Why the service fee?

QUESTION: I went to a travel agency in Sandton recently and they insisted I pay a service fee (on top of the cost of the ticket) to book a flight. Surely this is just another rip-off? - Raymond Smit

ANSWER: No, it is not a rip-off. Service fees are becoming a standard practice in the travel industry - and have been in force in certain agencies for some time. Airlines have cut the commission payable to agents, so they have to generate income from service fees charged to the customer. Supporters say it is a better system as it eliminates hidden commissions and you pay for the service you get. The alternative is to book directly with the airline or over the Internet. If you need an agent's help to find a flight or a cheap price, you are going to have to pay for it.