Rapid Travel Chai: Hotwire and Priceline - Chicago Seminars 2013

transcript

Hotwire and Priceline

Stefan KrasowskiRapid Travel Chai

Itinerary

Hotwire

Priceline

I hope you aren’t expecting something else

What is Your Priority?

Hotels?

Rental cars?

Flights?

Vacation packages?

Hotels?

Rental cars?

Flights?

Vacation packages?

My Hotwire and Priceline Experience

My travel is 75% international

Rented cars weekly for 2 years of NY-Atlanta commute

Many hotel bookings

Many rental car bookings

No air bookings

No vacation package bookings

My travel is 75% international

Rented cars weekly for 2 years of NY-Atlanta commute

Many hotel bookings

Many rental car bookings

No air bookings

No vacation package bookings

Why Hotwire and Priceline

What are Hotwire and Priceline?

Tools to potentially save on travel costs by giving upcertainty, flexibility, status, and miles and points

The Hotwire and Priceline Tradeoff

Why to Not Use:

No changes, no refunds*

Unpleasant surprises*

No elite status recognition*

No miles and points*

*There are always exceptions and luck

Why to Use:

Save Money

Why to Not Use:

No changes, no refunds*

Unpleasant surprises*

No elite status recognition*

No miles and points*

Rental Car Tradeoff Hypothetical

When to not save $10:

Orlando, FL car rental

Spring break

Huge lines at counter

Eye-rolling spouse

Screaming children

When to save $10:

Moline, IL car rental

Always off-peak

No lines

No spouse

No children

When to not save $10:

Orlando, FL car rental

Spring break

Huge lines at counter

Eye-rolling spouse

Screaming children

When to save $10:

Moline, IL car rental

Always off-peak

No lines

No spouse

No children

Need to Know

Why No Deals?Not every market or trip will have opaque offers

Star ratings are subjective and generous by ½ to 1 star

You have limited recourse

Stick to 3-star and above

‘3-star’ Monte Carlo Inns Toronto Markham

Hotel Star Ratings

Star ratings are subjective and generous by ½ to 1 star

You have limited recourse

Stick to 3-star and above

‘3-star’ Monte Carlo Inns Toronto Markham

My wife has not forgiven me

Room type – call hotel after booking if you want a king bed

Better room – call hotel with self-deprecating sweet talk

Non-smoking room – yep, call

Getting the Room You Want

©Stefan Krasowski, All Rights ReservedPhoto by Ben Tesch, flickr

gomike on FlyerTalk – Priceline, timeshare hacks & more

Contact hotel programs to add your number to reservation

Charge small incidental spend during stay to your room

Hyatt:Status often recognized, including Diamond 1k check-inMay get elite stay credit

Marriott:Status often recognized, including check-in amenity

Others: you may get lucky

The ‘gomike’ slide

gomike on FlyerTalk – Priceline, timeshare hacks & more

Contact hotel programs to add your number to reservation

Charge small incidental spend during stay to your room

Hyatt:Status often recognized, including Diamond 1k check-inMay get elite stay credit

Marriott:Status often recognized, including check-in amenity

Photo by Isabelle Plante, flickr

You may get lucky

You may get elite recognition

Either way be gracious, not a bozo

Hotwire & Priceline Hotels Elite Benefits

©Stefan Krasowski, All Rights ReservedPhoto by Isabelle Plante, flickr

“Your bungalow is right this way,Mr. Diamond Elite…”

FeesHotwire Hot Rate and Priceline Name Your Own Price™ rates

often loaded with fees

Do not compare per day rates

Do compare total price

Portland 1 day car: Expedia $18/day=$23 total vs Priceline $18 bid=$29.34

Resort FeesWatch out in frequent offender markets like Las Vegas

“This hotel charges a resort fee of about $25.00 per room per night”

Car Credit Card CDWImportant!!!

To use credit card CDW entire rental must be on same card

Use same card at Hotwire/Priceline purchase AND pick-up

Hotwire

HotwireOpaque ‘Hot Rate’ no-bid offers + transparent offers

Hotwire – Transparent OffersSimilar to other travel sites, let’s skip to opaque Hot Rates

Hotwire Hot Rates – Flights

New York – Los Angeles example

Hot Rate

New York – Los Angeles example:6 am – 10 pm departure window

Up to 1 connection

Up to 3 hour layover

No one-ways or multi-city

No airline benefits

No credit card free checked bag

…all to save $40

Hotwire Hot Rates – Flights

6 am – 10 pm departure window

Up to 1 connection

Up to 3 hour layover

No one-ways or multi-city

No airline benefits

…all to save $40

Hotwire Hot Rates – Cars

Rates often not as good as flexible reservation portals(Costco, Capital One, Chase, etc.)

