By Darren Cronian on Thursday, February 7th, 2008

I’m writing a blog post about travel sites, and whilst researching I found myself getting frustrated at the number of travel websites who are advertising loans, and credit cards. The country has enough debt ridden consumers without travel sites tempting consumers to get in debt.

Travel companies tempting consumers to get in debt

WAYN appear to be using affiliate site Doubleclick – it’s not like Google Adsense where ads are delivered depending on the content – they are actually choosing this type of ad because they know that it’s going to generate them revenue from consumers who cannot afford to travel, but want to travel.

There should be a ban of this type of advertising on travel sites in my opinion.

What do you think?


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14 responses to “Travel companies tempt consumers to get in debt”

Mary | 7 February, 2008 at 3:38 pm

“The country has enough debt ridden consumers without travel sites tempting consumers to get in debt.”

Are you referring to the U.S.? Well, of course sites like WAYN (whose U.S. audience comprises a whopping 6.3% of its readership, according to Alexa) should ban travel loan and credit card companies because of those irresponsible Americans!

Okay, sarcasm aside… You raise an interesting issue. I’m going to play devil’s advocate here and say that banning credit card and loan advertisements isn’t going to help. Most advertising appeals to human weakness and needs — you want to ban it all?

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Darren Cronian | 7 February, 2008 at 3:57 pm

Mary, thanks for the comment.

This blog, is primarily aimed at a UK and European audience, but I think the issue of consumer debt is a global issue rather than a US or UK. I’m not suggesting that we ban all advertising, that simply would be very silly, wouldn’t it.

The types [or companies] who travel companies advertise should be taken more seriously – only recently in the UK we have banned junk food ads before the watershed [9pm] smoking ads banned from sporting events and on the television.

So, should we ban credit card and loan ads on a travel, yes, I think we should. I’m sure people won’t agree with me, but that’s what is why we have free speech and comments on blogs.

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foxnomad | 7 February, 2008 at 5:00 pm

I don’t like such ads either, but I don’t think it’s feasible to ban credit card ads.

People have to be responsible for their actions.

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Darren Cronian | 7 February, 2008 at 5:25 pm

Fair point, but don’t you think that travel companies have a social responsibility to consumers? An 19 year old visitor is desperate to go partying in Ibiza because his richer friends are, and sees the opportunity of signing up for a credit card, they go on holiday, and spend the next 3 years paying the debt back.

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Mary | 7 February, 2008 at 5:48 pm

Oops. Silly of me to assume U.S. I’ve been reading too much about the sub-prime loan issue. Mea culpa!

Like I said, I am playing devil’s advocate. I don’t like those ads either. However, I don’t think implementing and enforcing a ban is realistic. You can ban ads from TV or radio in a specific country, but is it possible on a website with an international readership?

That being said, I like that we’re debating the issue. I hope some companies will wake up to the fact that people are bothered by this and they will rethink the ethics of their affiliate programs.

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foxnomad | 7 February, 2008 at 6:10 pm

Darren, I completely agree.

But as Mary pointed out, on an international scale with different rules and regulations…hard to implement.

I think the bigger problem (here in the US) is the overt marketing of credit cards on college campuses – giving away a few thousand dollar card for a free T-shirt. Setting up kids for a life of debt…

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Darren Cronian | 7 February, 2008 at 6:30 pm

Your IP address can track the country you are connected to the internet on. Shouldn’t the affiliate companies take more responsibility then – they could surely stop it, yes, but they will loose revenue won’t they [insert sarcasm] So, let’s see travel companies not adding loan and credit card ads, and more related ads that don’t have an impact on society.

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Mary | 7 February, 2008 at 7:58 pm

I’m curious — do travel sites really bring in significant revenue from loan and credit card companies, or is this just an assumption?

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Darren Cronian | 7 February, 2008 at 8:02 pm

Mary, it’s assumption. Why would a travel site put them on though if they had tons of travel related options to choose from?

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Mary | 7 February, 2008 at 10:54 pm

Darren, good question. I don’t know a lot about these types of programs, but it seems like WAYN is using both Doubleclick and another ad company as well — in addition to selling advertising on its own. Confusing!

I had a look at WAYN today and didn’t come across credit card or loan companies. What I did get was the University of Phoenix, cell phone companies, and job search websites.

I don’t get it… I keep hearing about how big the travel industry is, how online sales for travel are increasing, and how tourism is constantly growing. I’m at a loss to explain why travel sites would seek advertising from other industries when it seems like there is so much money to be made simply from travel.

I am curious to read your article about travel sites. I’ve grabbed your RSS feed so I’ll keep my eyes out.

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Darren Cronian | 7 February, 2008 at 11:09 pm

Mary, my points exactly.

Just to see what I mean
http://www.travel-rants.com/images/wayn.jpg

Both doubleclick ads.

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John | 11 February, 2008 at 6:57 am

what ever happened to responsible advertising

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Nathan Midgley | 11 February, 2008 at 12:46 pm

To respond to a point Mary makes above, rising online sales in the travel industry have limited impact on WAYN – it isn’t a travel retailer. It’s a free community site, so its revenue model will be more like Facebook’s, i.e. heavily dependent on sponsorship and display advertising.

Darren, I can see what you mean but to institute it fairly you’d have to ban credit advertising from appearing alongside any kind of content that could possibly inspire a high-value purchase of any kind, anywhere (consumer electronics magazines, motoring shows on TV etc etc). That’s a very general and open-ended rule – it would prevent credit companies advertising anywhere they could conceivably want to, so it’s effectively the same as a blanket ban.

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Darren Cronian | 11 February, 2008 at 2:50 pm

The fact that it is a free service shouldn’t make it right when they are advertising to an impressionable age group. Why credit cards and loans when there’s tons of other services and products that they could promote to it’s membership?

Ok, so banning ads might be a little extreme, but shouldn’t travel sites think about what they are advertising at a time when more and more young people are getting in debt. Travel companies need to take more responsibility about what they are advertising, and less about the revenue they could loose.

This is my personal opinion, I am sure many will agree and disagree.

I invited WAYN to comment, but as yet, they have chosen not to.

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