DisSavers savings question

[Lilly's Dad]

I just saw this sight's connection to the DisSavers club. We'll be going on disneyu cruise summer 2004, and cost for 4 staterooms is $5000. Am I correct in my calculations : If I book with Dissavers, they'll mail me back a rebate of $436.00 (Commission $500 (10%) minus $49. DisSavers Membership minus $15 transaction fee = $436.00) Every wise person will tell you if it sounds too good to be true, it isn't. Also, Travel agents scrape by financially with their 10% commission, if the only pay a travel agent gets for booking $5000 worth of travel is $64.00 ($49+$15) then how can that travel agent even break even when they pay thier own expenses, overhead, time, technology? They can't make money on that. Unless they're working for 50 cents an hour? Or do they make money elsewhere....HOW?...keeping deposits ? I don't understand ... SIMPLY PUT : WHY DO BUSINESS WITH A BUSINESS LOSING MONEY ? (Did I hear someone whisper "Enron" ?) I'm not making any accusations here, and I apologize if my suspicions are ascew, but I don't understand.

 

[Kelsie]

Here is a link to the DISavers FAQ's.

http://www.wdwinfo.com/dissavers/dissavers-faq.htm#commissionfree

Hopefully it will answer some of your questions.

You may also be interested in reading posts on the DISavers Board from current clients who have received payment.

http://disboards.com/forumdisplay.php?s=&forumid=67

 

[Lilly's Dad]

I read the forwarded info, and yes it is an honest deal. But doesn't it just bother you: HOW CAN THEY OPERATE THEIR BUSINESS AT A LOSS?

 

[BethR]

They are doing no work - you have done all of the legwork. They get the commission from your reservation. You have paid your DISSavers membership fee. You end up with the commission. And they still have the initial fee that you paid plus the $15 processing fee. That does not sound like a loss to me. Or am *I* missing something?

 

[Lilly's Dad]

If Mcdonalds sold Big Macs for 10 cents each, you wouldn't say, hey at least they made 10 cents profit. Even if they got their ingredients for free, there is (like in the travel agent business)insurance overhead, training, software , hardware, taxes, rent, utilities, licensing etc, etc, etc expenses....theire profit is not $49+ $15..................it just bugs me

 

[Kelsie]

I think you are missing another aspect of "BUSINESS 101". A lot of people like to plan their own vacations, they like to look for the discounts and make sure they have the best price. They would not typically book with a Travel Agency but do want the best price for their money. This is a win/win for both the customer and DISavers. The Customer gets any discounts they were able to obtain, plus an additional percentage from DISavers commission. DISavers get's the membership fee and the $15.00 fee per reservation. Both would not have received either if the customer had not joined DISavers. Where does DISavers or the Customer lose?

I am not sure where this is a violation of any business rules?