Travel agent question

[cruisingwiththe family]

I have a question that I just don't know the answer to...but everyone else might know.  🙂  I was due to be on a cruise as we speak, but of course it is cancelled.  We are seasoned cruisers, having cruised many, many times.  This was a senior cruise for my son who was due to graduate in June.  I opted to get my money refunded, rather than reschedule at another time, due to the fact that there are no many unknowns at this time, plus the fact we were going with a group.  I also have no way of knowing what my summer will look like, as my son will be planning to leave for college in the fall.  Here is my question:  Our travel agent, whom I love and books all of our cruises, seemed very disappointed that we were cancelling.  Does she lose money, or have to refund her commission, once I was refunded?  I only ask because I really like her and would like to send her a stipend if that is the case.  Thanks in advance!  Stay safe everyone!

[Grenouille21]

If it was cancelled by the cruise line the commission is protected. 

[Ourusualbeach]

As long as the final payment was made the commission is 100% protected if either the client or the cruise line cancels. 

[Jimbo]

How long can the cruiseline keep offering the travel agents commission on a canceled cruises when people are stilling waiting for refunds? Doesn't seem fair to have customers still waiting for their refunds?

 

A travel agent could stack up commissions from the same customer multiple times before a ship sails.

 

Say you have one customer who had a cruise in March canceled, rebooks  for May and has that canceled, then rebooks for June and that is canceled, that means agent get 3 commissions? How can the cruiseline keep paying out like  that?

?

Edited April 13, 2020 by Jimbo

[Ocean Boy]

Seems to me that various professions come with their own unique set of benefits and risks that we accept when we become part of that profession. Doesn't a person know that when they become a TA one of the risks is people will sometimes change their plans and that may interfer with their compensation? People who are not willing to accept risk need to find hourly or salaried jobs.

 

No offense meant to any TAs here.

 

 

[Milwaukee Eight]

35 minutes ago, Ocean Boy said:

Seems to me that various professions come with their own unique set of benefits and risks that we accept when we become part of that profession. Doesn't a person know that when they become a TA one of the risks is people will sometimes change their plans and that may interfer with their compensation? People who are not willing to accept risk need to find hourly or salaried jobs.

 

No offense meant to any TAs here.

 

 

Kinda like Self Pays??

 

Asking for a friend 

[Ocean Boy]

4 minutes ago, Milwaukee Eight said:

Kinda like Self Pays??

 

Asking for a friend 

I have no beef with self pays.

[Milwaukee Eight]

2 minutes ago, Ocean Boy said:

I have no beef with self pays.

I guess it depends in what environment one has them. Typically here, means no pay. 
 

In my opinion 

Edited April 13, 2020 by Milwaukee Eight

[Ourusualbeach]

1 hour ago, Ocean Boy said:

Seems to me that various professions come with their own unique set of benefits and risks that we accept when we become part of that profession. Doesn't a person know that when they become a TA one of the risks is people will sometimes change their plans and that may interfer with their compensation? People who are not willing to accept risk need to find hourly or salaried jobs.

 

No offense meant to any TAs here.

 

 

Speaking the truth certainly shouldn’t offend anyone, it certainly didn’t offend me.  All of the TA’s that I personally know and work with are all doing this as a second job or as a job that they take after retiring because they love the industry, the people they get to meet and it’s a great way to stretch your travel dollars with some of the perks that are offered.  

[Ourusualbeach]

11 hours ago, Jimbo said:

A travel agent could stack up commissions from the same customer multiple times before a ship sails.

 

Say you have one customer who had a cruise in March canceled, rebooks  for May and has that canceled, then rebooks for June and that is canceled, that means agent get 3 commissions? How can the cruiseline keep paying out like  that?

While theoretically that is possible it is very unlikely.  Your times are too close together.  A FCC for one cruise would not even have been issued for the cruise they are going to sail on.  In order to cancel May the customer would have to put down new money for June and at the end of the day end up with multiple FCC’s which most customers don’t want nor would they be able to use.

 

What  you are suggesting is more a situation of abuse by the client trying to get extra FCC’s and in my experience those customers are not the ones that are using travel agents. 

 

No ethical TA is going to suggest to a client that everything is OK, just go ahead and rebook for next month just to put a few $ in commission in their own pockets.  Most TA’s are looking out for the best interest of their clients and getting their hopes up that everything will be OK only to have that bubble burst is not the way to retain a long term relationship with a client.

