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(NBC News)   Airlines took in $27 billion in fees in 2012 ... $26 billion from passengers changing their tickets from United to any other available airline   (nbcnews.com) divider line 50
    More: Repeat, ancillary revenue, checked luggage, George Hobica, airlines, fees, tickets, passengers, Spirit Airlines  
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938 clicks; posted to Business » on 13 Sep 2013 at 10:38 AM (45 weeks ago)   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



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2013-09-13 10:47:48 AM
And in exchange for those fees they provided...what, exactly?
 
2013-09-13 10:52:52 AM

Bondith: And in exchange for those fees they provided...what, exactly?


Getting people off of United, of course.
 
2013-09-13 11:01:33 AM
We can't complain. This is capitalism at its finest.
 
2013-09-13 11:16:47 AM
Honest question... is United worse than US Air? I can't imagine that being possible.
 
2013-09-13 11:23:00 AM

digistil: Honest question... is United worse than US Air? I can't imagine that being possible.


Slightly. But don't worry, they are both awful. I made the mistake of going with both once. Now I pay a little extra on the ticket just to be free of such evils. United is worse than Air Canada. I didn't even know that was possible until I flew on them.
 
2013-09-13 11:30:07 AM

digistil: Honest question... is United worse than US Air? I can't imagine that being possible.


Flying through O'Hare is worse by a bit than flying through PHL.  Flying through Dulles is just as bad, while flying through CLT is very tolerable and Reagan is great.  I never don't regret flying United, but I frequently fly USAir.

So... in the East at least, USAir wins, no contest.
 
2013-09-13 11:54:05 AM

digistil: Honest question... is United worse than US Air? I can't imagine that being possible.


"Flying United, to me, is like crossing the Andes in a prison bus. There is no question in my mind that somebody like Pat Nixon personally approves every United stewardess. Nowhere in the Western world is there anything equal to the collection of self-righteous shrews that staff the 'friendly skies of United'." -- Hunter S. Thompson, "The Great Shark Hunt"

/flies United with some frequency, never had any major beef with them
 
2013-09-13 12:02:41 PM
As bad as United is, and believe me I think they suck, Spirit Airlines, beats them every time in the suck category.

The airlines love these fees as they don't pay the ticket tax on them.
 
2013-09-13 12:06:47 PM
I've flown United in and out of the States a couple of times recently, and they could have been worse.  They're in the Star Alliance with Air Canada, so I think the suck is seeping.  I really hate having to fork over for the privilege of bringing luggage onto their precious plane.  That's an innovation Air Canada seems to really like.  They also seem to all use the same annoying airport announcer.  It's really weird to hear someone with a thick Midwestern (or possibly Southern - you all talk funny) accent talk about Transport Canada.
 
2013-09-13 12:08:13 PM
Having flown United last week, *shudder*.

There are ways to avoid the fees:
Priority boarding - just a money grab, it's pure profit for the airline
Checked baggage - pack less shait. I managed to pack for a week with just a carryon and a backpack (Bonus: no lost luggage)
Buying meals in flight - Eat before getting on the plane

I bought a seat and that's all I paid for.

/6 hour delay for a 2 hour flight
//Some dumbass didn't disarm the emergency slide before opening the door
 
2013-09-13 12:34:14 PM

llortcM_yllort: Bondith: And in exchange for those fees they provided...what, exactly?

Getting people off of United, of course.


worth every penny!
 
2013-09-13 01:05:26 PM

factoryconnection: digistil: Honest question... is United worse than US Air? I can't imagine that being possible.

Flying through O'Hare is worse by a bit than flying through PHL.  Flying through Dulles is just as bad, while flying through CLT is very tolerable and Reagan is great.  I never don't regret flying United, but I frequently fly USAir.

So... in the East at least, USAir wins, no contest.


To be fair, O'Hare makes every flight worse. There's a reason it's known as "The shiatshow."

And g2k
 
2013-09-13 01:09:35 PM

Bondith: I've flown United in and out of the States a couple of times recently, and they could have been worse.  They're in the Star Alliance with Air Canada, so I think the suck is seeping.  I really hate having to fork over for the privilege of bringing luggage onto their precious plane.  That's an innovation Air Canada seems to really like.  They also seem to all use the same annoying airport announcer.  It's really weird to hear someone with a thick Midwestern (or possibly Southern - you all talk funny) accent talk about Transport Canada.


Wait, isn't *A the one that has Aegean? I've read status with them is ridiculously easy to get, which would get you free luggage on United and Air Canada.

