Are Closed user groups the only way to find travel discounts?

Are you familiar with closed user groups within the travel industry and how they help consumers find the best online discounts possible? These groups originated in the telecom industry and referred to a simple platform which allowed paying subscribers the opportunity to make free calls within the group. Essentially, the very same tactic can still be found within that industry through a service in which telecom operators offer free calls to members on the same network.

Closed User Groups within the Travel Industry

Closed User Groups in the travel industry were the only way to find online travel discounts prior to the internet. Hotels Etc and a number of other travel membership clubs were inundated with applications and requests at the time from consumers who want to pay less for their travel needs. In a similar fashion to the above mentioned telecom companies, Hotels Etc offered their subscribing members the opportunity to avail of huge discounts within a closed user group. Hotels Etc negotiated the discount – their members saved money.

Closed User groups

But why are these travel membership clubs suddenly so important?

Travel clubs have always been important but the arrival of the online world and search booking engines in particular meant it was easy for consumers to find the best travel deals without them. But history does repeat itself in every market and with the introduction of a new law called rate parity, we are now seeing the re-emergence of travel membership clubs.

You see, the law of rate parity now restricts traditional booking engines from offering genuine discounts or value to their customers. Stipulating that every booking engine, whether this is Orbitz, Expedia or anything similar, must display the same cost across all channels of distribution which effectively means they cannot advertise the heavily discounted prices we have seen in the past.

Hotels Etc and the ease of booking

Hugely popular in the early 1990’s, finding discounts with a travel club is really a straight forward process. Having negotiated the best discounts direct with the supplier, travel clubs then offer these heavily discounted vacations or travel services to their members in return for a small subscription. And the best part of this system? Closed user groups are exempt from the laws of rate parity and they are not restricted in any way from passing these discounts on to their customers.

vacation

As mentioned, these travel clubs are re-emerging and in contrast to the very beginning of online booking, they now offer all of the perks (and more) of a traditional booking engine. Fast and straight forward, accessing the best online discounts with a travel club could not be easier.

Morale of the story: For many years, travel booking engines led the charge in terms of finding the best prices for hotels and vacations in particular but recent laws have restricted these traditional booking engines from providing any real value. If you want genuine value, travel club membership is now the only real option to find the best online discounts.

The truth about how to get travel discounts online

For two decades there was never really any secret in terms of how to get travel discounts online, for it was once an easy task. Simply log on to Expedia, Orbitz or any of the other most prominent booking engines and take your pick. There was really no catch to any of this process either; you got the best products and services at the best possible price every, single time. Suppliers and operators were more than happy to avail of these extra avenues for filling their vacant hotel rooms, especially at the last minute, and the process itself was so convenient it left potential guests with no good reason not to utilize their services.

travel discounts

How to get travel discounts online

In fact, the presence of travel discounts online continued to increase for many years, as did the actual percentage of these offers. More and more, new travel booking engines found their way into the market and this did nothing other than make it easier for customers to find the best deals.

Old ways and new beginnings

However, it has long been known that history repeats itself within every industry or market, and the online travel industry is no different. Hugely popular and common place prior to the arrival of the internet, Travel Clubs were once the main and only source of travel discounts. In return for a small membership fee, these membership clubs negotiated special rates with suppliers and offered these amazing deals back to their members in what is called a “Closed User Group”. In many ways, these were no different to a traditional booking engine from a few years ago in that they offered large discounts with no catch.

Interestingly, these travel membership clubs were overshadowed by the emergence of the online world and in particular, booking engines. But as mentioned, history does repeat itself and in light of a new law introduced to the market called “Rate parity”, these travel clubs are now re-emerging as the best and only way to find travel discounts.

travel membership

Rate Parity and Travel membership clubs

Rate Parity is a new law which essentially disallows the traditional booking engines from advertising reduced prices across their channels of distribution or in simple English, they no longer offer discounts of any kind. This may sound very significant but that’s because it is and if you check any of these booking engines against each other, you will quickly find the prices are the same across the board.

Naturally this means the consumer is offered no real value from a traditional booking engine other than convenience and for this reason, Travel Membership Clubs are thriving once more. Exempt from the laws of “Rate Parity”, these membership clubs are now offering genuine travel discounts to their members which cannot be found anywhere else online.

Although maybe you need convincing and in such case, you should consider starting a free trial offer with Hotels Etc, the leading Travel Membership Club in North America. With more than 4 million members, 25 years of experience and a five star rating; Hotels Etc is now one of the best and only ways to get travel discounts online.

Rate Parity and what you don’t know about booking travel online

Finding the best hotel discounts is no longer an easy task and if the truth be known, it’s no longer possible to find any genuine discounts on a traditional booking engine. Yes, they are still popular and the most common means on which most travelers will reserve their accommodation, but make no mistake, Expedia, Orbitz and every other travel booking engine no longer offer the same value to customers as before.

Many online users are unaware this is the case and that standard booking engines are an outdated way to book travel without any genuine discount or value. But why has this happened and what is the alternative solution?

Rate parity

Great changes in the online travel industry

Although this is something you may not have heard about, a recent law called “Rate Parity” has greatly affected the market for booking engines as this new legislation stipulates every travel brand must keep the price of accommodation the same across all channels of distribution. What does this mean? It means Expedia and other large brands cannot offer an alternative cost to the price on any of their other websites. In a more specific sense, rate parity means the traditional booking engines can no longer offer hotel rooms or any other travel related service at a discounted price.

Why do online users still use these booking engines?

Good question. Booking engines are known to offer a user friendly and convenient experience but more to the point, it would seem online users are just simply in the habit of using what was once the only means of booking their travel online. Thing is, you really do need to ask yourself; why book with a travel booking engine when you can book direct with the hotel for the same price? Furthermore, why book with either of the above when you can book for less with a Travel membership club?

travel discounts

Travel Membership clubs

Once the most popular way to book discounted travel back in the early 1990’s, travel membership clubs have been finding their way back to the forefront of the travel industry in recent times. Rate parity is the reason for this, for membership clubs are the one exemption to the rules which have all but taken away the ability of a traditional booking engine to offer genuine value.

Hotels Etc – 25 years of exceptional service

Hotels Etc is the leading travel membership club in North America with a five star reputation spanning 25 years. User friendly and highly convenient, this is a booking engine but with a stark contrast; every listing represents a discount on the usual price. Ranging anywhere from 40 – 70%, these discounts are incredible value and are testament to the fact Travel Membership clubs are the one best way to find travel discounts online.

Why pay more, when you can pay less? Check out Hotels Etc now and start saving on your next overnight stay or long anticipated vacation.

The Best Hotel Discounts – Hotels Etc.

Searching the internet for the best hotel discounts is becoming a task that most consumers do not want to tackle. Let us show you how to get the best hotel deal

Source: The Best Hotel Discounts – Hotels Etc.