 

Like everything abuse can happen but I would suspect that it is minimal and that there are far more people booking some close in cruises just to pick up that extra 25% in FCC.

 

The majority of Royal’s, and most other cruise lines business is generated through TA’s And Royal, other cruise lines, and other travel partners are working with TA’s to help their partners through these difficult times. 

[GEORGIEGIRL]

12 hours ago, Jimbo said:

How long can the cruiseline keep offering the travel agents commission on a canceled cruises when people are stilling waiting for refunds? Doesn't seem fair to have customers still waiting for their refunds?

 

A travel agent could stack up commissions from the same customer multiple times before a ship sails.

 

Say you have one customer who had a cruise in March canceled, rebooks  for May and has that canceled, then rebooks for June and that is canceled, that means agent get 3 commissions? How can the cruiseline keep paying out like  that?

?

Theoretically your example is correct. However, you are leaving out 2 very important pieces of information, as was stated earlier (1) ALL of the bookings would have to be paid in full. I don't know many who could afford to do that so close together. (2) the cruiseline would have had to cancel the cruise, not the customer. That is the only way the TA still get's their commission. I know this because I am married to one.

[Ourusualbeach]

7 minutes ago, GEORGIEGIRL said:

That is the only way the TA still get's their commission. I know this because I am married to one.

TA’s commission is also protected on bookings under the cruise with confidence policy that are after final payment and cancelled by the client.   

 

http://creative.rccl.com/Sales/Royal/General_Info/Cancelation_Policy_FAQs.pdf

 

In response to the current environment, Royal Caribbean International recently introduced the “Cruise with Confidence” cancellation policy. Cruise with Confidence provides your clients with greater flexibility by allowing cancellations up to 48-hours prior to departure in exchange for a 100% Future Cruise Credit. There’s no risk and no need to worry — we’ve got your clients covered. And we’ve got you covered too, with commission protection on both the cancelled sailing AND the future sailing using their Future Cruise Credit.

 

. Will Travel Partner commissions be protected for guests who choose to cancel their existing reservation?
Yes, travel partner commission will be protected on both the cancelled booking and the future reservation where the correlating Future Cruise Credit is applied. Please note that commission protection will only occur on cancelled reservations that are paid in full, fall within the final payment window, and where guests have opted to take advantage of the Cruise with Confidence FCC option. If a guest misses the cancellation deadline of 48-hours prior to the sail date and requests a late cancellation, full penalties will be assessed, and commission will be protected.

Edited April 13, 2020 by Ourusualbeach

[Jimbo]

I assume with canceling using Cruise with Confidence........you could keep moving same booking  every 4 weeks, if the cruises get canceled each and everytime for the next 6 months.......Every cruise is paid in full right, so you are telling me the travel agent gets commission like normally for 6 straight cruises?

I mean these people are paid in full, they should be able to move that money to a new sailing date right away, not have to wait for a FCC right?

 

Also failed to tell me just how fast you are getting commission for these canceled cruises? are you waiting for your commssion after the sail date from 30 to 90 days like cruisers are waiting for their refunds or are you paid   like next day after completion of the cruise?

 

Here's another scenario.......Say you have a customer with a $20,000 cabin......His cruise gets canceled by RCCL...........agent gets commission.........then rebooks again.......cruise gets canceled by RCCL..........agents gets commission again..........third time customer  books again and cruise gets canceled again.........Customer then says heck with it give me back all my money in full. and all this could happen, because it's going to be anywhere from 6 months to 9 months again before anyone cruises aleast maybe longer. 

 

You think I'm watching to much TV ? Ozarks? lol

 

Edited April 13, 2020 by Jimbo

[Ourusualbeach]

15 minutes ago, Jimbo said:

I assume with canceling using Cruise with Confidence........you could keep moving same booking  every 4 weeks, if the cruises get canceled each and everytime for the next 6 months.......Every cruise is paid in full right, so you are telling me the travel agent gets commission like normally for 6 straight cruises?

I mean these people are paid in full, they should be able to move that money to a new sailing date right away, not have to wait for a FCC right?

 

Also failed to tell me just how fast you are getting commission for these canceled cruises? are you waiting for your commssion after the sail date from 30 to 90 days like cruisers are waiting for their refunds or are you paid   like next day after completion of the cruise?

No, you cannot move money.  You must wait for a FCC.  Commissions are usually paid after a cruise sails, don’t forget, TA’s did the work for that cruise months if not well over a year in advance. 