/Not sure if you have to make any flights on Aegean for status
 
2013-09-13 01:13:57 PM
UA just cut off free booze in the United Club. Now all you get for free is a small bud light, or McCormick's brand well.

The UA frequent flyer community is gathering pitchforks and torches over it, and the agent i called today to file a complaint with over it was on the verge of a nervous breakdown from all of the calls.
 
2013-09-13 01:18:17 PM
And as someone who flys a solid amount, there is a lot worse out there than United, also once you have status with them, they are actually pretty good to you, compared to other airlines.

You haven't truly experienced airline problems until you have a problem on Jet Blue. I fly them a fair amount to rochester, and when something even minor goes wrong with the scheduling, the wheels really come off and you see you get what you pay for. They also have a flight on their schedule that I am convinced doesn't actually exist, as 6 of the last 6 times I was booked on it, it was cancelled and they moved everyone to the later flight, which shockingly had room for everyone.

Also people get what they pay for. When everyone decided they were going to book flights based only on what the cheapest flight kayak or whatever returned, airlines had to do everything they could to keep that initial number as low as possible.
 
2013-09-13 01:19:12 PM

digistil: Honest question... is United worse than US Air? I can't imagine that being possible.


I've always found US Air customer service to be the worst. But that's like arguing over who was the worst dictator: Stalin or Mussolini?
 
2013-09-13 01:22:01 PM

digistil: factoryconnection: digistil: Honest question... is United worse than US Air? I can't imagine that being possible.

Flying through O'Hare is worse by a bit than flying through PHL.  Flying through Dulles is just as bad, while flying through CLT is very tolerable and Reagan is great.  I never don't regret flying United, but I frequently fly USAir.

So... in the East at least, USAir wins, no contest.

To be fair, O'Hare makes every flight worse. There's a reason it's known as "The shiatshow."

And g2k


I was sitting on Ohare 2 weeks ago. 15 minutes before my flight, a beautiful sky turns black, and we had a 10 minute downpour. Then the sky turns beautiful again.

5 hours later I finally took off. Thank god for that little bar in the corner by the italian joint.

The other thing I hate with Ohare is when you get stuck in the concourse that you have to trek like a mile to under the runway.
 
2013-09-13 02:12:57 PM
Would seem that maybe another way to do this would be to give tickets for free and add another increase to services.
 
2013-09-13 02:31:31 PM

LineNoise: And as someone who flys a solid amount, there is a lot worse out there than United, also once you have status with them, they are actually pretty good to you, compared to other airlines.


I've flown with UA for two decades, and when Smisek took over, that's when everything went downhill and I split.
 
2013-09-13 02:41:46 PM

LessO2: LineNoise: And as someone who flys a solid amount, there is a lot worse out there than United, also once you have status with them, they are actually pretty good to you, compared to other airlines.

I've flown with UA for two decades, and when Smisek took over, that's when everything went downhill and I split.


My problem is that my airport of choice is EWR, so getting a good flight on someone other than United is a challenge.

It also means you need to be a platinum if you want a snowballs chance in hell at catching an upgrade, so even when I have non united options, i can't afford to pass on the PQM\PQS.

I'm hoping the new rules for next year trim back the premier numbers a bit, because at this point is getting ridiculous. I've been on flights where I look up at the board, and there will be, no joke, 40 or 50 people on a flight trying to clear an upgrade, on a plane that seats maybe 100 people.
 
2013-09-13 02:47:30 PM

LineNoise: My problem is that my airport of choice is EWR, so getting a good flight on someone other than United is a challenge.

It also means you need to be a platinum if you want a snowballs chance in hell at catching an upgrade, so even when I have non united options, i can't afford to pass on the PQM\PQS.

I'm hoping the new rules for next year trim back the premier numbers a bit, because at this point is getting ridiculous. I've been on flights where I look up at the board, and there will be, no joke, 40 or 50 people on a flight trying to clear an upgrade, on a plane that seats maybe 100 people.


Understand the EWR thing.

And I have seen the upgrade list thing too.  The "thinning of the herd" through the new rules won't really take effect until Feb 1, 2015, and even that....I don't think it's going to be very big.  A reason the list is so long is because they sell to the upgrades first, and it f there are no takers, then the crumbs are given to GS and 1K folks.

The elite pool is more shallow this year because people are pissed off at UA and don't fly them as much, or at all.  I'm in the latter of that group.

One thing that bothers me about UA is that I haven't flown a revenue mile with them for a little over a year, and after nearly two million lifetime miles in 15 years, I haven't heard from anyone at UA to ask what's going on.
 
