Interesting question on Air Travel (timeshare tickets!) - Timeshare Users Group Online Community Forums

TUGBrian · February 7, 2007, 02:09 PM

I wanted to pose this question out of my own curious nature as I recently heard about this from someone via email.

What would your opinion be on "timesharing" Airline tickets?

IE...you purchase a series of tickets (1 destination for 5 years in a row) for a discounted price, and you could use the purchase to trade for other destinations and such. For instance you buy 10 tickets (2 tix each for 5 consecutive years) for each year at a specific time of year (say South Dakota to Hawaii).

I could either use those...or "trade/exchange" them for SD > mexico or wherever within the programs limits.

While I am sure I am not explaining the concept in detail...hopefully you get the idea.

Thoughts?

johnmfaeth · February 7, 2007, 03:14 PM

Sounds like a good idea, the airlines live by cash flow and getting money up front would be wonderful for them

However, unless that money was kept in a special trust until "earned" (thus negating the benefits of paragraph #1), you may be taking an extreme risk.

Would you buy Delta tickets for 2012 when they have yet to emerge from bankruptcy? You could end up a creditor in a liquidation bankruptcy hearing.

Keep in mind that if gasoline products go to $4 or $5 per gallon and stay there (after all, Venezuela, Iran, and other major suppliers are questionable at best) MANY carriers will go under who are now OK but not far from the edge.

But still a good idea. Devil's in the details as they say.

John

deemac · February 27, 2007, 02:17 PM

I would be willing to risk it, depending on the price (and schedule: I do not like flying into/through San Juan; and I do not like making more than one stop).

We go to SXM every year.

Dave M · February 27, 2007, 02:32 PM

From my perspective, I would do it if airlines offered the deal, despite the fact that I risk losing my future travel value if the airline went out of business, certainly a realistic possibility these days. I would also do it if a solid blue-chip company such as AmEx or Citi offered the deal.

However, I would not do it if a small relatively unknown company made the offer. Why? Because the promoter will eventually have to buy my tickets from an airline. If prices skyrocket, the business formula won't work and the promoter will likely go bankrupt, leaving me stranded without the future tickets that I paid for. If prices don't skyrocket, I will have wasted my money.

Thus, I'm willing to risk that I made a bad gamble on whether ticket prices will skyrocket, but I'm not willing to put my purchase price at major risk on top of that!

debraxh · February 27, 2007, 02:53 PM

I completely agree with Dave M.

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February 7, 2007, 02:09 PM	#1
TUGBrian Administrator TUG Lifetime Member BBS Reg. Date: Mar 24, 06 Location: Florida Posts: 4,735	Interesting question on Air Travel (timeshare tickets!) I wanted to pose this question out of my own curious nature as I recently heard about this from someone via email. What would your opinion be on "timesharing" Airline tickets? IE...you purchase a series of tickets (1 destination for 5 years in a row) for a discounted price, and you could use the purchase to trade for other destinations and such. For instance you buy 10 tickets (2 tix each for 5 consecutive years) for each year at a specific time of year (say South Dakota to Hawaii). I could either use those...or "trade/exchange" them for SD > mexico or wherever within the programs limits. While I am sure I am not explaining the concept in detail...hopefully you get the idea. Thoughts? __________________ Brian Rogers - Owner Timeshare Users Group tug@tug2.net / The Timeshare Users Group TUGGERS looking to BUY someones Timeshare TUGGERS looking to RENT someones Timeshare

February 7, 2007, 03:14 PM	#2
johnmfaeth TUG Member BBS Reg. Date: Oct 7, 06 Location: Northeast PA Posts: 2,601	Sounds like a good idea, the airlines live by cash flow and getting money up front would be wonderful for them However, unless that money was kept in a special trust until "earned" (thus negating the benefits of paragraph #1), you may be taking an extreme risk. Would you buy Delta tickets for 2012 when they have yet to emerge from bankruptcy? You could end up a creditor in a liquidation bankruptcy hearing. Keep in mind that if gasoline products go to $4 or $5 per gallon and stay there (after all, Venezuela, Iran, and other major suppliers are questionable at best) MANY carriers will go under who are now OK but not far from the edge. But still a good idea. Devil's in the details as they say. John

February 27, 2007, 02:17 PM	#3
deemac Guest BBS Reg. Date: Dec 22, 06 Location: va Posts: 28	I would be willing to risk it, depending on the price (and schedule: I do not like flying into/through San Juan; and I do not like making more than one stop). We go to SXM every year.

February 27, 2007, 02:32 PM	#4
Dave M Moderator TUG Lifetime Member BBS Reg. Date: Jun 16, 04 Location: Sun City Hilton Head, SC Posts: 11,351	From my perspective, I would do it if airlines offered the deal, despite the fact that I risk losing my future travel value if the airline went out of business, certainly a realistic possibility these days. I would also do it if a solid blue-chip company such as AmEx or Citi offered the deal. However, I would not do it if a small relatively unknown company made the offer. Why? Because the promoter will eventually have to buy my tickets from an airline. If prices skyrocket, the business formula won't work and the promoter will likely go bankrupt, leaving me stranded without the future tickets that I paid for. If prices don't skyrocket, I will have wasted my money. Thus, I'm willing to risk that I made a bad gamble on whether ticket prices will skyrocket, but I'm not willing to put my purchase price at major risk on top of that!

February 27, 2007, 02:53 PM	#5
debraxh TUG Member BBS Reg. Date: Jun 6, 05 Location: California Posts: 1,317 Resorts: Kona Coast Resort, Mountain Retreat, Paradise Village	I completely agree with Dave M.