Expedia Local sent an email to tour operators on July 11th, 2019 advising of new changes to the way fenced Expedia Local promotions will be calculated.
The email reads as follows:
How it works
‘Under our previous rules, any fenced promotion (either MIP – Multi-Item Purchasers, or MOD – Member-Only Deals) was calculated with the % discount taken off the retail rate, and the $ value taken from the net rate.
Under this logic, the commission percentage given to Expedia would have increased.
We have changed that logic so that now, any fenced promotion will be calculated with the % discount taken off the Retail, and the same % applied off the net rate. Under this new logic, the commission percentage given to Expedia remains the same.
Why we’re making this change
Fenced promotions are one of the best ways to engage with our most valuable (and most likely to convert) customers. Because we know the customers have a higher propensity to book, we want to encourage you to offer them discounts that are not available to our entire customer base.
We listened to your feedback, and know that this change in calculation logic is important for you to be able to maintain a profit from your discounting efforts with Expedia.
How to load Expedia Local Fenced Promotions
Details and support (includes) video on how to load your Expedia Local Fenced Promotions can be found here.
Do these changes to Fenced Expedia Local Promotions make things better or worse for your tour business? Tourpreneur would love to hear from you (confidentiality assured.)