 7/4/09 and are still over $130 cheaper and no one else has booked that same exact flight.
What a zero. I will not be recommending ORbit to anyone.
Posted By Claudia Holt on August 10, 2009, 9:56 PM
Utterly useless. Only appies it another customer books the exact same flights going and returning as the flights that are in your intinerary. I booked a flight 2 days ago that dropped significantly, but cannot get a refund
Posted By Todd Deming on August 16, 2009, 1:16 AM
As others pointed out, the "price assurance" is a slimy deception that has made me never want to give me business to Orbitz again.
I, like many other gullible saps, thought "price assurance" would protect me against drops in airfare, but you can only report a claim yourself on the same day you book, and in order for a refund to be issued otherwise, someone needs to book the same flight on the same day/time with the exact same number of passengers (and the same return flight, I believe) through Orbitz.com!
The odds of that happening are astronomically low, which I'm sure is by design. It was quite a shock to me to discover that airfare dropped 25%, but that I wouldn't be receiving any sort of cushion from my "price assurance".
I'll give them my "assurance" that I'll never shop there again!
Also, please update the article to clarify what Orbitz's "price assurance" claim really means. Speaking of the program with terms like "It also helps relieve that sneaking suspicion that the passenger seated next to you somehow got a better deal" doesn't begin to paint an accurate picture of a policy that is designed to be seldom if ever honored.
Posted By Colin on December 2, 2009, 1:54 PM
While it may all sound fine and dandy..Orbitz will ONLY refund the difference if someone books the EXACT same flight with them. Not only that, when I booked my flight, I was only given three options on airlines, and not a single non-stop flight was offered. A week later I double checked, and found that close to a dozen different airlines offering fares, and some even non stop. I feel that Orbitz either used a bait and switch tactic, or that there was a problem with their website when I booked. Either way, I got no where with their script reading customer service rep.
Posted By Destry Fleming on January 7, 2010, 5:56 PM
I posted before, and that post was removed. My statement was simply that Orbitz gives users the run-around when they try to follow through with the low price guarantee.
We found our exact room for less on another site. I filled out the form twice, and was told it was never received. I was then offered a site to e-mail my information to, and that also never received a response. We've made 5 phone calls, to no avail.
I'm seriously disappointed in Orbitz and now Budget Travel (for removing my post). I doubt this will even show up in the comments of this story.
What a disappointment.
Posted By McKenzie on January 19, 2010, 10:20 AM
Hi McKenzie,
You wrote that your post was removed. That is not correct. Your posted your comment on a different blog post about Orbitz, and it remains on there. http://current.newsweek.com/budgettravel/2009/11/moneyback_offers_orbitz_juices.html
I’m sorry to hear that you’ve had a lousy customer experience, and we thank you for taking the time to share it with our readers.
Regards,
Sean
Blog editor
Posted By Blog Editor on January 19, 2010, 11:03 AM