Are Airline Ticket Consolidators a Good Way To Save Money on International Flights? – Technologist
Have you ever browsed a third-party website such as Kayak for cheap airplane tickets, only to find a fare that seems too good to be true?
If you’re a pro-level comparison shopper like Clark Howard, maybe you noticed that the airline ticket deal includes a price point cheaper than the airline offers directly.
How is that possible?
Airline ticket consolidators, sometimes called ticket wholesalers or simply consolidators, get special access. They buy airline tickets in bulk at a discounted rate and sell them to travel agents, consumers or companies.
These tickets can look extremely attractive. Especially if you like saving money, and especially for international airfare. But is the risk worth the reward in this case? Let’s see what Clark thinks.
Are Airline Consolidators a Good Way To Save Money?
Are airline consolidators a good money-saving option?
That’s what a listener asked Clark recently.
Asked Fran in Florida: “Are airline ticket consolidators worth looking into for international flights? If so, who do you recommend?”
Clark, notoriously happy anytime he can save even tiny amounts of money, will use the consolidators for searching for good deals, but never books directly with them — even if he could save more. He doesn’t think the risks are worth the cost savings.
“I don’t recommend any conslidators because it’s kind of like buying a junk bond,” Clark says. “You may get a better deal. But it comes with heightened risk.”
Clark gave an abbreviated history lesson on international flights. Long after the United States deregulated domestic flights, an organization called the International Air Transport Association (IATA) set prices for international airfare. Clark called them “a cartel-setting organization” then, though they’re a lobbying and trade association now.
At the time of IATA control, consolidators were a huge part of the international flight industry, Clark says. Now they serve a reduced role in the ecosystem, though “under-the-table” deals still exist “where supposedly they can write cheaper tickets.”
“But a lot of times the worst problems people have is when they use one of these organizations,” Clark says. “And I’ll tell you, the consumer problems people have, customer no-service problems using those, to me, they are not worth the savings.”
Risks of Purchasing International Airfare From an Airline Ticket Consolidator
Clark comparing airline tickets from a consolidator to junk bonds sounds strong. But just what are the biggest risks?
1. Limited Customer Support. This is the issue with consolidators that came to Clark’s mind during the podcast episode. If the flight gets canceled or delayed, dealing with a consolidator can be more complicated than contacting an airline directly. It’s common for airline ticket consolidators to offer a convoluted customer support process with a skeleton crew.
2. Lack of Flexibility. Many times, airplane tickets you buy from a consolidator aren’t refundable. And often you can’t modify your flight either.
3. Questionable Credibility. Some consolidators aren’t reputable. They may sell illegitimate tickets, engage in unethical business practices or go bankrupt, preventing customers from getting a refund or rebooking.
4. Annoying Restrictions. Airline tickets from a consolidator may not be eligible to earn frequent flyer miles or points. Some consolidators have access to tickets under special contracts with airlines that may restrict who can buy certain tickets (student discounts, for example). They’re often limited to specific flight dates that limit changes you may want to make to the itinerary, including for missed flights.
“You’ve got to really know who you’re dealing with and be comfortable with the risks associated with them,” Clark says.
Final Thoughts
Airline ticket consolidators sometimes get access to cheaper international flight tickets. But you can get into a bad situation easily, especially if your flight is delayed or canceled — or if you want to modify your flight in any way.
If you can’t resist the extra savings and want to take the risk, do so cautiously and with as much research on the consolidator as possible.
However, it seems telling that Clark, a frequent flyer and notorious saver, has no interest in cheaper airfare from consolidators.
The post Are Airline Ticket Consolidators a Good Way To Save Money on International Flights? appeared first on Clark Howard.