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Ryanair fined €256M over ‘abusive strategy’ to limit ticket sales by OTAs

theguardian.com

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Re: Ryanair fined €256M over ‘abusive strategy’ to limit ticket sales by OTAs

#3
TLDR

"Ryanair’s tactics included rolling out facial recognition procedures for people who bought tickets via a third party, claiming that was necessary for security. It then “totally or intermittently blocked booking attempts by travel agencies”, including by blocking payment methods and mass-deleting accounts. The airline then “imposed partnership agreements” on agencies which banned sales of Ryanair flights in combinations with other carriers, and blocked bookings to force them to sign up. Only in April this year did it allow agencies’ websites to link up with its own services, allowing effective competition. The competition authority said Ryanair’s actions had “blocked, hindered or made such purchases more difficult and/or economically or technically burdensome when combined with flights operated by other carriers and/or other tourism and insurance services”.

Re: Ryanair fined €256M over ‘abusive strategy’ to limit ticket sales by OTAs

#4
"O’Leary accused the travel agent industry of scamming and ripping off unsuspecting consumers by charging extra fees and markups on ticket prices."

That is ... pretty rich.

A couple of years ago I was going to go see my brother in the UK who lived near Stansted. As such Ryanair would have been the most convenient airline. The shere number of dark patterns I encountered trying to book the ticket was such that when I got to the payment page and they tried to coax me into using my local currency instead of GBP and hid a £20 spread in the exchange rate I rage quit. I should have known better even then, but now I will only use them if I have literally no other choice. With luck that means "never."

I'm always happy to see the various EU competition authorities pushing back on this kind of thing.

Re: Ryanair fined €256M over ‘abusive strategy’ to limit ticket sales by OTAs

#5
This is an odd story. Ryanair doesn't pay commission, so these resellers make money by charging extra fees to unsuspecting customers. I don't know why Ryanair wants to stamp out this practice (which doesn't cost them anything and brings extra sales), but I don't see why they should be prevented from stamping it out.

Re: Ryanair fined €256M over ‘abusive strategy’ to limit ticket sales by OTAs

#7
post #5

This is an odd story. Ryanair doesn't pay commission, so these resellers make money by charging extra fees to unsuspecting customers. I don't know why Ryanair wants to stamp out this practice (which doesn't cost them anything and brings extra sales), but I don't see why they should be prevented from stamping it out.

Ryanair (and to an extent other LCCs) generally doesn't like ticket sales through resellers because a substantial part of its profit margin comes from upsell of add-ons and partner services during the booking/reservation process

Re: Ryanair fined €256M over ‘abusive strategy’ to limit ticket sales by OTAs

#8
post #4

"O’Leary accused the travel agent industry of scamming and ripping off unsuspecting consumers by charging extra fees and markups on ticket prices." That is ... pretty rich. A couple of years ago I was going to go see my brother in the UK who lived near Stansted. As such Ryanair would have been the most convenient airline. The shere number of dark patterns I encountered trying to book the ticket was such that when I g…

> they tried to coax me into using my local currency instead of GBP and hid a £20 spread

I’m finding this more and more. Uber does it, and even Walgreens does it when I’m in the US and tap my card it suggests that I pay in my home currency. This seems to be a new vector companies have found for ripping off their customers.

Re: Ryanair fined €256M over ‘abusive strategy’ to limit ticket sales by OTAs

#9
post #8
post #4

"O’Leary accused the travel agent industry of scamming and ripping off unsuspecting consumers by charging extra fees and markups on ticket prices." That is ... pretty rich. A couple of years ago I was going to go see my brother in the UK who lived near Stansted. As such Ryanair would have been the most convenient airline. The shere number of dark patterns I encountered trying to book the ticket was such that when I g…

> they tried to coax me into using my local currency instead of GBP and hid a £20 spread I’m finding this more and more. Uber does it, and even Walgreens does it when I’m in the US and tap my card it suggests that I pay in my home currency. This seems to be a new vector companies have found for ripping off their customers.

Point of sale terminals also do this when travelling - it wasn't especially surprising, just one straw too many.

Of course foreign exchange offices have been doing this scam since forever ("no fees!")...

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Edit - note that with a bureau d'exchange my objection is not that they charge for the exchange; clearly that is the exact business that they are in. It's the "no fees" etc. marketing that hides from the less astute punters exactly how (and how much) they are paying for the service. I'd like to see that outlawed and direct costs of the exchange up front (e.g. "Exchange £100 for $121.5 at a cost of £10 compared to the base rate")

Re: Ryanair fined €256M over ‘abusive strategy’ to limit ticket sales by OTAs

#10
post #8
post #4

"O’Leary accused the travel agent industry of scamming and ripping off unsuspecting consumers by charging extra fees and markups on ticket prices." That is ... pretty rich. A couple of years ago I was going to go see my brother in the UK who lived near Stansted. As such Ryanair would have been the most convenient airline. The shere number of dark patterns I encountered trying to book the ticket was such that when I g…

> they tried to coax me into using my local currency instead of GBP and hid a £20 spread I’m finding this more and more. Uber does it, and even Walgreens does it when I’m in the US and tap my card it suggests that I pay in my home currency. This seems to be a new vector companies have found for ripping off their customers.

This isn't anything new though. Been like that for the last 15 years at least. Always pay in the local currency (your bank/visa/mastercard will give you a better rate then the merchant)
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