dockhl Posted February 14, 2015 #1 Share Posted February 14, 2015 Good afternoon, I hope someone out there can explain something to me about the world of travel agencies versus cruise lines. Here is the issue: When I compare the itemized breakdown of charges for an upcoming cruise on the "Princess Cruises - Booking Confirmation - Passenger Copy" to my Travel Agency's "Passenger Invoice and Confirmation," there are differences. Princess shows the total fare for both of as as: $8,598. and the taxes, fees and port charges as $286.80 . However, the Travel Agency's invoice shows the total fare as $7898 ($700 less than Princess) and the taxes, fees, port charges as $986.80 ($700 more than Princess). The bottom line total cost of the cruise to me on both invoices is the same. That said, is this what typically happens when dealing with travel agents, and if so, what is the reason for the difference in itemized charges? Inquiring minds want to know! Mike Link to comment Share on other sites More sharing options...
jeansaussie1 Posted February 14, 2015 #2 Share Posted February 14, 2015 Looks like the TA made a typo. It's happened to me with 2 different TA's, one large agency, one small. IMO they hand type the info from the Princess confirmation into their format and often make errors. I'm an accountant and discrepancies like that jump out at me. Even though the total is the same I would call the TA to point it out. Link to comment Share on other sites More sharing options...
denmarks Posted February 14, 2015 #3 Share Posted February 14, 2015 Good afternoon, I hope someone out there can explain something to me about the world of travel agencies versus cruise lines. Here is the issue: When I compare the itemized breakdown of charges for an upcoming cruise on the "Princess Cruises - Booking Confirmation - Passenger Copy" to my Travel Agency's "Passenger Invoice and Confirmation," there are differences. Princess shows the total fare for both of as as: $8,598. and the taxes, fees and port charges as $286.80 . However, the Travel Agency's invoice shows the total fare as $7898 ($700 less than Princess) and the taxes, fees, port charges as $986.80 ($700 more than Princess). The bottom line total cost of the cruise to me on both invoices is the same. That said, is this what typically happens when dealing with travel agents, and if so, what is the reason for the difference in itemized charges? Inquiring minds want to know! Mike Something sounds fishy. Since they pay business tax on their income maybe they are trying to show that the cruise cost less and therefor their profit is less. They get no percentage on taxes. Link to comment Share on other sites More sharing options...
san diego sue Posted February 14, 2015 #4 Share Posted February 14, 2015 Discount travel agencies have lower fares. They kick back part of their commission. So the full fare from Princess will be higher than what you will actually pay. Link to comment Share on other sites More sharing options...
denmarks Posted February 14, 2015 #5 Share Posted February 14, 2015 Discount travel agencies have lower fares. They kick back part of their commission. So the full fare from Princess will be higher than what you will actually pay. Why is a huge port charge shown? Link to comment Share on other sites More sharing options...
Pia1913 Posted February 14, 2015 #6 Share Posted February 14, 2015 Agency is breaking it down and showing you non-commissionable rates. Some do that; others do not. I don't need to know how they do business; only thing that concerns me is the bottom line. But if you are paying the TA the same price as the Princess rate, you need to find another TA. Link to comment Share on other sites More sharing options...
dockhl Posted February 14, 2015 Author #7 Share Posted February 14, 2015 Agency is breaking it down and showing you non-commissionable rates. Some do that; others do not. I don't need to know how they do business; only thing that concerns me is the bottom line. But if you are paying the TA the same price as the Princess rate, you need to find another TA. Hi there... That is my feeling too.... the bottom line is the same. I'm still a bit confused about the "commisionable rates" thing, however, and how this benefits the TA? Link to comment Share on other sites More sharing options...
caribill Posted February 14, 2015 #8 Share Posted February 14, 2015 That is my feeling too.... the bottom line is the same. I'm still a bit confused about the "commisionable rates" thing, however, and how this benefits the TA? It does not "benefit" the TA. It just shows the TA how much of the total the TA will earn a commission on and how much will get them no commission. As Pia says, if the total is the same, it makes no difference to the passenger. And as Pia says, since many TAs do offer discount pricing on Princess, for your next cruise try to locate one of those. Link to comment Share on other sites More sharing options...
senior lady Posted February 14, 2015 #9 Share Posted February 14, 2015 every cruise fare has a NCF portion. it's non commissionable for the TA. That $700 has taxes, port fees and non-commissionable included in it. Link to comment Share on other sites More sharing options...
dockhl Posted February 14, 2015 Author #10 Share Posted February 14, 2015 It does not "benefit" the TA. It just shows the TA how much of the total the TA will earn a commission on and how much will get them no commission. As Pia says, if the total is the same, it makes no difference to the passenger. And as Pia says, since many TAs do offer discount pricing on Princess, for your next cruise try to locate one of those. Thanks Link to comment Share on other sites More sharing options...
