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Tour Operator Surcharges

Product Management avatar
Written by Product Management
Updated this week

Overview

TripBuilder enables Tour Operators to add surcharges at the itinerary level. This is useful for reflecting service and booking fees or any applicable taxes in the price, making the pricing structure easier to manage.

Surcharges can be set as a percentage or an absolute value on top of the calculated costs. Besides a default surcharge value, you can also have destination-specific surcharges per country and/or area.

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The information in this article is available in video and with additional details below.

How to Set a Tour Operator Surcharge

  1. Go to Settings

  2. Click on Tour Operator Surcharges, listed under Pricing on the left menu

    Tour Operator Surcharges.png

  3. 3. Click on the Create Tour Operator Surcharges button at the top-right corner of the screen

    Please note: Alternatively, you can modify an existing surcharge by clicking the pencil icon. The procedures specified below apply to both new surcharge creation and existing surcharge modification.

  4. A new page, New Tour Operator Surcharges, appears:

    Screenshot 2023-11-27 at 22.44.56.png

  5. The details required can be categorised into three areas:

    1. General definition

    2. Default surcharge

    3. Geographical surcharge override

      We explain each of these below.

  6. After defining a surcharge, click on the Save button

General definition

Screenshot 2023-11-27 at 22.58.48.png

The area comprises three fields:

  • Name: a name to help you identify the surcharge

  • Distribution Channel: Choose the relevant distribution channel for which the surcharge applies. If no channel is selected, the surcharge applies to all itineraries. If multiple surcharges are defined, the system prioritises and applies the more specific rule.

Example

  • Consider a TripBuilder instance with two distribution channels: DC1 and DC2.

  • TO surcharge A is created without any explicit distribution channel.

  • TO surcharge B is explicitly created for distribution channel DC2.

  • For an itinerary created in DC1, the surcharge A is applied, as any surcharge matches specifically the distribution channel

  • For an itinerary created in DC2, the surcharge B is applied, as the distribution channel DC2 matches the surcharge B definition and is more specific than surcharge A.

  • Calculation Strategy: Defines the way the surcharge is calculated, either:

    • Sales Price including taxes: The basis for the surcharge calculation uses the total sales price. It also takes taxes already calculated into the sales price (e.g., airfare or airport tax).

    • Sales Price excluding taxes: The basis for the surcharge calculation uses the sales price excluding any taxes.

Default surcharge

Screenshot 2023-11-27 at 23.02.48.png

The area comprises four fields:

  • Relative: Set a surcharge percentage added to the total price

  • Absolute Currency and Absolute Value: Use these fields to set a fixed amount surcharge

  • Valid from: Set the date from when you want the surcharge to apply. When creating a new surcharge, the date must be in the future.

Note: If both relative and absolute amounts are defined, then the surcharge combines both, first the relative percentage and then the absolute amount.

Geographical surcharge override

Screenshot 2023-11-27 at 23.09.55.png

The area comprises two fields:

  • Countries: Set specific surcharge values for the destination country

  • Areas: Set specific surcharge values for destination areas

While a default surcharge is defined and applied to every itinerary in general, it is possible to have a specific surcharge per destination to configure overrides for particular countries and areas.

In the screenshot, a surcharge configuration of 10% applies to itineraries in general. However, if the itinerary goes to Portugal, a surcharge of 23% is used and in the case of Spain, a surcharge of 21%. A new layer of overrides is defined if the itinerary goes to the islands of these countries (Madeira or Canary Islands). Then, 22% and 7% configurations are applied, respectively.

Note: For destination-specific configurations, the start of the ground program of the itinerary is relevant. If an itinerary departs in Frankfurt (FRA) by plane and the ground program starts in Madrid, then the Spain surcharge of 21% is applied. For itineraries going through multiple countries, the first ground program is used for surcharge selection.

Tour Operator Surcharge Visibility

Surcharges are part of the customer sales price (externally visible) and sales price (internally visible), independently from the calculation strategy selected and having a relative or absolute definition. Its breakdown is only visible to Tour Operators in Customer Care (Services & Price List page).

TO surcharge.png

Surcharges are never displayed to the traveller, not even when a price breakdown is available, as is the case of:

  • Travel proposal document

  • Checkout

  • Travel documentation

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