2013-09-13 03:51:32 PM
Whatever you do, don't eat the "food" they serve on United. And don't use the bathroom after the "food" is served.
 
2013-09-13 04:04:26 PM
Whoever came up with the idea of a 'service fee' needs to do the following...

1. Get a potato
2. Wrap the potato in tin foil
3. Put the potato in their pocket
4. Die in a fire

This way they burn to death and I get a baked potato.
 
2013-09-13 04:13:48 PM
I had a 12:30 from SF to Denver a few weeks ago. I get to the gate at around 10:15, just as the 10:40-ish flight to Denver is boarding. The seating graphic on the flatscreen shows that the flight is about 3/4 full. I ask the weirdo at the counter (if I describe him it will sound racist, sexist, and homophobic, so let's just say that guys wears sexual identity like a costume and move on...) if I can get on since I'm going to Denver later anyway. He says it's a $75 change fee...to take an empty seat on one of their planes, between the same two airports. So I tell him no thanks, that plane leaves, and the second it's gone they update the next Denver flight to an hour delay. Which meant I'd miss my connect. Which meant spending an hour with United customer service just for them to put me on a non-stop on a different airline.

...and both of my flights back the next day were delayed as well. United sucks.

...and there's no free snacks anymore. And they don't give you the full can of soda when you get a drink, just the cup.
 
2013-09-13 04:29:10 PM

Scrotastic Method: I had a 12:30 from SF to Denver a few weeks ago. I get to the gate at around 10:15, just as the 10:40-ish flight to Denver is boarding. The seating graphic on the flatscreen shows that the flight is about 3/4 full. I ask the weirdo at the counter (if I describe him it will sound racist, sexist, and homophobic, so let's just say that guys wears sexual identity like a costume and move on...) if I can get on since I'm going to Denver later anyway. He says it's a $75 change fee...to take an empty seat on one of their planes, between the same two airports. So I tell him no thanks, that plane leaves, and the second it's gone they update the next Denver flight to an hour delay. Which meant I'd miss my connect. Which meant spending an hour with United customer service just for them to put me on a non-stop on a different airline.

...and both of my flights back the next day were delayed as well. United sucks.

...and there's no free snacks anymore. And they don't give you the full can of soda when you get a drink, just the cup.


The problem with not having a change fee is that everyone and their brother would try and do it on every flight that they happened to get to the gate early at. I do the EWR-ORD hop a ton, and usually come home on friday. Some days I wrap up early and am sitting at the airport bar by 2. Some days I'm running like a madman to catch my 8pm flight. If everyone knew they could change flights with no charge on busy routes, they would all pick the latest flight, get to the airport when they did, and then try and get on whatever was next.

Now once you hit gold, (50k miles in a year, or like 50 individual segments), you can do same day flight changes for no charge, so i frequently do just what I said above, book the flight I know i will definitely be able to make, but if i get to the airport early, try and sneak on an earlier flight.

Just saw that UA is honoring the glitch from yesterday, so a bunch of people just got free tickets. Would love to know how many it was. I suspect more than a few people are going to be making the kings of all mileage runs.
 
2013-09-13 05:09:53 PM

Scrotastic Method: I had a 12:30 from SF to Denver a few weeks ago. I get to the gate at around 10:15, just as the 10:40-ish flight to Denver is boarding. The seating graphic on the flatscreen shows that the flight is about 3/4 full. I ask the weirdo at the counter (if I describe him it will sound racist, sexist, and homophobic, so let's just say that guys wears sexual identity like a costume and move on...) if I can get on since I'm going to Denver later anyway. He says it's a $75 change fee...


No offense, but this isn't United being dickish; it's you not understanding the way things work. You bought a ticket for a specific flight, not a ticket for United to get you from SFO to Denver as soon as they could. It's no different than you having tickets for the Rolling Stones concert on Saturday night and you showing up on Friday, asking if you could just go ahead and see it then.

Sure, a really generous manager might decide to do you a favor and work through the logistic details necessary to get you switched over ("Ok, I had to cancel the 12:30 ticket and reissue you a 10:40 ticket. And because we've started boarding and the 10:40 flight already filed its paperwork, I had to send a supplement to the FAA adding you to the manifest. And I had to contact baggage claim to get your bags re-routed to this plane, since they're on a cart for the later flight. And you put us over a passenger load threshold, so the plane needs to bump up to the next fuel quantity tier, " etc. etc.) But in most circumstances, it would be entirely reasonable for the airline to tell you "no, you'll have to wait for the flight you paid for."
 