[TheMiz]

1 minute ago, Ourusualbeach said:

No, you cannot move money.  You must wait for a FCC.  Commissions are usually paid after a cruise sails, don’t forget, TA’s did the work for that cruise months if not well over a year in advance. 

 

 

Is this a Canadian thing?

 

My commissions normally come after final payment.

[Ourusualbeach]

Just now, TheMiz said:

 

 

Is this a Canadian thing?

 

My commissions normally come after final payment.

Thought they changed that a while ago and made it after the last penalty phase to reduce commission recalls.  I don’t look at it that often as I only submit invoices quarterly to m6 Franchisee and the last one I submitted for the period ending in March still showed commissions owing for March sailings. 

[Jimbo]

2 minutes ago, Ourusualbeach said:

No, you cannot move money.  You must wait for a FCC.  Commissions are usually paid after a cruise sails, don’t forget, TA’s did the work for that cruise months if not well over a year in advance. 

So the reason they are not allowing that must be because having to keep paying the travel agents commission for canceled cruises? otherwise why not allow that?

I guess it still might back fire on RCCL depending how long it takes to get a FCC because this stoppage is going to last a long, lomg time before they sail again..............that's if these FCC come out in a timely fashion............I'm guess from what I'm seeing there is even going to be a delay in send them out much like we are seeing with people getting refunds.

 

Oh what a web we weave............

 

One other note................stock price is dropping :)

[Jimbo]

2 minutes ago, Ourusualbeach said:

Thought they changed that a while ago and made it after the last penalty phase to reduce commission recalls.  I don’t look at it that often as I only submit invoices quarterly to m6 Franchisee and the last one I submitted for the period ending in March still showed commissions owing for March sailings. 

 They are fazing you out........LOL  good luck getting that commission

[Ourusualbeach]

2 minutes ago, Jimbo said:

One other note................stock price is dropping 🙂

Not significantly.  This was already factored into the price.  Hints of this started appearing last week Wednesday on the CDC site. 

[Ourusualbeach]

1 minute ago, Jimbo said:

 They are fazing you out........LOL  good luck getting that commission

🙄

[Ocean Boy]

11 minutes ago, Jimbo said:

 

 

One other note................stock price is dropping 🙂

The market, in general, is not having a good day.

[TheMiz]

3 hours ago, Ourusualbeach said:

Thought they changed that a while ago and made it after the last penalty phase to reduce commission recalls.  I don’t look at it that often as I only submit invoices quarterly to m6 Franchisee and the last one I submitted for the period ending in March still showed commissions owing for March sailings. 

 

 

Just pulled up a service history on a May 2nd BR. TA cruise  the commission was paid on Jan 22nd.

[Ourusualbeach]

11 minutes ago, TheMiz said:

 

 

Just pulled up a service history on a May 2nd BR. TA cruise  the commission was paid on Jan 22nd.

Just realized the discrepancy.  I deal mostly with group bookings.  They are paid 30 days after sailing.  This changed Sept 7 2018.  Not sure if this is across the board but it is for me. 

 

[molly361]

4 hours ago, Jimbo said:

I assume with canceling using Cruise with Confidence........you could keep moving same booking  every 4 weeks, if the cruises get canceled each and everytime for the next 6 months.......Every cruise is paid in full right, so you are telling me the travel agent gets commission like normally for 6 straight cruises?

I mean these people are paid in full, they should be able to move that money to a new sailing date right away, not have to wait for a FCC right?

 

Also failed to tell me just how fast you are getting commission for these canceled cruises? are you waiting for your commssion after the sail date from 30 to 90 days like cruisers are waiting for their refunds or are you paid   like next day after completion of the cruise?

 

Here's another scenario.......Say you have a customer with a $20,000 cabin......His cruise gets canceled by RCCL...........agent gets commission.........then rebooks again.......cruise gets canceled by RCCL..........agents gets commission again..........third time customer  books again and cruise gets canceled again.........Customer then says heck with it give me back all my money in full. and all this could happen, because it's going to be anywhere from 6 months to 9 months again before anyone cruises aleast maybe longer. 

 

You think I'm watching to much TV ? Ozarks? lol

 

Sounds like you have some kind of beef with TA's??  Just sayin

Edited April 13, 2020 by molly361

[jagsfan]

As long as the final payment was made the commission is 100% protected if either the client or the cruise line cancels. 

Our travel agent got 50%of the commission after we canceled.


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