Airlines Adding Even More Extra Fees

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JOSHUA FREED | 06/19/09 02:52 PM | AP

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FILE - In this Dec. 21, 2008 file photo, travelers queue up at a ticketing counter at Denver International Airport. United Airlines has recently started charging passengers an extra $5 if you pay a $15 baggage charge at the airport instead of online. (AP Photo/David Zalubowski)

MINNEAPOLIS — As if charging $15 to check a bag weren't enough, two airlines are asking for $5 more beginning this summer if you pay at the check-in counter _ a fee on top of a fee.

Of course, you could always pay your baggage fee from home. The airlines call it the "online discount."

If airlines can get away with that, what's next? Rather than raise fares in the middle of a recession, they're piling on fees to make money _ fees for bags, fees to get through the line faster, even fees for certain seats.

United Airlines alone expects to rake in more than $1 billion this year in fees ranging from baggage to accelerated frequent-flier awards. That's more than 5 percent of its revenue.

The most likely new fees are those that some airline, somewhere, has tried. Fees usually originate with one or two airlines, and competitors watch to see whether passengers accept them or revolt. For instance:

_ US Airways and United are hitting passengers up for $5 to pay their baggage fees at the airport instead of online. United implemented the fee June 10, while US Airways will put it into effect July 9.

_ If you want to select an exit row seat on AirTran and enjoy the extra legroom, expect to cough up $20.

_ Allegiant Air, a smaller national discount airline, charges a $13.50 "convenience fee" for online purchases, even though most other carriers encourage purchases direct from their Web site.

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_ European discounter Ryanair charges for something everyone has to do if they want to fly: check in. It's 5 euros, or about $6.75, to check in online, double for passengers who pay at the airport. Ryanair plans to eliminate airport check-in desks.

_ Spanish airline Vueling charges a fee to pick a seat. Any seat at all. A "basic" seat behind the wing runs 3 euros. For 30 euros, travelers can choose an aisle or window seat and guarantee that the middle seat will remain empty.

"They need to chill out with those," said a frustrated Jim Engineer, a public relations executive waiting for a flight out of New York's LaGuardia. "Charging for a glass of water and seats just translates into unhappy customers."

As recently as last year, most fliers only came across a fee if they checked three bags or sent a minor child across the country. Most people, most of the time, traveled fee-free.

But that began to change last spring. Spiking jet fuel prices and passenger resistances to higher fares started airlines looking around the cabin for things they could charge extra for.

Passengers are finding it's a lot easier for the airlines to add the fees than to take them away.

"They're going to keep nudging them up until they run into market resistance," said Ed Perkins, a contributing editor at the Web site Smarter Travel.

That's what happened at US Airways. It tried for seven months to charge for soda and water but gave up in March after no other airlines took up the idea. And Delta scaled back a plan to charge $50 to check a second bag on all international flights. Instead, the charge will apply only on flights to Europe.

United has been a leader in finding ways to charge passengers separately for things. Some are for perks coach travelers used to get for free, like food. Others are new services altogether, like United's door-to-door luggage service via FedEx.

Airlines say fees are part of "a la carte" pricing that allows them to hold the line on fares. Rather than charge higher fares to everyone, they say, passengers can pick and choose the extras they want to pay for.

Ideas for fees don't come out of thin air. Last month in Miami most of the big U.S. carriers and many overseas airlines attended a conference devoted to a-la-carte pricing and fees. (Motto, next to a cartoon of an airliner: "Discovering the flying store.")

Some fees stretch the imagination: The CEO of European discount carrier Ryanair has floated the idea of charging for lavatory use and sick bags. But even he hasn't gone ahead with what appears to have been a publicity-seeking gambit, and no other carrier has suggested such a charge.

Still, there's no rule against such a fee in the U.S., according to the Department of Transportation and the Federal Aviation Administration.

Delta Air Lines Inc. and AirTran Holdings Inc. say they have no plans to tack a fee on to carry-on bags, an idea that would almost certainly annoy passengers just getting used to paying for checked baggage.

It would also put airline workers in the awkward position of deciding whether that bag on your arm is a big purse, presumably free, or a lumpy suitcase. Already, fees for checked bags have made finding space in the overhead bin tougher.

And even if carry-on bags stay free, United is already offering a "Premier Line" check-in for $25. It allows fliers to get through check-in and security faster and board earlier.

