There is a recent trend in the travel industry to make itemization a standard component of the purchasing process. The airline industry is leading the charge, requiring passengers to cough up extra dough for everything from checked baggage to a soda on board.

American, United and US Airways recently announced that they are preparing to begin collecting a service fee of $15 each way for the travelers’ first checked bag and $25 each way for their second.

An email I recently received from United:

In the Vacation Rental industry itemized fees are already common practice, but can often lead to disgruntled guests if not properly communicated. For instance, some property managers in Florida do not offer pool heat as a standard amenity and apply an additional fee if the guests request the pool to be heated. The rationale is quite simple, heating a pool is costly – therefore the managers offer it as an option to save renters money that didn’t feel it necessary to heat the pool. However, consumers often have pre-established expectations of what is “included” in their lodging experience, so despite the logic of itemizing certain services, itemization can lead to confusion and complaints. (Click here to see a recent review of a guest upset with an itemized charge)

Personally I find itemized fees annoying; however, I will admit that I’m getting used to them. As I and the general consumer becomes less sensitive to itemization it provides a cost effective way for vacation rental managers to more efficiently cover certain variable costs/services. To avoid complaints and confusion (see example above) upfront communication of variable fees is necessary… Consumers will never like itemized fees, but as long as they know about them in advance you will avoid upsetting an otherwise happy vacationer.

We are excited to announce that FlipKey and Instant Software have partnered to allow Instant Software clients to easily and affordably (it’s free!) collect guest reviews. (Full Press Release Below)

Highlights:

• Beginning in July, ISI clients can opt-in to ISI’s Guest Review service (powered by FlipKey)
• The service is provided at no charge and will allow property managers to set their ‘collection preferences’ and then automatically begin collecting reviews from past guests through FlipKey at the conclusion of each vacation rental
• All guest review content will be made available through ISILink™, which will make it easy for property managers to publish guest reviews on their own site, FlipKey.com or any marketing channel they are leveraging to attract and convert guests.

The combined ISI-FlipKey service includes all FlipKey Features

• Personalized Invitations: Automatically email requests to past guests to leave reviews for the specific property they stayed in
• Manager Response: Respond to reviews and thank guests for their positive feedback and/or address improvements
• Low Rating Alerts: Emails alerting property managers of low rated reviews to allow quick response to critical feedback
• Extension Tools: Free tools to easily extend FlipKey reviews to property managers’ own websites. Click here to see an example of the FlipKey Guest Review Widget at Mermaid Cottages
• And much more….

This partnership provides ISI clients a wonderful opportunity to begin leveraging the power of guest reviews.

———————————–FULL PRESS RELEASE———————————-

FlipKey and Instant Software Partner to Create the Largest Collection of Vacation Rental Guest Reviews Online

FlipKey to power guest reviews for Instant Software’s 225,000 vacation rental homes

Boston, MA June 18, 2008 – Instant Software – the largest and leading supplier of software solutions and real-time online services to the Vacation Rental industry – has selected FlipKey to power an integrated guest review management service. FlipKey – the first and only independent reputation and guest review service built specifically for the vacation rental industry – will provide a private label guest review portal connected to Instant Software’s ISILink technology to enable Instant Software clients to automatically collect and publish guest reviews based on verified booking records.

“Instant Software understands the powerful impact guest reviews have in driving increased bookings – both online and offline”, said TJ Mahony, CEO of FlipKey. “By leveraging the FlipKey service, in conjunction with ISILink, Instant Software will enable its clients to more effectively compete against traditional vacation lodging accommodations, namely hotels, which have long benefited from the increased consumer confidence and information that online guest reviews provide.”

Vacation home rentals are quickly becoming the lodging option of choice for many vacationers. Vacation rentals provide vacationers superior amenities, more personal space, ideal locations and often lower prices compared to hotels. However, for many travelers concerns about whether the vacation home is as advertised and available guest services has discouraged adoption. According to a recent FlipKey.com study conducted in partnership with Compete, Inc, 78% of vacationers indicate they are significantly more likely to rent a vacation home if they can read a review of a prior guest.