2013-09-13 05:21:03 PM
Haven't flown since 2005 and I'm not looking forward to next summer's trip to Boston, but Amtrak takes most of a week each way.
 
2013-09-13 05:38:04 PM

Scrotastic Method: ...and there's no free snacks anymore. And they don't give you the full can of soda when you get a drink, just the cup.


You can ask for the can (I did), but yea, no snacks is just being cheap. Not even a bag of pretzels. Even Delta gives you peanuts.
 
2013-09-13 06:23:11 PM

Uzzah: Scrotastic Method: I had a 12:30 from SF to Denver a few weeks ago. I get to the gate at around 10:15, just as the 10:40-ish flight to Denver is boarding. The seating graphic on the flatscreen shows that the flight is about 3/4 full. I ask the weirdo at the counter (if I describe him it will sound racist, sexist, and homophobic, so let's just say that guys wears sexual identity like a costume and move on...) if I can get on since I'm going to Denver later anyway. He says it's a $75 change fee...

No offense, but this isn't United being dickish; it's you not understanding the way things work.


Every other airline does it -- when you fly for work you try this out a bunch -- but United is just jerks. For everyone else a seat is a seat.

 And my sister-in-law is a United employee, the kind that call for boarding on flights and fix peoples' itineraries, and after the above shiatfest she gave me the full rundown of when United will and won't allow flight changes. So I do understand how it works, it's just a dick move on their part, because my specific situation up there wasn't one of their specific situations -- but they paid for it, since their delayed second flight meant they had to put me on a more expensive flight with a different carrier.
 
2013-09-13 06:44:54 PM

natazha: Haven't flown since 2005 and I'm not looking forward to next summer's trip to Boston, but Amtrak takes most of a week each way.


The last few times I've traveled out of state, I've considered using Amtrak, but I always seem to run into two problems:

1. For a multi-day trip, having a place to sleep that isn't a chair adds a huge amount to the ticket price.
2. Nearly every place I want to go only has Amtrak arrivals in the middle of the night.

I might be able to forgive #1 since food, fuel, and lodging for a multi-day driving trip would probably run about the same price, but I have no desire to get off a train in an unfamiliar city in the middle of the night.
 
2013-09-13 08:20:56 PM
sounds like united screwed thr pooch with glitch fares today.

expect those bag fees to start going up...
 
2013-09-13 08:47:07 PM
That's why I fly Southwest when I can. The whole no change fees thing has saved me some money a few times. Being in the Navy, I sometimes have to be flexible when I can take leave.
 
2013-09-13 08:57:53 PM

Scrotastic Method: Every other airline does it -- when you fly for work you try this out a bunch -- but United is just jerks. For everyone else a seat is a seat.


I fly 2-3 times a week for work and I'm not sure what you're talking about.  American, United and Delta all have that policy.  I've had some luck with United and Delta where I've run into a nice gate agent who let me go ahead and get on an earlier flight.  (My guess is that my flight was overbooked and they were really just solving the airline's immediate problem without shelling out $200 to a volunteer). In general though, they know that the vast majority of people who do this are business travelers who are going to expense the flight change anyways, so why miss out on that revenue?

Delta: http://www.delta.com/content/www/en_US/traveling-with-us/ticket-chang e s-refunds/sameday-travel-changes.html
United: http://www.united.com/web/en-us/content/reservations/samedaychange.as p x
American: http://www.aa.com/i18n/utility/sameDayTravel.jsp

You pretty much need to be the equivalent of United's Gold Membership to get a free change on any airline.
 
2013-09-13 09:45:09 PM

RoughTrickNamedJim: That's why I fly Southwest when I can. The whole no change fees thing has saved me some money a few times. Being in the Navy, I sometimes have to be flexible when I can take leave.


Most airlines offer military fares, they may or may not be less than regular fares depending on the circumstance but they generally allow changes to be made without change fees.
 
2013-09-13 10:00:57 PM

LineNoise: The other thing I hate with Ohare is when you get stuck in the concourse that you have to trek like a mile to under the runway.


Arrive: C32
Depart in 12 minutes: B22

/Go!
 
2013-09-13 10:26:52 PM
If the airlines want to get another fee out of me, how about one for something I can actually use like reserving a spot in the overhead bin?  I don't mean any spot, I mean a specific spot. Divide each bin into three sections and if you've reserved that section in that bin, it's yours. No worries about the only bin space being nine rows behind your seat. No worries about gate checks. No needing to move your stuff so Aunt Missy can lay her oversized bag lengthwise because the flight attendant is trying to get things ready for takeoff. Of course this would eat into their priority boarding fees since if you don't have to worry about bin space, what's the point of being on the plane before anyone else?
 
