CONSUMER SERVICES Online Travel Agents Hope Package Deals Will Fly.(A)

By Doug Tsuruoka

Investor's Business Daily

"On-the-fly packaging" sounds like something baggers do at grocery checkouts. But it's actually the latest trend in the online travel industry.

Travel Web sites like Expedia Inc., which make commissions selling plane tickets, have found a new way to make money. They're offering package deals that combine cheap hotel rooms and other services with discount air tickets.

"It's called packaging on the fly, and it involves bundling hotel rooms for a certain number of nights to go with the flight tickets customers buy from us," said Richard Barton, Expedia's chief executive and president. Expedia is 70% owned by software maker Microsoft Corp.

Traditional travel agents have offered package …