Next effective price increase - can't combine onboard booking and travel agent OBC?

[sweetlovin]

Well, apparently some TAs are conveying incorrect information in order to explain to their clients why they are going to be reducing or eliminating additional their own OBC offers with onboard bookings. I just spoke with my TA to clarify. Her agency is not considered to be one of the larger agencies.

The change is only affecting the commission paid for onboard bookings where you name a TA at the time you make the reservation. It does not affect any OBBs that you transfer to a TA within the 30 day allowance. Those transfers have always had a 10% commission paid out. The change is that now the most that any TA will be paid for OBBs that name a TA will now be 10% also.

This also ONLY affects the large agencies that had the opportunity to earn up to 16% commission on new bookings [including OBBs where the TA was named onboard]. Smaller agencies have always only received 10% on any of their bookings, whether transferred, OBB naming the TA or new bookings, so their compensation will not be affected with this change. So the larger agencies are having their commission on those bookings reduced by 37.5%. This will probably result in the individual agents will no longer be receiving any commission for those OBBs now either. I think that is terrible because it seems that TAs do more work with OBBs than new reservations. Those are the ones that are moved around, especially on opening day when people want quotes for multiple dates. I know they work incredibly long hours when new dates are released.

She also said that this change will not be implemented retroactively. It will be based on the original reservation date.

They do work long hours

 

[Maggie'sMom]

Well, apparently some TAs are conveying incorrect information in order to explain to their clients why they are going to be reducing or eliminating additional their own OBC offers with onboard bookings. I just spoke with my TA to clarify. Her agency is not considered to be one of the larger agencies.

The change is only affecting the commission paid for onboard bookings where you name a TA at the time you make the reservation. It does not affect any OBBs that you transfer to a TA within the 30 day allowance. Those transfers have always had a 10% commission paid out. The change is that now the most that any TA will be paid for OBBs that name a TA will now be 10% also.

This also ONLY affects the large agencies that had the opportunity to earn up to 16% commission on new bookings [including OBBs where the TA was named onboard]. Smaller agencies have always only received 10% on any of their bookings, whether transferred, OBB naming the TA or new bookings, so their compensation will not be affected with this change. So the larger agencies are having their commission on those bookings reduced by 37.5%. This will probably result in the individual agents will no longer be receiving any commission for those OBBs now either. I think that is terrible because it seems that TAs do more work with OBBs than new reservations. Those are the ones that are moved around, especially on opening day when people want quotes for multiple dates. I know they work incredibly long hours when new dates are released.

She also said that this change will not be implemented retroactively. It will be based on the original reservation date.

Thank you for the additional information.

 

[tup1830]

Well, apparently some TAs are conveying incorrect information in order to explain to their clients why they are going to be reducing or eliminating additional their own OBC offers with onboard bookings. I just spoke with my TA to clarify. Her agency is not considered to be one of the larger agencies.

The change is only affecting the commission paid for onboard bookings where you name a TA at the time you make the reservation. It does not affect any OBBs that you transfer to a TA within the 30 day allowance. Those transfers have always had a 10% commission paid out. The change is that now the most that any TA will be paid for OBBs that name a TA will now be 10% also.

This also ONLY affects the large agencies that had the opportunity to earn up to 16% commission on new bookings [including OBBs where the TA was named onboard]. Smaller agencies have always only received 10% on any of their bookings, whether transferred, OBB naming the TA or new bookings, so their compensation will not be affected with this change. So the larger agencies are having their commission on those bookings reduced by 37.5%. This will probably result in the individual agents will no longer be receiving any commission for those OBBs now either. I think that is terrible because it seems that TAs do more work with OBBs than new reservations. Those are the ones that are moved around, especially on opening day when people want quotes for multiple dates. I know they work incredibly long hours when new dates are released.

She also said that this change will not be implemented retroactively. It will be based on the original reservation date.

Not true. My brother owns a travel agency and the 16% is not limited to only bigger agencies. He is very small and had 16%, so its not a volume thing. Big or small, its a hit to the customer.

Basically you're telling the travel agents that we don't value you as much, since the people love us (DCL), we don't need you. They're almost forgetting how many new people travel agents bring to DCL. Unlike the parks, first time cruisers don't think DCL is a birth right, like WDW. They are taking the effort of the TA and then saying screw you when they become loyal DCL people.

 

[mareed]

I wonder if this will affect bookings for 2017 that have already been made and TA OBC offered? I'm guessing we'll still get it as its in our booking confirmation but will feel better once I know. Planning on using this for tips.

I asked, and the policy change is for onboard bookings made on or after October 22, 2015.

 

[Bear3412]

Well ....

Thanks for the details.

It will be interesting to see if Costco changes its policy of full Cash Card for OBB.
I feel they will have no choice.

 

[firsttimemom]

I asked, and the policy change is for onboard bookings made on or after October 22, 2015.

The email from my TA had 10/26 as the effective date.

 

[sweetpee_1993]

This is pretty bothersome to me. My TA is a very dear friend who owns her own agency. If DCL is cutting into her commission for me using OBBs then I either won't utilize OBBs anymore (sticking only to cruises I can book using discount fares) or I'll move on to other cruise lines that she can also book for me. I don't really pay any attention to the OBCs other than to budget. They're total lagniappe for me. If she gave me none I'd still book with her. First, I'm supporting my friend. Second, there's nothing I loathe more than sitting on hold only to speak to a call center employee who more often than not does not have a fraction of the knowledge I do. And if you call back a few times you'll likely get conflicting info each time. Eh, just more garbage to keep in mind.

