Use this program to:

Taking these 3 variances into consideration, the commission rate can vary by travel agent, by rate plan, and by length of rental.

Definitions:

Commission Plans: Commission rates that can vary by length of rental, by vendor, and by a "category" of rental. Commission plans are assigned to vendors.

Commission Category: Commissions rates that can vary by rate product used. That is, a highly profitable rate is commissioned more lucratively than a discounted rate that has a lower profit margin. Commission categories are assigned to rates.

See the chart at the end of this chapter for examples of how Commission Plans can be set up.

To access this program: To access the Edit program, type EDITCOM (RET) at any menu "OPTION:" field or the appropriate line number on the Rate Control Files menu. The screen will then display:

OPTION: __ EDIT COMMISSION PLANS

1 Comm Plan
2 Comm Cat
3 Description
4 Daily Comm Pct
5 Weekly Comm Pct
6 Monthly Comm Pct
7 Xday Comm Pct
8 Comm Amt



1SAVE 2NEXT 3ERASE 4DELETE 5BACKUP 6SEARCH 7HELP 8

Enter data as follows:

1. COMM PLAN

Enter up to 4 characters designating a Commission Plan. (In order for this plan to be apply to a Vendor, enter this plan number in the "Commission Plan ID" field in the appropriate vendor record through the Vendor File Maintenance program.)

EXAMPLE: Type A123 (RET).

2. COMM CAT

Users other than Europcar operations: Enter up to 2 characters designating a category. Commission categories are assigned to rates.

Europcar operations: Enter up to 4 characters representing the rate family. This code is assigned to reservations received through the reservation interface program (RZMRGX) and not the CARS+ rate.

EXAMPLE: Type 1 (RET)

3. DESCRIPTION

Enter up to 50 characters as a description of this Commission Plan and Category.

EXAMPLE: Type HIGHEST VOLUME, MOST PROFITABLE RATES (RET).

4. DAILY COMM PCT

For standard rates, enter the commission percent for rentals 5 days or less.

For tiered rates, enter the percent for Tier 1.

For period rates, enter the percent for the days less than the rental period.

For weekend rates, the percentage entered here will apply only if the customer did not qualify for the weekend rate and the daily rate is used instead.

EXAMPLE: Type: 15 (RET)

Note: The "Maximum Commission Percentage" field in the Edit Miscellaneous Control Fields governs the maximum percentage that can be used on a reservation or rental agreement. As an example, if you enter "15" in this field and the Max. Comm. % field in the Miscellaneous control file is "12", the commission rate of 15% will cause the following message to display on the RA Open screen: INVALID PERCENT.

5. WEEKLY COMM PCT

For standard rates, enter the commission percent for rentals greater than 5 days but less than the number of days defined for your month in the Miscellaneous Controls record.

For tiered rates, enter the percent for Tier 2.

For period rates, enter the percent for the period.

For weekend rates, if the rental is for 1 week or more.

EXAMPLE: Type: 16 (RET)

6. MONTHLY COMM PCT

For standard rates, enter the commission percent for rentals that are equal or greater than the number of days defined for your month in the Miscellaneous Controls record.

For tiered rates, enter the percent for Tier 3.

For period rates, the same rule applies as for standard rates.

For weekend rates, the same rule applies as for standard rates.

EXAMPLE: Type 17 (RET)

7. XDAY COMM PCT

For standard rates, this field does not apply.

For tiered rates, enter the percent for Tier 4.

For period rates, enter the percent for rentals that are greater than the period but less than a month.

For weekend rates, enter the percent that applies to rentals strictly within the weekend period.

EXAMPLE: Type 15 (RET)

8. COMM AMT

Instead of a percentage, a flat amount may be entered in this field.

EXAMPLE: Type: 5.00 (RET)

Note: A commission amount cannot be entered if percents are already entered in Fields 4 - 7. It is shown here just for example purposes.

The screen will then display:

OPTION: __ EDIT COMMISSION PLANS

1 Comm Plan A123
2 Comm Cat 1
3 Description HIGHEST VOLUME, MOST PROFITABLE RATES
4 Daily Comm Pct 15
5 Weekly Comm Pct 16
6 Monthly Comm Pct 17
7 Xday Comm Pct 15
8 Comm Amt 5.00



1SAVE 2NEXT 3ERASE 4DELETE 5BACKUP 6SEARCH 7HELP 8

PRESS "F1" AT "OPTION" TO SAVE.

By combining the concepts of commission plans and categories, the following flexibility is available:


 
Comm Plan A
Highest Volume Vendor
 
Comm Plan B
Middle Volume Vendor
 
Comm Plan C
Low Volume Vendor
 
Category 1 rates
(most profitable rates)
Daily
Weekly
Monthly
X-day
 



Daily      15 %
Weekly     16 %
Monthly    17 %
X-day      15 %
 



Daily      12 %
Weekly     13 %
Monthly    14 %
X-day      12 %
 



Daily       8 %
Weekly     10 %
Monthly    10 %
X-day       9 %
 
Category 2 rates
(discounted rates)
Daily
Weekly
Monthly
X-day
 



Daily       8 %
Weekly     10 %
Monthly    10 %
X-day       8 %
 



Daily       6 %
Weekly      8 %
Monthly     8 %
X-day       7 %
 



Comm Amt   $5.00

Comments and observations:

  1. A high volume vendor who reserves at the most profitable rate for a weekly rental earns a commission of 16 percent.

  2. A low volume vendor who reserved at a discounted rate earns a flat commission of $5.00 - regardless of the length of the rental.

  3. A mid volume vendor who reserves at using a tiered rate product that is of a Tier 2 length and is considered a profitable rate earns a commission of 13 percent.

  4. A high volume vendor who reserved using a period rate that is considered a discounted rate earns a 10 percent commission.