Many travelers hesitate to use a travel agent because they assume it adds cost. In most cases it does not, but the details depend on the agent and the trip. Here is how agents typically get paid and what to ask.
Commissions from suppliers
For many bookings, cruise lines, hotels, tour operators and resorts pay travel agents a commission when a booking is made through them. This is built into the supplier’s pricing, so you often pay the same price as booking direct. Commission rates vary by supplier and product.
Planning fees
Some advisors charge a planning or service fee, especially for complex custom itineraries, trips with many components or bookings that earn little commission. Fees can be flat, hourly or a percentage. Always ask for fee details in writing before you commit.
Other ways agents earn income
- Group incentives. Large group bookings may earn extras for the group or the organizer.
- Supplier programs. Perks and onboard credits sometimes come with certain bookings.
- Service fees for changes or cancellations. Some advisors charge when they handle changes.
Is it ever more expensive?
It can be, when a planning fee applies or when a supplier gives a direct-booking promotion not available through agents. A good advisor will tell you about either situation and let you choose.
Questions to ask any travel agent
- How do you get paid on this trip?
- Do you charge any fees, and when are they due?
- Are my prices the same as booking direct?
- What happens if I need to change or cancel?
- Who do I contact if something goes wrong while I travel?
- Do you monitor my booking for better prices after I book?
What you get for the cost
An advisor’s value is in planning, saving you time, avoiding mistakes, monitoring prices and being available when plans change. For complex trips or groups, many travelers find that worth it. Read more on our page about why use a travel advisor.
How 7220 Travel works
There is no up-front charge to start working with Dave Engel. He explains how compensation works for your specific trip before you book. After booking, 7220 Travel monitors for eligible promotions, and any eligible savings secured go back to you.
Red flags to watch for
- An advisor who will not explain how they are paid.
- Fees that are not in writing.
- Pressure to book a particular supplier regardless of your needs.
- No plan for how to reach them during your trip.
Green flags
- Clear answers about fees and commission.
- Questions about your goals, budget and group before recommending anything.
- Relevant certifications and supplier training.
- A process for monitoring your booking after you pay.
An example
A family books a seven-night cruise through an advisor. The cruise line pays the agency a commission, so the family pays the same fare they would pay booking direct. The advisor chooses the cabin location, adds the family to a group block for a perk and checks for price drops before final payment. If the advisor charges a separate fee, it is disclosed before the family commits.
Frequently asked questions
Do travel agents charge fees?
Some do and some do not. Ask about any planning, service or change fees up front.
Is booking direct always cheaper?
Not always. Prices are often the same, and an advisor can add value through planning and monitoring.
Do travel agents work for free?
Not exactly. Many are paid by suppliers via commission, and some also charge client fees.
Want help planning? Tell Dave about your trip for a free, no-obligation quote, or call 307-314-2517.
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Dave Engel plans family, group, cruise and Disney trips from Laramie, Wyoming, for travelers nationwide.
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