Mr.CBB’s Personal Finance Reading List #7 Air Fare Wars~ Air Canada Price Guarantee!

Personal Finance Weekly Reading List

From Storage Wars to Product Price Wars and now to Air Fare Wars with Air Canada heating up the runway with a promise of an Air Fare Price Guarantee. Yes you heard that right and Air Canada is communicating this to its price savvy customers stating that if they book online they WILL get the BEST price Guaranteed. So, after you book and purchase your ticket “if you find a cheaper price for the same flight, itinerary and fare brand on another Canadian website Air Canada will give you a travel credit $50 plus the difference in the air fare costs”  according to Ben Smith, Air Canada’s chief commercial officer. Wow, I’m impressed although West Jet has something similar promising the lowest prices. This reminds me of the Canadian Tire Price Match Guarantee where they will not only match the price but give you 10% back in Canadian Tire Money to spend in the store. I know I’ve always plotted my purchases around these perks and will continue to do so as long as they are available.

I don’t know what it is any more but every where we look competition gets hotter and options just keep getting better although every dollar counts when it comes to saving. They know what consumers want, “The Best Prices” and they should stop at nothing to provide them to us even if that means price wars, business is business after all. As most Canadians continue to balance the family budget they also tend to stop spending as much money especially when consumer debt is a big part of the picture.

Canadians are always looking for ways to save whether it be price matching, cutting coupons, deal sites, coupon codes and now even money-saving apps like Checkout51 and Freshpoints Canada for the Iphone. Many stores have a price match guarantee and even a price adjustment policy which for some last up to 90 days. We purchased our water softener from Sears Canada which has a price adjustment policy for the 90 days so if they sell it cheaper we can head in and get reimbursed the money. It’s perks like these that the customers want to see because there is nothing worse than finding the same product for less.

With Air Canada I think it’s a great idea and will help bring back some of the customers as prices have always been much higher to fly with Air Canada hence why most people look for cheaper fares. Any time an organization steps outside with it costs, that cost rolls right down to the consumer. With all the technology and marketing a big company like that should be able to take it on themselves rather than shovelling it to online retailers which costs Air Canada a commission. Will this work is the question? Only time will tell but money talks, there’s no doubt about that.

Mrs.CBB and I both never bothered  heading to the Air Canada site after realizing prices were just far too expensive.  I guess you get what you pay for. All I ever worried about was getting from point A to point B safe, a good cuppa tea and space. I don’t care how cheap the flight is but if I must have smokey the bear breathing and drooling on me they can keep their money especially if it is a long flight. If it’s a short flight I’ll suck it up but anything over 8 hours I’ll pay the extra.  I’ve got a few good stories I might share one day.

I’ve travelled to many countries and I’ve never once booked through an agency. I would always search the internet looking for the best prices for air fare and book that way to save some money most often avoiding the direct airline websites due to cost. There were times I would chat to people on the plane and they would tell me what they paid and I would either bite my lip or smile because I knew I got a better deal. It pays to look around but it also helps when the big boys like Air Canada throw these types of money-saving motivators into the mix.  I’m sure this is only the beginning and we will see more air fare wars coming out of hiding because like anything money makes the world go round.

You can read the full story here.

How do you book your travel flights?

What was your worst experience on a flight?

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Mr. CBB
I’m from the UK and now a recent permanent resident in Canada. I bought my first house at the age of 21 after University then my second at the age of 24. I’ve always been fascinated with personal finance, savings, learning to make money and watch it grow while combating debts along the way. Canadian Budget Binder is a place where I get to share my experiences with personal finance and learn about yours along the way. I hope you stick around and check me out on Twitter, Facebook and Pinterest where I am active on all social media sites. Cheers, Mr.CBB
Mr. CBB
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Comments

  1. I wonder if the two airlines will get in a bidding war and continue to beat each other’s prices? Probably not, but it would be fun to watch. Thanks for mentioning my post Mr. CBB! I really appreciate it and I hope you have a great weekend.

  2. John S @ Frugal Rules says:

    Interesting to read the info on Air Canada. We book our tickets online virtually all the time. The only time I remember using an agent was when we had a travel agent plan our cruise 18 months ago for our tenth anniversary. I did not like giving the control over, but we booked everything a year out and I figured I’d let someone else deal with the hassle of any changes and it only cost us $20 to do so. Thanks for the mention Mr. CBB! Have a great weekend.

