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Best price loophole leaves Antigua visitor high and dry

March 8, 2010

After Craig Simpson booked a six-night stay at the Cocos Hotel on Antigua, he wondered if the $312 rate was the lowest available. It’s a good thing Expedia offers a “Best Price Guarantee” so you customers like him can “always book your trip with confidence.” The identical room was $293 a night through the hotel’s Web site.

Trouble is, Expedia’s guarantee didn’t apply to his purchase. Simpson explains:

They say the Web site where I found the better price is not an American-based Web site. Of course it’s not American-based! I’m taking a trip to the Caribbean. Why would an Antiguan hotel have an American-based Web site?


Indeed, Expedia’s Best Price Guarantee has a provision that “in the unlikely event that you find a lower rate on Expedia.com or on another U.S.-based website within 24 hours of booking with Expedia.com, we will credit or refund to you the difference.”

Got that? U.S.-based site.

(Yesterday, when I reviewed Expedia’s policy, I missed that provision too — but it’s there, as some of you eagle-eyed commenters have pointed out. That’s what you get for reading a contract at 5 a.m.)

But is the Cocos’ site a U.S.-based site? After all, it ends in “.com”. I contacted Expedia on Simpson’s behalf, just to be sure.

By the way, as a last resort, he could have emailed someone at a higher level at Expedia. But a review of Simpson’s email correspondence with Expedia suggest the response wouldn’t have changed.

Late last week, I got an update from him:

I just wanted to let you know that I received an email from Expedia refunding my credit card $116 for the overcharge of the hotel. Thank you so much for your assistance in this matter. I really appreciate it.

I think if you’re doing business internationally, like Expedia, an “America-only” clause in a guarantee is disingenuous. Don’t you?

(Photo: •• Federì ••/Flickr Creative Commons)

Update (3/9): Here’s Expedia’s follow-up email to Simpson. Looks as if the company is mulling a policy change based on his complaint.

The feedback you have provided has helped us to identify an area of policy that is under review to consider changes to help improve the clarity of our policy moving forward.

We have refunded the $116.00 back to the original form of payment used to purchase your package. The time it takes to post the refund to your account depends on how quickly your credit card company processes refunds. An email receipt has also been sent to your email address associated with your Expedia.com.

In addition, we have applied a $50.00 Best Price Guarantee Coupon into your account. This Best Price Guarantee Coupon is valid for one year and can be used towards a future Expedia Special Rate Hotel or Vacation Package purchase. Please log into your Expedia.com account to review the complete detailed Terms and Conditions governing the coupon.

Christopher Elliott is the author of Scammed: How to Save Your Money and Find Better Service in a World of Schemes, Swindles, and Shady Deals. Critics have called it “eye-opening” and “inspiring” — it’ll “grab your attention and won’t let go.” Order your copy now on Amazon, Barnes & Noble or iTunes.

11 comments

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  • Don

    How in the heck will someone know in what country a website is based?

  • Mike

    Websites can be placed on any one of a number of servers around the world. Since when would a requirement that a website be US based mean anything? And I don’t think you can get more apples to apples than using the hotel’s own webiste for the exact same dates.

  • LeeAnne

    This guarantee is really nothing more than a marketing ploy to make Expedia appear to be a good deal, and motivate more customers to go with them without doing the time-consuming research to find a better price. They expect that they will ensare a few more customers by giving the impression that there’s no reason to look around. I doubt they get many requests to either reduce their prices or refund money due to this guarantee – most customers don’t have the time or inclination to do all the research and force the issue with Expedia. And when the rare customer DOES call them on the carpet, they trot out some stupid clause to avoid having to actually stand by their guarantee.

    And once again, Christopher “Corleone” Elliott rides in to save the day and make them do the right thing. Good job!

  • Cindy H

    The Cocos Hotel web site is http://www.cocoshotel.com

    There is no appendix indicating a country, such as *.ca or *.de

    Unless you did an IP lookup, there is no way to tell what country this is in. Expedias explaination just doesn’t cut it. Looks like they just lost another customer. Me.

  • Ed

    Well…while not obvious that the website in question is, or isnt’ in the United States, what does it matter? First, if you are guaranteeing a low price, don’t you think that the first place you would compare the price you’re offering is against the hotel’s actual prices published on their website? And just because the website is for a hotel in the Caribbean, doesn’t mean that the website is based in the caribbean! A quick check of Visual Traceroute, shows that the website is being hosted in England! But it is obvious, by looking at some of the content of the site, it is written by someone in the Caribbean. In today’s global economy, it doesn’t matter where someone is, business can be seamless anywhere on the planet!

  • Jeremy

    Antigua is an island in the Carribean, which is officially part of North America. Many from Latin America, will refer to themselves as “americanos” in reference to the name which applies to the entire two continents, even if they are not from anywhere near the U.S. I don’t know if Antiguans use this, but the term is not inherently specific to the United States.

    I agree that U.S. citizens often refer to themselves as Americans, and that’s fine, but it’s not a proper legal term. So even if the Expedia did specify “American” – that doesn’t mean much in my book.

  • http://www.clarksburgtravel.com Geoff

    We deal with a company that will price match Any site without the hassles of Expedia. I print the Expedia, Travelocity, etc page and like magic,….matched. You are an advocate of good, knowledgable, travel agencies. Most ASTA privite agencies can pull of this trick and they still get a commission. Clients are getting duped every day on line. From you to Conde Nast, to Travel Weekly, I read of these very stupid travelers that don’t read the fine print. People, talk to a real live person!

  • J P

    @Geoff,

    So the guy with the complaint is very stupid because he chose to use Expedia? And anyone that has a travel issue that happened to use an online agency is very stupid? At least it seems that is what you are insinuating. Compared to the vast number of individuals that use these online agencies, the complaints handled by Chris and others is relatively small. I’m sure there are never complaints when one uses a “professional” like a real live travel agent.

    I’m certainly not trying to defend the actions of Expedia and its ilk, and am not a fan of their policies, but I am equally irritated by the so called professional travel agents thinking someone is very stupid for not using their services – that type of arrogance is not really the best way to try to prop up your business.

  • Joe Farrell

    the other limitation, not spelled out in Expedia’s Price guarantee but which is in their policy manual, is that when filing a claim you must wear a pink thong and dance on one foot for 34 seconds.

  • LeeAnne

    @Joe – BAHAHAHAHA!!! Thanks for the laugh! Yeah, when they strike out using all their other made-up rules, they can always turn to the “pink thong” rule.

    What they don’t know is that, from now on, I will always wear a pink thong and dance on one foot when I make an Expedia reservation. ;-)

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