Guaranteed major agency – but includes Dollar/Thrifty

No off-airport, no one-way

Must be age 25+

Rates often not as good as flexible reservation portals(Costco, Capital One, Chase, etc.)

Guaranteed major agency – but includes Dollar/Thrifty

Must be age 25+

Los Angeles weekend Hotwire $57.57 vs Costco $48.12

Pick-up up to 24 hours late – book Sun night, pick-up Mon(call agency to hold a car on peak times)

Atlanta Sun 10 pm pick-up $63.65 vs Mon 8 am $81.26

Always unlimited miles (important for international)

30-minute grace period on returns

Extensions at agency rates – can be very expensive

All add-ons billed at agency rates(e.g. Dollar/Thrifty huge toll charges)

30-minute grace period on returns

Extensions at agency rates – can be very expensive

All add-ons billed at agency rates(e.g. Dollar/Thrifty huge toll charges)

Welcome to Newark from Dollar/Thrifty – tolls $17.49/day

Princeton, NJ example:

Hotwire Hot Rates – Hotels

How to identify the hotel?

Amenities &TripAdvisor ratingprovide clues

Check the Forums – Better Bidding

Doubletree is only reported 3.5 star

Amenities match

Look for distinctive amenities (if any)

Doubletree is only reported 3.5 star

Amenities match

Look for distinctive amenities (if any)

Other Forums

As with all forums, there is LOTS of drama

Check TripAdvisor

TripAdvisor lists 7 4-star traveler rating hotels available

Only 2 are 3.5-star chain hotels – Doubletree and Marriott

Amenities are same so TripAdvisor is inconclusive

Best guess is Doubletree, possibly Marriott

Either will work, go for it, or try Priceline…

Hotel packages are transparent, choose each component

Except Hot Rate flight + car – no extra savings to bundle

Hotwire – Vacations/Packages

Invitation only program ≈ $1k annual spend

Claims to have better service, case-by-case support

Occasional ‘Star Upgrades’ – e.g. pay 3-star hotel, get 4-star

Hotwire – Hotwire Express

Hotwire – Low Price Guarantee

48-hour guarantee for identical booking

Hotwire refunds the difference

Hotwire – Cancellation/Refund

Air & Hotel:No official exceptions – consider trip insurance

Car:Flight delay exception for 24+ hours delay

You can always plead your case

Air & Hotel:No official exceptions – consider trip insurance

Car:Flight delay exception for 24+ hours delay

Discover – 5% on car, hotel and packages (not flights)

Chase – 1 extra pt/$ except packages and cruises

Big Crumbs – 1.4% except flat $1.40 for regular flights

Others come and go

Hotwire – Cashback

Discover – 5% on car, hotel and packages (not flights)

Chase – 1 extra pt/$ except packages and cruises

Big Crumbs – 1.4% except flat $1.40 for regular flights

Others come and go

Hotwire Questions?

Priceline

Priceline – Transparent OffersSimilar to other travel sites, let’s skip to Name Your Own Price®

Similar terms to Hotwire:6 am – 10 pm departure window (US), international anytime

Up to 1 connection

Up to 3 hour layover (US), international 75% < 3 hours

One-ways but no multi-city

No airline benefits

Priceline Name Your Own Price® – Flights

6 am – 10 pm departure window (US), international anytime

Up to 1 connection

Up to 3 hour layover (US), international 75% < 3 hours

One-ways but no multi-city

No airline benefits

Priceline Name Your Own Price® – Cars

Rates often 10-30% lower than Hotwire

Alamo, Avis, Budget, Hertz, and National only

My experience is most often Avis

Rates not always available – change search parameters

Extensions and add-ons at agency rates

Drivers under 25 allowed for additional fees

Priceline Cars - General

Rates often 10-30% lower than Hotwire

Alamo, Avis, Budget, Hertz, and National only

My experience is most often Avis

Rates not always available – change search parameters

Extensions and add-ons at agency rates

Drivers under 25 allowed for additional fees

Example: Wilmington, NC Aug 23-25, midsize car

Step 1: Get a baseline at Hotwire or others:

Priceline Cars – Bidding Strategy

Hotwire $17.95/day, $57.84 total

Step 2: Book a flexible backup

Costco $66.42

Step 3: Priceline Lowball Test

Enter a lowball bid and click “Choose”

Step 3: Priceline Lowball Test

Enter a lowball bid and click “Choose”

Step 3 (cont): Lowball triggers “low chance of being accepted”

If you don’t get this screen, you are starting too high

Step 3 (cont): “Previous Page” and step up the bids

Step 3 (cont): Priceline Sweetspot when goes to offer page

You’re not done yet!