2013-09-13 10:54:33 PM

EngineerAU: If the airlines want to get another fee out of me, how about one for something I can actually use like reserving a spot in the overhead bin?  I don't mean any spot, I mean a specific spot. Divide each bin into three sections and if you've reserved that section in that bin, it's yours. No worries about the only bin space being nine rows behind your seat. No worries about gate checks. No needing to move your stuff so Aunt Missy can lay her oversized bag lengthwise because the flight attendant is trying to get things ready for takeoff. Of course this would eat into their priority boarding fees since if you don't have to worry about bin space, what's the point of being on the plane before anyone else?


Overhead bins will usually only fit 2 full sized carryons.
 
2013-09-13 11:35:43 PM

EngineerAU: If the airlines want to get another fee out of me, how about one for something I can actually use like reserving a spot in the overhead bin?  I don't mean any spot, I mean a specific spot. Divide each bin into three sections and if you've reserved that section in that bin, it's yours. No worries about the only bin space being nine rows behind your seat. No worries about gate checks. No needing to move your stuff so Aunt Missy can lay her oversized bag lengthwise because the flight attendant is trying to get things ready for takeoff. Of course this would eat into their priority boarding fees since if you don't have to worry about bin space, what's the point of being on the plane before anyone else?


There is one American Airlines flight attendant that is a personal hero of mine...I was in Group 1, and as I was boarding the plane there was a group of people ahead of me that had seats way toward the back that put their carry on bags in bins toward the front of the aircraft.. She -took the bags out- of the overheads and demanded the come back and put them in the bins directly above their own damn seats RIGHT NOW, or she would gate check them.

Is it really that farking hard for people to carry a bag back to their own seat and put it in a bin above them?
 
2013-09-14 01:31:38 AM

Uzzah: No offense, but this isn't United being dickish; it's you not understanding the way things work. You bought a ticket for a specific flight, not a ticket for United to get you from SFO to Denver as soon as they could.


Interestingly, one of the most bare-bones of discount carriers, Europe's easyJet, has a policy that you can make a same-day change to an earlier flight at no cost - no fare difference, no change fee. Plus, if the next flight goes to the same city, but a different airport (say, Gatwick instead of Luton), you can still make the change for free.

I used to be a 1K with United, but I don't fly as much as I used to. Still, I'm not sure I want to give United much more business. Since Continental management took the top positions, their attitude towards elites is downright hostile. Everything is for sale, and only those who pay top dollar get decent treatment. (I will admit that their international first class product has gotten much better). I'd like to hope that if/when the airlines become profitable again, we'll get back everything we've lost in the past few years, but I'm not optimistic.

Besides, some of United's fees are ridiculous and completely counterproductive. Charging for booking an award seat less than 21 days before departure? They release extra award seats a few days before the flight, so why make it difficult for people to use them? They get to fill a seat that is likely to go unsold, and they get an expensive liability off their books. WTF?

But it could be worse - I'm flying British Airways business class soon and even in farking business class they charge $80-120 each way to choose a seat. Not to get a preferred or popular seat - just for the privilege of selecting a seat before check-in. Now that's farked up.
 
2013-09-14 08:58:26 AM
I don't see the big deal.  The business model switched from "all-inclusive" to "cafeteria-style".  Except dumbass Americans refuse to accept that and think they should get the same services as before at the new lower cost, skipping any extra fees.
 
2013-09-14 11:02:40 AM

LineNoise: Scrotastic Method: I had a 12:30 from SF to Denver a few weeks ago. I get to the gate at around 10:15, just as the 10:40-ish flight to Denver is boarding. The seating graphic on the flatscreen shows that the flight is about 3/4 full. I ask the weirdo at the counter (if I describe him it will sound racist, sexist, and homophobic, so let's just say that guys wears sexual identity like a costume and move on...) if I can get on since I'm going to Denver later anyway. He says it's a $75 change fee...to take an empty seat on one of their planes, between the same two airports. So I tell him no thanks, that plane leaves, and the second it's gone they update the next Denver flight to an hour delay. Which meant I'd miss my connect. Which meant spending an hour with United customer service just for them to put me on a non-stop on a different airline.

...and both of my flights back the next day were delayed as well. United sucks.

