BUSINESS WATCH:Orbitz often cheaper than airline

Volodymyr Bilotkach hasn’t taken a plane trip yet this year — but the next time he does, he’ll know a thing or two about shopping for tickets.

The UCI assistant professor of economics recently published a study comparing the last-minute fares of Southwest Airlines, which is renowned as a low-cost airline, and the Orbitz online travel agency. His research paper, which was published in March and recently featured in the Fort Worth Star-Telegram and other newspapers, claimed that despite Southwest’s sterling reputation for low-cost fares, Orbitz actually offered a better deal for travelers looking to snag a ticket the day before takeoff.

Bilotkach, who often flies Southwest, said he wasn’t trying to lash out at the company. Rather, he sought to prove a point: that companies were less inclined to lower their prices when their competitors’ rates weren’t readily available. Southwest, he said, sells almost all its tickets on its own website rather than through travel agency sites, meaning that customers can’t compare the prices to other airlines’ rates unless they search elsewhere.

“The common trend among airlines is that they distribute as many tickets through their websites as possible,” Bilotkach said. “What this paper shows is that when you do, you make it harder for the customer to see what else is offered.”

Bilotkach and student assistant Lisa Nguyen compiled the study’s information in November and December. He pointed out that his work is not meant as an endorsement of Orbitz — since finishing the report on Southwest he was now writing a follow-up study showing Orbitz charged more than Travelocity and Expedia.

Paula Berg, a Southwest spokeswoman, hadn’t read Bilotkach’s study but said a number of other factors influenced customers’ decision to choose an airline, including comfort and convenience. Also, she said, Southwest often sold out its cheapest seats long before the flight date.

“I think that the average traveler shops around,” Berg said. “We are consistently the nation’s low-fare leader.”