 

[Divslp]

That's interesting. My TA is with small world vacations and I haven't received an email about this yet.

 

[zakatak]

It may be possible that the agencies are trying to put together a plan before announcing this big of a change. I'm positive that DCL didn't give a lot of notice on this change.

I'd be patient and wait a bit, a few days anyways to see how the agencies respond / maybe they're trying to come up with a new system that will benefit both guests and agencies.

 

[jetskigrl]

I asked, and the policy change is for onboard bookings made on or after October 22, 2015.

I'm still curious about the placeholders booked prior to October 22nd. I wonder if the booking date will change when it is assigned to the actual cruise, thereby putting it under the new policy.

I haven't heard anything about it from my TA but I may shoot her an email and ask. I'm glad that I got my first placeholder moved to an actual cruise prior to 10/22 but I still have one placeholder.

 

[jahber]

This is really disappointing. And it IS an effective price increase because travel agents (and agencies) get paid via those commissions. If they want to stay in business, they can't keep giving the same OBC without losing revenue and risking going out of business--thus, customers lose that $$. But they will have a hard time finding customers if they can't continue to offer what they have in the past. It puts them in a terrible position. What A terrible call, DCL. There was only one reason for this change, and no one can deny it this time. It makes me so sad to see a company doing so well treat the people who bring them business so badly.

 

[PrincessShmoo]

I'm still curious about the placeholders booked prior to October 22nd. I wonder if the booking date will change when it is assigned to the actual cruise, thereby putting it under the new policy.

I haven't heard anything about it from my TA but I may shoot her an email and ask. I'm glad that I got my first placeholder moved to an actual cruise prior to 10/22 but I still have one placeholder.

I would think not. The booking (albeit minus an actual date of cruise) was made prior to 10/22/15. IMO, it would considered "before" the effective date of the change.

 

[Expatriat]

I would think not. The booking (albeit minus an actual date of cruise) was made prior to 10/22/15. IMO, it would considered "before" the effective date of the change.

One can hope, but being DCL, there is the possibility that since that $200 placeholder fee is not likely to be the full amount of deposit on the eventually booked cruise date, they could claim an actual cruise booking was not yet made. Hopefully they wouldn't, but the way they interpret things lately, they could nitpick and claim the $200 secured your OBC by showing your "intent" to book another cruise, but not having done so. That's even how I viewed it myself, but that was prior to this TA situation.

 

[sweetlovin]

As far as placeholders, I would think as long as the TA was named when the placeholder was booked, it would be "grandfathered in" for the full commission; only because the booking number stays the same.

 

[Rambler5678]

We made a placeholder reservation onboard the first week of October in anticipation of booking Alaska 2017. We since used the placeholder reservation to assign a dummy date in early 2017 so we could be applying funds toward the reservation. Do you think when we transfer the reservation to an Alaska cruise the TA would get the 16% for this cruise or just 10%.

 

[cdoc29]

SMALL WORLD VACATIONS ONBOARD CREDIT OFFER TERMS AND CONDITIONS: *2015 - 2017 Onboard credit amount is listed in US Dollars and is based on the cruise fare only and does not include taxes, government fees, nsurance, transfers, airfare, hotel stays, shore excursions, Adventure by Disney Add-ons or gratuities. Valid on qualifying new 2015 - 2017 Disney Cruises booked now through 12/10/17 with Small World Vacations, Inc. Disney Cruises booked onboard any Disney Ship are not eligible for this offer

Their website actually says that OBB are eligible for 1/2 the offer after Nov 9th. This is too bad as out TA is with small world and has done a fabulous job for us. We had a placeholder and she let us know the dates of the new sailings in 2017. We let her know which one we wanted, which cabin and others should our first choice not be available and which dinner time. They day they opened she did all the waiting on the phone for us and got us booked for exactly what we wanted. For this reason alone we will still use them despite disney screwing them over in terms of commission.

 

[Ofinn]

Yesterday I was pricing out some cruises on the Costco site the prices were 10% or more higher on the Costco site than on the DCL site. I don't know if it was a glitch or if it has something to do with the policy change. I'm going to check Costco again today.

 

[vinotinto]

As far as placeholders, I would think as long as the TA was named when the placeholder was booked, it would be "grandfathered in" for the full commission; only because the booking number stays the same.

I hope this is true. I also have a placeholder cruise and have not decided when to use it (rates are so high!).

My TA is Dreams Unlimited. Anyone know how this policy will affect DU specifically?

 

[sweetlovin]

Yesterday I was pricing out some cruises on the Costco site the prices were 10% or more higher on the Costco site than on the DCL site. I don't know if it was a glitch or if it has something to do with the policy change. I'm going to check Costco again today.

Wow that is crazy! Let us know

 

[lanejudy]

Yesterday I was pricing out some cruises on the Costco site the prices were 10% or more higher on the Costco site than on the DCL site. I don't know if it was a glitch or if it has something to do with the policy change. I'm going to check Costco again today.

There shouldn't be any difference in final price. TA commission is not shown or reflected anywhere in the cruise price. Make sure what you are looking at from both sites includes all taxes and port fees, same transportation, same category number/letter combo, etc. A TA may charge a fee for their services, but the vast majority of U.S.-based TA's do not. If Costco has suddenly started charging, that likely is a business decision on their part and irrespective of DCL's commission policy; but I think it's unlikely Costco would change to that business model. I'm thinking either a glitch or something (taxes, etc.) was different between the 2 quotes.

Enjoy your cruise!