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Markup: a standard form of configuring prices for end-consumers (Private Clients and Corporate Clients) and for multi-level distribution via other Tour Operators (see more in ++ Configuring Multi-Level Distribution Chains). When you configure markup – it will be added to the Net Rate from supplier to form the sales price.
For example, a double room offered by supplier costs you EUR 100. With a 20% markup you can sell it to your client for EUR 120. So your profit will be EUR 20.
Markup & Commission: a standard form of configuring prices for travel agencies. When you configure both markup and commission system will apply the markup in order to calculate the sales price and will additionally show the commission that Agency will get for this sale. The commission is being calculated from the total sales price.
For example, a double room offered by supplier costs EUR 100. With a 20% markup and 10% commission agency will see that the price for traveler is EUR 120 and the commission is 10% from the sales price. The profit of your company is “markup minus commission” = EUR 20 – EUR 12 = EUR 8.
ℹ You can set markups and commissions in percent or in fixed amount with the Switch button
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There are several ways to calculate a sale price in percentage and fixed amount:
The calculation of a sale price in percent is always based on the full cost of the service.
For example the net price is EUR 100 and the markup is 20%, the total price is then calculated by the following formula: Total price = net price + markup = EUR 120. The fixed commission is calculated based on the service rate and depends on the service. Fixed commission for accommodation services is added to the price of each night, for transfer services - to the price of the whole transfer service, etc.
For example the room is booked for 5 nights with the net rate of EUR 100 per night and a markup of EUR 20. The total price is then calculated by the following formula: Total price = net price * number of nights + markup * number of nights = 100*5 + 20*5 = EUR 600.
Please also pay attention that for direct sales contract setting, setting commission is unavailable.
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Thus, if you set the shift of the cancellation deadline for 3 days and set the increase of the penalty charge to 10 per cent, then the penalty period will be extended to 10 days:
cancellation period = 7 days according to supplier’s terms + 3 days according to your terms.
The penalty period starts on May 22, that is 3 days before the supplier's cancellation terms start. At the same time the amount of penalty charge additionally increases by 10 per cent of the initial supplier penalty charge including the markup of the tour operator.
In this case if a reservation is canceled within the period from May 22 to May 31, the travel agency pays the penalty charge of 132 EUR.
120 EUR (50% of the initial supplier's penalty charge including the tour operator's markup) + 10% (penalty increase) = 132 EUR Penalty charge
You pay 100 EUR to the supplier. The remaining amount of 32 EUR is your company profit. Similarly you can configure supplier's penalty terms by changing only the deadline shifts or the penalty charge increase.
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Go to the contract, tab tags.
Click Edit to switch to editing mode.
Specify tags within “Included” and “Excluded” blocks to define what products should be available or not available for this sales channel. You can either use pre-defined tags to switch off some suppliers or your own tags that you define in self-operated products (see + Creating Self-Operated Products ). Based on matching tags system will show or not show corresponding product.
Click Save.
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To ensure the availability of offers from the external Hotelbeds supplier only, in the client contract settings (Navigation bar - Clients - Contract - Tags), add the following tag: supplier:hotelbeds
To ensure the availability of offers from the direct contracted Travel Guard supplier only, in the client contract settings, add the following tag: supplier:travelguard or travelguard:public