Step 4: Bid around Priceline Sweetspot

For short, economy rentals, $1-$2 under often works

Longer rentals and bigger cars can widen the gap

Can be more aggressive depending on lead time

Step 4: Bid around Priceline Sweetspot

For short, economy rentals, $1-$2 under often works

Longer rentals and bigger cars can widen the gap

Can be more aggressive depending on lead time

Needed car next day so bid $16, final price $54.36 with Hertz

Same trip wait 24 hours to re-bid

Can immediately re-bid for different car type (up or down)

Compact may be same price as economy

Change return date may allow re-bid (e.g. Tue 6 am, thentry Mon 11 pm – you get the car for 24-hour days)

I generally find 1-2 weeks out is good time to bid

Priceline Cars – Re-Bidding

Same trip wait 24 hours to re-bid

Can immediately re-bid for different car type (up or down)

Compact may be same price as economy

Change return date may allow re-bid (e.g. Tue 6 am, thentry Mon 11 pm – you get the car for 24-hour days)

I generally find 1-2 weeks out is good time to bid

Warning: use at your own risk

Enter the wrong credit card security code

Or enter a low balance Visa/MC/Amex gift card

Priceline Re-Bidding Hack

If bid is accepted you get a processing error

If not accepted, no processing error

You can enter correct number or abandon

Priceline does not (yet) hold customers to the purchase

Priceline Re-Bidding Hack

If bid is accepted you get a processing error

If not accepted, no processing error

You can enter correct number or abandon

Priceline does not (yet) hold customers to the purchase

Companion can work for hotels

Companion may run into additional driver fees for cars

Can try to have multiple accounts (use at your own risk):Register a different email addressDon’t repeat exact personal infoDon’t use same credit cardDon’t use same computer & connectionOr different browser + VPN to switch IP

Priceline Multiple Accounts

Companion can work for hotels

Companion may run into additional driver fees for cars

Can try to have multiple accounts (use at your own risk):Register a different email addressDon’t repeat exact personal infoDon’t use same credit cardDon’t use same computer & connectionOr different browser + VPN to switch IP

Sometimes bids go to pending

Go to account to check offer status

If not accepted, start to re-bid with new search

Priceline Name Your Own Price® – On Hold

Sometimes bids go to pending

Go to account to check offer status

If not accepted, start to re-bid with new search

Priceline Name Your Own Price® – Hotels

Use where the zone is targeted and fits your needs

Use when you do not need a specific amenity like a pool

Use when transport situation works for you

Use when companions are easy-going

Priceline Hotels – Where to Use

Use where the zone is targeted and fits your needs

Use when you do not need a specific amenity like a pool

Use when transport situation works for you

Use when companions are easy-going

Mumbai is 1 zone – have you ever been in Mumbai traffic?

Priceline Hotels – Where to be Careful

1. Compare market rates2. Research Priceline zones3. Research winning bids on forums4. Prepare bid strategy – write it down!5. Go for it

Priceline Hotels – Bidding Strategy

1. Compare market rates2. Research Priceline zones3. Research winning bids on forums4. Prepare bid strategy – write it down!5. Go for it