eandj Posted February 14, 2015 #11 Share Posted February 14, 2015 And as Pia says, since many TAs do offer discount pricing on Princess, for your next cruise try to locate one of those. YES!!!!! In fact if you have time, I'd start getting some price comparisons with other agencies now. Trust me that we have NEVER paid anything close to Princess' rates for their cruises. And even after receiving their special sales, we don't need to bother as our original TA fare was STILL less. What is your TA's cancellation fee, if any? Figure that in the cost but I'd sure as heck be shopping around for a better rate before final payment is due. There are several large web based agencies that offer nice obc's and pricing. Also there's a great web site that lets agencies compete for your cruise business. Google something about that. I can't mention the site here. Link to comment Share on other sites More sharing options...
camofwilliamsburg Posted February 14, 2015 #12 Share Posted February 14, 2015 Ask your agent for more of a discount. If your agent will not, tell the agent you will be moving your reservation. Most agents will discount from their commission, add on board credits, pay for a specialty meal or send you some wine. Compare what you are getting from your agent. IF you have a relationship worth keeping, talk to the agent about price. Link to comment Share on other sites More sharing options...
Boomer Time Posted February 14, 2015 #13 Share Posted February 14, 2015 When Princess does their pricing breakdown, the port charges are included in the cruise fare. Most other cruise lines don't show it that way. When travel agents do their invoicing, they do a breakdown of the cruise, then port charges, government taxes, and insurance and gratuities (if they are to be included). The total should be exactly the same, so the only difference should be the travel agent should do a complete breakdown. Link to comment Share on other sites More sharing options...
Boomer Time Posted February 14, 2015 #14 Share Posted February 14, 2015 I also don't mind paying my TA the same amount that I would generally pay to the cruise line, as long as it's not more. If you have a good one, they are there for you from the first minute you give them your deposit until you get back from your trip. And if I have any problems with anything, I know he will be there at any time I need him. Link to comment Share on other sites More sharing options...
caribill Posted February 14, 2015 #15 Share Posted February 14, 2015 When Princess does their pricing breakdown, the port charges are included in the cruise fare. Most other cruise lines don't show it that way. When travel agents do their invoicing, they do a breakdown of the cruise, then port charges, government taxes, and insurance and gratuities (if they are to be included). The total should be exactly the same, so the only difference should be the travel agent should do a complete breakdown. By law in the USA, port charges (not port taxes) must be included in the cruise fare. So all cruises being marketed in the USA must do this. Link to comment Share on other sites More sharing options...
Boomer Time Posted February 14, 2015 #16 Share Posted February 14, 2015 By law in the USA, port charges (not port taxes) must be included in the cruise fare. So all cruises being marketed in the USA must do this. I do know that Princess, Holland America, And Cunard include them in the cruise fare. Royal Caribbean, Celebrity, and Carnival do not. I am not a TA but was sent the Agent copy of the booking accidently, and they were listed separately. Link to comment Share on other sites More sharing options...
Pia1913 Posted February 14, 2015 #17 Share Posted February 14, 2015 (edited) I do know that Princess, Holland America, And Cunard include them in the cruise fare. Royal Caribbean, Celebrity, and Carnival do not. I am not a TA but was sent the Agent copy of the booking accidently, and they were listed separately. Carnival does include it, as do all cruise lines in the U.S. as stated above. It's the law. Port is included in the quoted fare. Taxes and govt. fees are what's quoted separately. Nobody can charge you extra for port. It's also great that you don't mind paying the same to a TA as to the cruise line. I mind, as do most people we know. And we have good agents you are there for us at all times and we save money too Edited February 14, 2015 by Pia1913 Link to comment Share on other sites More sharing options...
lucky cal Posted February 15, 2015 #18 Share Posted February 15, 2015 I've found that on some in-demand, high-season cruises, we may pay the Princess price, but our TA rebates a portion of the commission to us as OBC. Depending on cruise cost, it has ranged from $250-$550. Link to comment Share on other sites More sharing options...
senior lady Posted February 17, 2015 #19 Share Posted February 17, 2015 The TA's make very little commission on these cruises as it is. The big money is in river cruising. Link to comment Share on other sites More sharing options...
Colo Cruiser Posted February 17, 2015 #20 Share Posted February 17, 2015 I agree it looks like you need to find a new TA. :( Link to comment Share on other sites More sharing options...
trabeler Posted February 17, 2015 #21 Share Posted February 17, 2015 Princess shows the total fare for both of as as: $8,598. and the taxes, fees and port charges as $286.80 . However, the Travel Agency's invoice shows the total fare as $7898 ($700 less than Princess) and the taxes, fees, port charges as $986.80 ($700 more than Princess). The bottom line total cost of the cruise to me on both invoices is the same. This is pretty typical in my experience. Usually the TA invoices have the taxes/fees at 2-3x the taxes/fees you'll see directly via the cruiseline. The exact multiplier depends on the itinerary (higher for caribbean and lower for panama canal and other high port fee cruises). What I normally do to determine a good TA discount is to take the cruiseline taxes/fees, multiply by 3, and then subtract that from the total fare. I look for a discount of at least 5% of the remainder. Since you already have the TA's figures, $7898 - $987 = $6911. 5% of that is around $350. I'd shop around and target that as a minimum for a discount. Sometimes I've gotten up to 10% reduction, but usually that is when the TA has group space on the sailing. My method doesn't always work as it depends on the sailing, but it has been pretty reliable over 20+ cruises. Link to comment Share on other sites More sharing options...
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