|
| |
The Perils of Online Travel Auctions
Be cautious: Auction winners can be losers
By Michael Shapiro / Special Contributor to The Dallas Morning News
At www.Egghead.com, the bidding for a tour to China starts at $9. Of course, travelers have a better shot at
winning the lottery than getting a trip to China for $9.
And bidders sometimes get so caught up in the excitement of live auctions that they end up paying more they should.
Online auctions can turn up some good deals, but if you aren't savvy about bidding, you can get taken for a ride.
In order to make Internet auctions pay off, travelers must
do research before they place their first bid. They also must be willing to walk away from their computer when the
bidding gets too rich, or if the prize isn't really what they wanted.
Travel auctions are certain to grow over the next few years, as more sites implement them to unload excess
inventory. Travel auction sales grew 400 percent in 1999,
compared to the previous year, according to Forrester Research. Some auction sites focus solely on travel
auctions; others, such as www.eBay.com, have many categories up for bid, including travel.
Unlike most traditional auctions, online auctions run by the clock. The bidding typically ends at a precise second, and
whoever has the highest bid at that time gets the product.
Sometimes extra fees are heaped on top of a final bid: taxes, service charges, port charges for cruises, the list
goes on. But these fees are usually clearly advertised.
Consider a weekend stay at the Tahoe Seasons resort, recently offered at www.SkyAuction.com with a tax and
service charge of $99. Even someone whose winning bid on
this one-bedroom suite is $1 pays $100 after surcharges
for the two-night stay. Now two nights of lodging near Heavenly Valley for $50 a night isn't a bad deal, but if
you bid $100 and then have to cough up another $99, it's
no bargain. This is especially true because this deal – like
most auction offers – wasn't for peak season – it was for the first weekend in December when the snow is usually
pretty thin and hotel occupancy is low.
Here are tips that work for standard auctions:
 |
Set your ceiling before you start bidding. This will
prevent you from getting caught up in the excitement of an auction going down to the wire.
|
|
Don't be swayed by inflated retail prices. That
flight to Hong Kong may list for $1,400, but if you
think getting it for $1,000 is a good deal, think again. You probably can get it for much less through a consolidator.
|
|
Don't settle for something that isn't quite what you
want. If you really want a week of skiing in the Rockies, don't bid on a package at Lake Tahoe just because it looks like a good deal.
|
|
Read the fine print. Most sites are up front about
service charges and fees, so bear these charges in
mind as you bid. If you're hit with a charge that wasn't clearly listed at an auction site, protest the
fee. If the site still tries to charge this fee, let
them know you're willing to alert the Federal Trade Commission and sprinkle the word
"fraud" liberally through your protest – the charge will probably be reversed.
|
|
Finally, have fun. Auctions can be exciting and can
lead to travel experiences you didn't think you could
afford. But don't be afraid to walk away – if the
bidding gets too rich for that trip to the Virgin Islands, you can be sure someone else is offering a
deal on a similar trip to Puerto Rico. If you play
smart, you can play to win.
|
|
|
.