Example: Providence, RI 11/1-4Step 1: Compare market rates

Step 2: Research Priceline zones

I only want Zone 5 – Providence Downtown

Step 3: Research winning bids on forums

Not many recent data points

Step 4: Prepare bid strategy – identify available stars by zone

Zone 1: 1-3 star

Zone 2: 1-3.5 star

Zone 3: 1-3 star

Zone 4: 2-2.5 star

Zone 5: 2-4 star

Step 4: Prepare bid strategy – identify available stars by zone

Zone 1: 1-3 star

Zone 2: 1-3.5 star

Zone 3: 1-3 star

Zone 4: 2-2.5 star

Zone 5: 2-4 star

Step 4: Prepare bid strategy – target 4-star in Zone 5

Bid 1: Zone 5, 4-star

Bid 2: Add Zone 1, 4-star

Wait, what? Zone 1 has no 4-star

Priceline let’s you re-bid

Only Zone 5 has 4-star hotels

5 zones = 5 bids for 4-star

Step 4: Prepare bid strategy – target 4-star in Zone 5

Bid 1: Zone 5, 4-star

Bid 2: Add Zone 1, 4-star

Wait, what? Zone 1 has no 4-star

Priceline let’s you re-bid

Only Zone 5 has 4-star hotels

5 zones = 5 bids for 4-star

Step 4: Prepare bid strategy – what about 3.5 star?

Zone 2 has 3.5 star

I don’t want Zone 2

So can bid 5, then 1, 3, 4

Increase each bid in increments

Step 4: Prepare bid strategy – what about 3.5 star?

Zone 2 has 3.5 star

I don’t want Zone 2

So can bid 5, then 1, 3, 4

Increase each bid in increments

Step 5: Go for it

For each star add zone one by one

For each new star start new search to reset zones

Be organized and write down zones by name not number(zone numbers disappear in re-bids)

This can get complicated – Atlanta has 23 zones!

Priceline Hotels – Be Organized

The Bidding Traveler does the work for you

Priceline Hotels – The Bidding Traveler

Manual mode provides good step-by-step walkthrough

Automatic mode takes your credit card and will purchase

Priceline – Hotel Express Deals™

Similar to Hotwire Hot Rates

Frequent sale offers

Similar to Hotwire Hot Rates

Frequent sale offers

Priceline – Hotel Express Deals™

Priceline – Hotel Freebies℠

Fun way to search – from free nights to spa credits

Priceline – Vacation Packages & Cruises

Nothing special, no Name Your Own Price®

Priceline – Rewards Bonus Cash

Public and targeted offers appear from time to time

Cash added to bids, e.g. hotel $75 bid + $5 bonus = $80 bid

Priceline – Low Price Guarantee

24-hour guarantee for identical booking, refunds difference

‘Big Deal Guarantee’ for Name Your Own Price™ andVacation Packages: difference + $25 + $50 off next2-night or longer Vacation Package

Priceline – Cancellation/Refund

No official exceptions – consider trip insurance

Possible flight exception for schedule changes

No official exceptions – consider trip insurance

Possible flight exception for schedule changes

If you think some silly metal creditcard is a conversation starter…

…get the Shatner card!

5x on Priceline bookings(except 1x on cruise bookings, non-Name Your OwnPrice® car reservations, and hotel reservations designatedas Pay When You StaySM)

1x everywhere else

Old accounts have 2x everywhere else – no current offers

10k sign-up bonus (requires $1k spend) = $100 cash rebate

No annual fee

Issued by Barclays

Priceline Rewards Visa Credit Card

5x on Priceline bookings(except 1x on cruise bookings, non-Name Your OwnPrice® car reservations, and hotel reservations designatedas Pay When You StaySM)

1x everywhere else

Old accounts have 2x everywhere else – no current offers

10k sign-up bonus (requires $1k spend) = $100 cash rebate

No annual fee

Issued by Barclays

ebates – 1%-5% by type, except 1st/biz flights

Chase – 1 extra pt/$, except 1st/biz flights

Others come and go, try Big Crumbs and topcashback

Priceline – Cashback

Priceline getting good at replicating ITA Matrix fares

Complex itineraries often need Hipmunk to price in Priceline

Receive all airline benefits

Chase UR 1 pt/$ plus Priceline Rewards Visa 5x = 6%+

Priceline – Best Airfare Option?

Priceline getting good at replicating ITA Matrix fares

Complex itineraries often need Hipmunk to price in Priceline

Receive all airline benefits

Chase UR 1 pt/$ plus Priceline Rewards Visa 5x = 6%+

New York – Moscow: United + Lufthansa + Swiss

Hipmunk can only price it correctly on Priceline

Priceline – Airfare Example

Priceline’s Other Websites

General purpose travel meta search

Asia-based hotel bookings

hotelroom.com and hotelsbycity.net

Yet more hotel bookings – nothing distinctive

Booking.com

Great for mom and pop hotels and small towns

Especially strong in Europe

Priceline Questions?

Thank You

stefan@rapidtravelchai.com@rapidtravelchai

rapidtravelchai.com