Why One Travel Club Hides Its Best Prices Behind a Paywall

Luxury Escapes, the Australian travel-deals company, is betting that a paid membership can protect its prices. Co-founder and CEO Adam Schwab told Skift ahead of its Commerce Summit that the company’s paid tier, LuxPlus, costs US$175 a year plus a joining fee and unlocks member-only products and pricing.

The company started in Australia in 2013 and now serves more than nine million members across Australia, the U.S., the U.K., India and Asia. LuxPlus sits inside its Societe loyalty program. Schwab argues that many travel companies run membership programs that do not truly guard supplier pricing, and that each added member makes the program more valuable to the others.

He acknowledges that travelers often switch platforms over price or inventory, but says a close loyalty relationship allows more frequent contact, often daily, and a wider product range that includes experiences.

On AI agents, Schwab expects them to reshape part of travel booking but is unsure which part, and he says online travel agencies face risk if they lack exclusive inventory, pricing or brand strength. He is due to speak at the Skift Commerce Summit in New York City on November 11.

Sources: Skift