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Friday, April 11, 2008
When it Comes to Travel, the Senior Citizen Discount is Hard to Find
By Kathryn Glass
FOXBusiness
The senior citizens discount has long been one of the perks of aging in America. If you’re over 65, you usually qualify
to save 10% to15% on a myriad of products and services.
The travel industry has long honored seniors’ right to a few dollars’ discount, but some of that is beginning to change, especially
in the airline industry.
“The airlines used to always give you a senior rate, but they don’t do that anymore,” said Jacqueline Burns, a senior citizen
living in Bonita Springs, Fla.
Burns, who said she’s done a lot of traveling since she retired 20 years ago, noticed the departure of her discount in the
past few years.
“All of them used to offer something, but they don’t do it anymore and if they do, they kind of mask it, but it’s too bad
because if they quoted you one price, it was usually 10% lower,” she said.
Industry professionals have noticed the discount’s disappearance as well.
“I’ve been covering the industry for eight years, and there were so many senior deals just a few years ago,” said Anne Banas,
executive editor of smartertravel.com, an online travel resource. “I worked on the senior newsletter and each airline had
senior fares and you could get discounts within third-party providers such as AARP and now there’s just nothing left.”
Tim Fitzgerald, director of AARP’s travel products and services, said the organization works with many different hotel brands,
companies that provide escorted or guided tours and major rental car companies to provide discounts and deals to its aged
50 and older membership. But AARP hasn’t been able to find a specific provider air program with any of the six largest airlines.
The airline industry has suffered recently due to increasing fuel costs and faulty equipment concerns that have grounded
hundreds of flights.
“United [Airlines] tried to offer a discount to our members a few years ago, and after a year, they came back and said
‘it’s not in our business plan,’” Fitzgerald said. “Airlines feel it’s just not something they need to offer.”
United Airlines’ Silver Wings program is one senior program that recently fell by the wayside. Seniors paid an annual fee
to join the program, and they were then allowed to fly at special zone fares, but the plan was discontinued last year.
A spokesman for the airline said the decision was based upon the company’s realization that ending the program would impact
less than 1% of its customers.
“We decided to focus on services that are customers find most valuable,” said Jeff Kovick, a spokesman for the airline. “We’re
focusing on economy plus seating, enhancements to international aircrafts and other services that our customers have told
us they find important.”
In other parts of the industry, the discount is disappearing as well. Fitzgerald said AARP has had a hard time striking deals
with many of the cruise lines.
“Cruising is a tough category as well for us because the industry is trying to manage and control their inventory to maximize
revenue,” Fitzgerald said. “Discounts are limited and they’re typically only offered once the ship is close to leaving.”
However, not all companies are doing away with their senior specials. A spokesman for Carnival Cruise Lines (CCL) said they have offered special promotions for seniors for years, since a significant number (about
30%) of their passengers are over the age of 55.
But even for the smaller airlines, the cruises, and the hotels and rental companies that do offer discounts, seniors may not
be getting the best deal by seeking it out, Banas of smartertravel.com said. She encourages seniors to comparison shop online
as much as possible to be sure their getting the best deal.
“I think any senior discounts available in the travel industry are part of the comparison shopping process, said Banas. “Don’t
rule the discount out, but you might be able to find a better deal somewhere else.”
So if seniors can get a better deal booking online on their own, is the senior discount likely to disappear altogether?
Fitzgerald doesn’t think so, especially now that the boomers are starting to retire.
“People in their 50s are starting to change jobs or downsize to part-time so they can enjoy life, so there’s going to be growth
in the travel industry and suppliers need to be aware that they probably do need to do some incenting in order to build up
loyalties among our members with their brand,” he said.
Fitzgerald added that he’s optimistic more companies will see the benefit of offering incentives to seniors.
“It’s hard to forecast the future, but I’m sitting in a more optimistic position with AARP, because we still have many suppliers
knocking at our door asking to be a part of our supplier network. We have almost 40-million members, and that’s a huge
demographic of opportunity.”
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