Instant Software clients will be able to collect, manage and publish guest reviews through FlipKey in July ’08. Guest review content will then be available for consumers to view directly through the vacation rental manager’s websites, FlipKey.com and other Instant Software marketing distribution partners.

“Guest reviews help increase the predictability and highlight the advantages of the vacation rental experience,” said Ted Miller, COO Instant Software. “We selected FlipKey to power our guest review solution because FlipKey not only provides a best-in-class solution, but also allows the guest review content to live across the internet. The combination of the FlipKey service and ISILink will enable Instant Software clients to opt-in to a powerful and automated process to gain a competitive advantage and convert more guests, all at no cost. ”

About FlipKey

FlipKey is a community driven travel service that helps consumers find trusted vacation rentals throughout the world, by providing real reviews of verified vacation rental properties. FlipKey believes reputation, trust and feedback from past guests are the best resources to ensure consumers find the ideal vacation home.

FlipKey is available today at www.flipkey.com

About Instant Software

Instant Software Inc. (ISI), is the nation’s leading provider of vacation rental management software, real-time online reservation and distribution systems and related services. The Instant Software product portfolio includes First Resort™, PropertyPlus™, Entech™, V12.NET™ and ISILink™. ISI has installed software at more than 2,000 property management companies and vacation rental resorts throughout North and Central America and the Caribbean. The company, which was the first in the vacation rental industry to bring real-time booking, serves more than 225,000 vacation rentals and provides more software solutions for more companies than any other in the USA.

For more information visit www.instantsoftware.com

In January we wrote about Travel Insurance and the details to be aware of before purchasing it. All in all, we determined Travel Insurance to be a useful mechanism to avoid ‘economic’ surprises while on vacation, but we were discouraged by the difficult claim process. In a different, but loosely related story, you may also remember our story on vetting the legitimacy of boat charter operator prior to a trip to Croatia. Having returned from Croatia I would like to revisit both of these stories to shed new light and a new found sense of appreciation for travel insurance.

Background

My family chartered a sail boat in Croatia to celebrate my brother’s 40th birthday. We found an amazing boat through a company called Navicula (www.navicula.hr). Navicula required a bank transfer to reserve the boat and crew. We were hesitant to send so much money over a wire, but followed up on various references and determined it was a legitimate operation.

Despite feeling confident in the company, we choose to take out a travel insurance policy through AIG Travel Guard just in case something went wrong.
Something Went Wrong

As we boarded our flight from Boston to Croatia we received an email from law@navicula.hr explaining that the boat had been damaged in transit and that they were canceling the charter. (Note: This is a true story). Navicula did not help us find an alternative charter, but through some heroic efforts by my sister in-law we were able to find www.lazywinch.com and its brilliant captain Paul Scowen.

The trip was amazing and we will forever be indebted to Paul and his hostess Tea for accommodating us on such short notice. (Read my review on TripAdvisor Forums here).

Paul Scowen of Lazywinch.com and hostess ‘Tea’ (Tee-a)

However, the story doesn’t end there. After returning back to the states we discovered Navicula had never refunded our money.

Final Outcome
After several emails and phone calls we finally gave up and called AIG to file our claim. Had we not purchased travel insurance the cost of our trip would have doubled. Thanks to Lazywinch, Captain Paul Scowen and AIG Travel Guard for saving our trip.

Last week a former colleague of mine at Compete, Inc invited me to write a guest article on the Compete Blog. The Compete Blog focuses on emerging marketing trends and insights that can be derived through online analytics. The Compete Blog is currently ranked by AdAge as the 19th most influential Advertising and Marketing Blog and is ranked by Technorati as the 2,886th most popular blog on the internet (out of 112.8M blogs tracked by Technorati).

I was excited to contribute and decided to write an article on how Compete data helped us start FlipKey.