  3. I book all flights online, after searching lots of sites like kayak, lastminute, … and charter websites. Never bother about airline price matches because you can’t keep checking the rates to make sure it is true, and like insurance, they will do anything not to pay, it has to be exactly the same route, same hour, same day… when you may not mind flying one day before at $200 less

    • I’d be interested to hear of someone taking advantage of the price guarantee to see what their experience was like with AC or West Jet.. I’ve always booked online as well… and I searched everything I could for a deal

  4. I inherited travel benefits from my dad when he passed away (he worked for American Airlines) and travel for really cheap. However, right now I am trying to book a flight for W’s parents as we are going to pay for their anniversary vacation. Airfare is so expensive! ARGH! I need tips!

    PS thanks for mentioning my post. Have a great weekend.

  5. I’ve always booked online as well, so we will see what happens!

    I don’t have any good airline stories, but boy has a couple:
    1. Last week, he flew out to Vancouver for his annual sales meeting with all the big wigs. Westjet decided to send his luggage to Mexico instead, so with an hour to his big meeting, he had to go buy a suit and everything (and screw the budget in the process! :P) We will see if Westjet will compensate him for losing the luggage, but no response so far.
    2. On one of his flights, he was getting ready to leave when a cute little kid in front of him was heading towards him with brown stuff on his hands. Boy thought it was melted chocolate, but nope, the kid has his hands in his diaper. The mom was pretty embarassed. :P

    Have a good weekend!

    • Hahahaha, sorry Vicky this is hilarious.. you have to post this on FB… your poor boy!! If he wants to share his story… I’d be happy to share tips in case your luggage gets shipped across the world and you have a meeting!! lol…

  6. Looking for cheap flights is something I don’t have to worry about. I’m too afraid of heights to get on a plane to worry about actually having to pay for a ticket :)
    Thanks for including my post. It’s the most personal one that I’ve written to date

  7. Christine Weadick says:

    Wow… the last time we flew anywhere was well before the internet!! It was almost 30 yrs ago…. The difference between now and then is then there were a lot more choices in who you flew with. Hubby found a seat sale in the newspaper with CP Air so that’s who we flew with. Now there really isn’t much choice in the airlines you have available… it’s down quite a lot now. The US is the same… there were a lot more airlines flying around up there than today.
    Competition in general seems to have gotten a lot more intense lately. I think part of it is the fact we have US companies coming up here and setting up shop. Think Walmart for the first one and the biggest at this point. Target is coming soon too. I know there are a lot more American companies around… I just can’t think of all of them at this time but I’m sure the list is a long one. Walmart and Target are the first to come to mind…. Given the size of these companies they can work better deals with suppliers and undercut our Canadian companies easily. So not only are they able to sell for less than home grown companies they still make the profits. Which of course goes south to line those pockets.
    I look over the points and other benefits that can be had to help the budget, especially for holiday shopping and other things like Birthdays. I haven’t signed up for that new one but I’m looking it over to see if there is a benefit for me there……
    I look forward to looking over this weeks list of goodies and having a good read……

    • SO back in the day you would look in the newspaper for flights? Interesting… Yes I think WM is gearing up for Target and it should be interesting how the two big shops go head to head. Have fun reading Christine!!! Cheers mate Mr.CBB

      • Christine Weadick says:

        I’ll have to ask my sister-in-law what she thinks of Target as she was hired on for the Guelph store, especially compared to Walmart… As they are stocking the store right now she sees what’s coming in…..
        I didn’t think of it when I first commented but back when my oldest was employed by the DND as a reservist he was flown to a couple of courses. One was Halifax and one was Quebec City. As the military used Air Canada he now has a very low opinion of AC…His flight back from Halifax was a nightmare as far as he was concerned. Seems that his return flight was routed Halifax/Ottawa/London for what ever reason. He was with another reservist from his unit and the boys sat on the tarmac for a fair while as there was engine problems. Finally they brought in another plane and everyone, bag and baggage had to move to plane #2 which went to Toronto. The airlines plan at that point was to sent them to Ottawa then back to London……That was the routing and that’s what they were going to do…. He called me to say he had no idea when he’d get to London so I could pick up him, I told him to call when he knew. The boys were waiting in Toronto for the Ottawa flight when they heard a flight called that was direct for London……Last call…. They had to argue with an attendant to get on that flight…..but you are booked through Ottawa!!!! Yea but we are going to London!!!! Finally they won the argument…. No time to call…. just grab their stuff off the Ottawa flight and run like hell to make the London flight. They just made it and I got my call from London airport….. I’m here Mom…. come and get me!!!! The good part was he was home and I didn’t have to pay for parking…. just roll up, load him up and come home… The Quebec flight was better but they still had engine trouble there too…..So he has no desire to fly Air Canada again………..ever….