That guarantees some of that precious overhead space _ so in a way, it's like a carry-on fee, said Jay Sorensen, president of IdeaWorks Co., an airline consultant who has written a guidebook for airlines seeking "ancillary revenue," the industry term for fees and extra services such as airline credit cards.

Matthew J. Bennett, CEO of FirstClassFlyer.com, said he thinks travelers in the front of the plane will remain immune from the nickle-and-dime fees airlines aim at coach passengers.

For those in coach, though, "What they are going to charge for in the future is anything that's not bolted down."

"They've already gotten sufficient revenue from them," Bennett said. "All they're saying to coach-class travelers is 'We really haven't gotten enough from you.'"

___

AP Business Writer Samantha Bomkamp in New York contributed to this report.

MINNEAPOLIS — As if charging $15 to check a bag weren't enough, two airlines are asking for $5 more beginning this summer if you pay at the check-in counter _ a fee on top of a fee. Of course, ...
MINNEAPOLIS — As if charging $15 to check a bag weren't enough, two airlines are asking for $5 more beginning this summer if you pay at the check-in counter _ a fee on top of a fee. Of course, ...
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- EndTheEcho I'm a Fan of EndTheEcho 8 fans permalink
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If Ryanair ever does the charge for bathroom use. I suggest someone protest in a way that will end that concept for ever. Someone needs to man up and piss themselves in flight. I am sure that clean up hasn't been assigned a fee (yet), and they MAY see the error of their flawed idea.

    Favorite    Flag as abusive Posted 09:02 PM on 06/24/2009
- KarateKid I'm a Fan of KarateKid 263 fans permalink
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Southwest Airlines........No. 1

United Airlines, US Air, American, Delta, Continental all suck.

    Favorite    Flag as abusive Posted 08:49 AM on 06/23/2009
- LCLA I'm a Fan of LCLA 19 fans permalink
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I've always enjoyed travel, but we are flying much less. No flights at all in 2009. Between tthe security people making grandma strip down and do the hokey pokey, the economy in the ditch, and these add-on fees, it is just not worth it anymore.

    Favorite    Flag as abusive Posted 10:13 PM on 06/22/2009
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Odd, liberals love it when the government charges more and more fees to provide services.

    Favorite    Flag as abusive Posted 10:02 PM on 06/22/2009
- KarateKid I'm a Fan of KarateKid 263 fans permalink
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Odd, and conservatives love it when deregulation enables airlines to stick it to passengers.

    Favorite    Flag as abusive Posted 08:45 AM on 06/23/2009
- EndTheEcho I'm a Fan of EndTheEcho 8 fans permalink
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Actually, here in Minnesota, we liberals have been bitching and moaning about Governor Tim "less than 50 percent" Pawlenty's no new taxes pledge that has led to increased fees.

Of course, besides the fees that were caused because lowered Local Government Aid funding, he also pushed through a cigarette tax increase, wait not tax, but health impact fee.

    Favorite    Flag as abusive Posted 08:57 PM on 06/24/2009
- damasview I'm a Fan of damasview 9 fans permalink
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I am so sick of the airline mafia. who is running the companies? I don't get it... prices are high, they charge for 1st luggage and increase the price for the second one, taxes & fees that don't make sense, $6 bucks for a little bottle of liquor & they still can't make a profit? I wonder how much CEO's make for doing a crappy job, probably millions and millions.

    Favorite    Flag as abusive Posted 09:28 PM on 06/22/2009
- lostagain I'm a Fan of lostagain 2 fans permalink

"Last month in Miami most of the big U.S. carriers and many overseas airlines attended a conference devoted to a-la-carte pricing and fees." Sounds like price fixing to me. Maybe it's time for the Justice Dept. to look into collusion on pricing and fees among the airlines. It's already pretty clear that there is almost no real competition in the US market among the majors and most small players(except South West). Last I anti-competitive practices and price collusion were illegal.

    Favorite    Flag as abusive Posted 08:35 PM on 06/22/2009
- EndTheEcho I'm a Fan of EndTheEcho 8 fans permalink
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Collusion is what I thought about that meeting.

    Favorite    Flag as abusive Posted 08:59 PM on 06/24/2009
- LintLass I'm a Fan of LintLass 23 fans permalink

Way to make it not worth my while to fly at all. :)

    Favorite    Flag as abusive Posted 07:40 PM on 06/22/2009
- wakeup804 I'm a Fan of wakeup804 18 fans permalink

Southwest...no fees....no second bag fee, and if you can't make your flight, the ticket is good for a year, or you can use the money spent on the first ticket towards the purchase of another ticket to a different location. i have never had an issue with them.