————-Below is an excerpt from the article————

Armed with a little angel money, an idea and Compete data we set off to create FlipKey.com - a community driven travel site to help consumers find trusted vacation rentals throughout the world, by providing real reviews of verified vacation rental properties.

I’m happy to report Flipkey.com is doing well and would like to share concrete examples of how Compete data helped us successfully get FlipKey.com off the ground.

Click here to read the full article

As the NBA Finals get set to kick off tonight in Boston between the Celtics and the Lakers the cost for a hotel room in the city has soared. Planning on spending the weekend in Boston for Games 1 and 2? Staying at the Marriott on Long Wharf near the TD Banknorth Garden would cost close to $1,800 if you checked in today and left on Monday morning.

Four nights would run you close to $1,800 and that’s before you buy the tickets

Or, you could rent your own vacation home on Cape Cod. Yes, you would lose the convenience of walking out your hotel lobby and joining the sea of green shirts headed to the Garden, but you would be able to enjoy the comforts of your very own home on Cape Cod for a long weekend.

I just got off the phone with Cape Cod Vacation Rentals and they informed me that this home: http://www.flipkey.com/properties/view/994/ could be rented for $150 / night. That $1,200 in savings might be enough to get you into the Garden and close to the famous parquet. Plus, you can always retreat to the Cape in between games.

Now, if we could just get the games to start a little earlier. . . Go Celts!!!

Guest Author: Discover Vacation Homes

When Discover Vacation Homes was formed in 2006, founding members agreed that the level of consumer awareness and confidence in the vacation rental category is only going to grow if we, as an industry, come together as a united front of colleagues rather than competitors. Steve Trover, Discover Vacation Homes’ President, explains that awareness is our industry’s greatest obstacle and greatest opportunity. “Only a small percentage of Americans have stayed in vacation homes, and most don’t even know the option is available. Together, we can change that.”

Discover Vacation Homes, the name which is a call to action in itself, is currently an alliance of the most well-established vacation rental management companies in the Orlando area. During the past two years, we have worked side-by-side to develop the Discover Vacation Homes objective, brand, key messages, press materials, website, and more, sparking a growing momentum for the good of the vacation rental industry nationwide.

Our goal is unanimous: To raise awareness of vacation rentals as a viable lodging option to travelers, and importantly, as one of the hospitality industry’s fastest-growing categories. Nearly all of the association’s funds are dedicated to public relations efforts, including presence at local and national trade shows, and we have enlisted an internationally recognized PR firm, Y Partnership (www.ypartnership.com), to handle publicity and media relations for the consumer-driven campaign.

Dan Kline, Amanda Patric and, Brian Brannigan – Founding Members of DVH

Why public relations? We recognize that consumers are increasingly looking online for credible third party recommendations about everything from retail goods to accommodations. By combining the traditional practice of PR with new media strategies, Discover Vacation Homes seeks to elevate the awareness level of the entire industry through editorial coverage and social networking.

The more involved the industry becomes, the louder the message, and as awareness grows, so goes the association. A mantra of sorts, this belief is key to the cause as Discover Vacation Homes poises to expand membership on a national scale in 2009. With national representation and support from industry partners, the organization will exponentially grow the awareness (and, in turn, bookings) of vacation rentals in locations across North America, and potentially worldwide.

Association membership includes a commitment to uphold Discover Vacation Homes’ code of ethics and business practices, as well as required membership with long-standing professional association, VRMA – the Vacation Rental Managers Association (www.vrma.org), and encouraged affiliations with local and regional groups, CVBs, the Better Business Bureau, and AAA, among others.

To get involved, join the discussion, or learn more about the association and its efforts, feel free to:

• Visit www.DiscoverVacationHomes.com
• Email JoinIn@DiscoverVacationHomes.com
• Call directly at 1-800-557-0135

Keep an eye out for an upcoming submission form on the Discover Vacation Homes website for companies interested in association membership, as well as the latest vacation rental news and editorial coverage.

Interviewing consumers about their experience in a vacation home at the Vacation Home Expo in Altanta, GA