        • Wow that sounds like a big hassle for him but I’m glad that he finally made it to his destination ok. I’ve had some pretty crappy flights, lost luggage, bla bla… but in the end it worked out. I’ve learned to plan for that now because you never know, anything can happen when flying.

  8. I always buy online via the airlines’ websites or one of the deal sites (expedia, kayak etc.). I’ve never bought from an agent.

  9. Thanks for including me! I’ve only used an agent twice- once to buy my eurorail pass…because I had no other option and two when we went on a family vacation and there were 4 different families flying out of different cities/trying to make connections/get group discounts for flying. 95% of the time I do not though, I like the challenge!

  10. One of my worst flights ever was supposed to go from Florida to Tennessee via Atlanta, but there was an ice storm. I was also traveling with my small dog in a carrier. We sat in Atlanta for about 7 hours and finally got on that last flight out. When we landed in Nashville, they couldn’t get the cabin door open so we had to sit at the gate for another 2 hours. My poor little dog was such a trooper. I was ready to start yelling “Bomb” so they’d let me off the plane. Thanks for mentioning my recipe.

  11. I hadn’t heard of that Air Canada guarantee – very interesting. I’ll have to pay more attention after buying fares. We recently just bought tickets to Prague through KLM which had a Valentines Day sale. $850 per ticket, Vancouver to Prague, all taxes included. Woohoo! :D

    -cf

  12. Thanks for the mention, Mr. CBB, and for another wonderful looking recipe! Can’t wait to try those pumpkin bars! BTW, the Spinach and Fettucini Ricotta got rave reviews from hubby AND all 4 kids!

    • Thanks! I just made a ricotta ball soup they will love then and you can use the mix to stuff shells, manicotti, lasagna etc… the bar recipe in this post is from pinterest if you want the recipe there is a link just under it.

  13. Airfare is quite expensive in Canada, so not sure what the huffing-puffing is all about south of the border. However, airfare is very generous in Europe. I remember in 2005 I flew London, GB to Sweden for $50 pounds…return….taxes in. When it comes to fashion, food and airfare, the western society is way behind the Europeans. Oh and thanks for the inclusion! :)

  14. You are sweet to mention me. Thanks again!

  15. CBB, thank you thank you as always for the mention. BTW I am having the toughest time commenting by just leaving my name and my site (???).

    My worst experience on a plane: a puddle-jumper from Denver to Aspen. I thought I was done for…roughest trip ever!!!

  16. I don’t have a lot of experience flying myself, so my worst experience may pale compared to that of an experienced flier. A couple years ago, we couldn’t make it back home for the holidays so we flew out just after. On the flight back to Colorado, we were hoping to beat the snow, but it started falling just as we arrived at the airport. One hour delay. Finally they let us start boarding only for the APU to stall out. Our flight left that day around the time it was originally scheduled to land!

    Thanks for the mention!

  17. Thanks for the mention and thanks for sharing. This is a fabulous list. Have a great weekend!

  18. Great news for consumers for sure. As someone who travels a few times per year for work and pleasure…I’m curious to see how this pans out and if AC sticks with the program :-)

    Thanks for the blog support as always!

    Mark

  19. Thanks for including my site this week Mr.CBB :)
    My worst flight experience was traveling to New Zealand (my first time flying) and one of the engines died about 3 minutes into the air. The plane only had 2 engines and the pilot said it would be fine to continue flying on 1.

    I almost soiled myself.

    Since then I haven’t enjoyed flying.

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