Last Minute Air Travel Site Expedia Posts Losses in Fourth Quarter

One of the major online last minute air travel agencies, Expedia will post losses in the 4th quarter. This time last year, the company reported a profit, which makes the stark comparison even worse.

The acquisition of sites like hotels.com and a rather steep drop of 11% in bookings exacerbated the company's financial problems. In spite of recent woes, the site's president, Barry Diller, remains confident the site will come out of the rut.

Expedia has a strong global presence and cautious management strategies that keep its executives optimistic. One of Expedia's top competitors, Priceline, did much better this quarter with shares rising by 16%.

When compared to other travel sites, Expedia is unique for its lowest-price guarantee. The site offers a refund and a $50 travel voucher if customers find a lower price within 24 hours of booking.

Last Minute Travel Websites Store Customer Search Data

Have you ever noticed when searching for a flight that you receive different prices when you use different computers? Additionally, fares tend to increase dramatically the closer you get to your travel date.

Although airfares can rise for a number of varying reasons, some cyber experts suspect that last minute travel websites store customers' search data and then use it to inflate their prices. The more you look for your last minute flight, the more the travel sites will think you want it.

In response, they increase their fares in proportion to your eagerness to book the flight. Ultimately, because these sites won't divulge how their search engines operate, there is really no way to know for sure.

Consumer reports investigated this practice of "dynamic pricing" a few years ago and discovered possible variations in price on different computers and different browsers, not only on travel sites but also on retail juggernauts like Amazon.

Airlines Offer Valentine's Last Minute Travel Deals

Money is tight for everyone these days, so a new special offer from one airline could be worth investigating. From now until the end of June, Airtran Airlines will take $25 off the price of trips scheduled to or from Atlanta, GA.

If customers email the special offer's link to a friend, that person can also save $25 on a ticket. Earlier in the week, AirTran also stated that they will fly from Minneapolis/St. Paul to Milwaukee beginning in May, which could cause some airfares to decrease by as much as 50%.

American Airlines is also promoting a special Valentine's Day offer that gives customers twenty-five frequent flier miles for each dollar spent on flowers if they are ordered from AA's website.

The Travel Zoo website is now offering more than just hotel and last minute travel deals. Presently, they are offering more tickets to shows than they ever have. Customers who want something to do can receive 50% off tickets to the 'Celtic Women' show on Friday evening at the Xcel Energy Center.