Travelocity is taking on Expedia and Orbitz with two new offers. First up is the Fee-Free, Worry-Free Travel promotion, during which Travelocity will waive its booking fees (normally between $5 and $15) on all domestic and international flights. Flights must be booked by May 31. This is an almost direct match of a recent offer from Expedia.
Second, Travelocity's PriceGuardian promotion takes the idea behind Orbitz' Price Assurance and applies it to vacation packages. Basically, if you book a flight-and-hotel package on Travelocity, and another customer books the same itinerary for less, Travelocity will send you a refund. The promotion applies to any flight-and-hotel package booked by May 31.
Update, March 19: Priceline has launched a competing offer, complete with it's own price-protection program.
(Editor's Note: SmarterTravel is a member of the TripAdvisor Media Network, an operating company of Expedia, Inc. Expedia, Inc. also owns Expedia.com.)