...and there's no free snacks anymore. And they don't give you the full can of soda when you get a drink, just the cup.

The problem with not having a change fee is that everyone and their brother would try and do it on every flight that they happened to get to the gate early at. I do the EWR-ORD hop a ton, and usually come home on friday. Some days I wrap up early and am sitting at the airport bar by 2. Some days I'm running like a madman to catch my 8pm flight. If everyone knew they could change flights with no charge on busy routes, they would all pick the latest flight, get to the airport when they did, and then try and get on whatever was next.

Now once you hit gold, (50k miles in a year, or like 50 individual segments), you can do same day flight changes for no charge, so i frequently do just what I said above, book the flight I know i will definitely be able to make, but if i get to the airport early, try and sneak on an earlier flight.

Just saw that UA is honoring the glitch from yesterday, so a bunch of people just got free tickets. Would ...




If there was no change fee, people would buy the ticket for the cheapest flight and then stand by for the one they really wanted.
 
2013-09-14 12:03:05 PM

Bonkthat_Again: We can't complain. This is capitalism at its finest.


You mean capitalist socialism? There were airline bailouts, you know. I always wonder what the industry would look like if there hadn't been. Kinda like if there hadn't been a bank or auto industry bailout.

/cue the b-b-b-but-the-economy! crowd
//bailouts prove what horse shiat the idea of creative destruction is
 
2013-09-14 01:46:38 PM

rzrwiresunrise: Bonkthat_Again: We can't complain. This is capitalism at its finest.

You mean capitalist socialism? There were airline bailouts, you know. I always wonder what the industry would look like if there hadn't been. Kinda like if there hadn't been a bank or auto industry bailout.

/cue the b-b-b-but-the-economy! crowd
//bailouts prove what horse shiat the idea of creative destruction is


Free-market principles do not apply to every sector of the economy, most notably those sectors where people depend on companies for their livelihood and/or survival.  Having a major airline go out of business would have massive and very unpleasant ripple effects across the entire economy, including airplane manufacturers, the suppliers to those manufacturers, and people who regularly fly for business.  Furthermore, the startup cost for a new airline is so high that it could take a very long time for a new company to fill the gap, and as a result the sector as a whole would likely be depressed for years, if not decades.

That being said, while I think it makes sense to bail out companies in specific circumstances, I also think that the executives who led the company into a position where it needed a bailout should always be fired and forfeit their bonuses as a condition of the bailout.
 
2013-09-14 02:56:37 PM
These fees came about because of people buying their ticket based purely on a 1 cent difference in fare on travelocity. If you aren't the top of the list, you might as well not bother. Also, fees aren't(or weren't haven't been in airline business for a couple years) taxed the same as fare rates. Price of oil keeps going up, people still want to pay 50$ to fly 3000 miles at 550mp/h. so... something had to give.
 
2013-09-14 03:10:40 PM
United Sucks Donkey Balls.
 
2013-09-14 04:15:57 PM

GoodyearPimp: I don't see the big deal.  The business model switched from "all-inclusive" to "cafeteria-style".  Except dumbass Americans refuse to accept that and think they should get the same services as before at the new lower cost, skipping any extra fees.


The biggest reason for the change to a la carte pricing is the excise taxes charged on airline fares (which is currently 7.5%).  This tax isn't applied to fees, only fares.
 
2013-09-14 06:40:58 PM
Southwest Airlines for the win!
 
2013-09-14 06:58:29 PM
Pssh... I love flying United and will fly them over any other US airline when given the chance.  Unfortunately, due to where I've lived lately, I've had to fly US Air a lot.  Worst airline ever.

/What fees?
//AmEx reimburses me for meals and booze and lounges on United
 
2013-09-14 11:24:01 PM

kabar: //AmEx reimburses me for meals and booze and lounges on United


Which card do you need to get that perk?
 
2013-09-14 11:39:08 PM

Cataholic: GoodyearPimp: I don't see the big deal.  The business model switched from "all-inclusive" to "cafeteria-style".  Except dumbass Americans refuse to accept that and think they should get the same services as before at the new lower cost, skipping any extra fees.

The biggest reason for the change to a la carte pricing is the excise taxes charged on airline fares (which is currently 7.5%).  This tax isn't applied to fees, only fares.


This. Anybody that buys into the whole "they're offering me choices" line when talking about all of those things that used to be included in the airfare. It has never been about customer convenience, it has always been about getting all that sweet tax free revenue. I expect one day congress will fix that little loophole, and you'll see everything get re-bundled because the incentive won't be there anymore.
 
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