    Favorite    Flag as abusive Posted 06:41 PM on 06/22/2009
- LCLA I'm a Fan of LCLA 19 fans permalink
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That's just fine if you live in a major city. Southwest just doesn't fly to anything but major hubs.

    Favorite    Flag as abusive Posted 10:15 PM on 06/22/2009
- gratonite I'm a Fan of gratonite 7 fans permalink

Remember when we gave United that 5 billion dollar bailout? Jerks.

    Favorite    Flag as abusive Posted 05:31 PM on 06/22/2009
- nomorefed I'm a Fan of nomorefed 3 fans permalink


If the truth were being reported we'd be having riots in the streets. And meanwhile the top execs in banks and brokeragesa that caused such a mess are STILL employed and making millions while laying off THOUSANDS of people that actually do work. If you know anyone in banking that's still employed, odds are they are doing the work of three people so the top execs can show 'savings' and contineu collecting mega-incomes.

good articles: href=".http://www.bit.ly/12NCJR>recommended reading

    Favorite    Flag as abusive Posted 05:12 PM on 06/22/2009

I think the airlines are making a huge mistake. Flying is becoming so inconvenient and such a hassle why bother? I think they are driving away customers just at the time they need to be attracting them. I am angry and bitter about all the add on fees and will avoid flying whenever possible.

    Favorite    Flag as abusive Posted 05:06 PM on 06/22/2009
- Brillig I'm a Fan of Brillig 11 fans permalink

I still think the TRAIN is a good alternative. Why don't we try that, and just use airplanes for emergency trips?

    Favorite    Flag as abusive Posted 04:56 PM on 06/22/2009

Big companies still have not figured out that this is NOT the time to be playing around with fees because they are trying to support their big bonuses, golden parachutes and the like.
Can not wait to see how this works out for them. Willing to bet that the number of people flying will drop dramatically.
Greed will get you NO where.

    Favorite    Flag as abusive Posted 04:53 PM on 06/22/2009
- wakeup804 I'm a Fan of wakeup804 18 fans permalink

It's just a matter of time before they charge for pressurized air.

    Favorite    Flag as abusive Posted 06:38 PM on 06/22/2009
- Phil Waste I'm a Fan of Phil Waste 10 fans permalink

Airlines are missing several good opportunities to make some extra cash.

You know those seats on the international flights that the flight attendances use to sleep in with a screen that wraps around, well these could be sold to the highest bidder so that they could join the mile high club. The airlines could sell these seats for twice the going first class rate.

Second missed opportunity is the restrooms on long international flights and even the shorter ones. Make them pay toilets with a dollar bill slot next to the door. Now here is how it would work. They could charge say two bucks while still within say twenty mile of the departure airport and then increase the price a dollar for every hundred miles covered towards their destination. On some of the longer flights this could be a real money maker.

    Favorite    Flag as abusive Posted 03:50 PM on 06/22/2009
- Synthon I'm a Fan of Synthon 3 fans permalink
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And think of how much money they could make if they not only supplied the partitioned "sleeping" area, but also the partner for you to achieve the Mile High Club. Yowsa.

    Favorite    Flag as abusive Posted 05:01 PM on 06/22/2009

"Second missed opportunity is the restrooms on long international flights and even the shorter ones. Make them pay toilets with a dollar bill slot next to the door."

This is already happenning over here in Europe. Ryanair (yep, the same ones who charge to check in) are now introducing a policy where it costs £1 (£1.50) to use the toilet.

    Favorite    Flag as abusive Posted 08:17 PM on 06/22/2009
- JipC I'm a Fan of JipC permalink
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My husband says that if the next time he flies and that airline charges to use the toilets, he will just use the aisle! I love my husband!!! And, hey, accidents happen! : P

    Favorite    Flag as abusive Posted 09:12 PM on 06/22/2009
- bdar I'm a Fan of bdar permalink

When booking flights on Allegiant airlines they assign seats for two travelers several rows apart so that when look at seat assignments and try to choose your seats together they can then charge $30-$40 each and on a round trip they add over a $120 to fare. They also have several fees listed (in TINY PRINT) at bottom of web page. This will add several dollars to fare. This is in addional to taxes and fees already included in quoted fare. So when they advertise their fees that are under $100.00 be sure to make sure these fees are all included. They also add close to $100.00 to total fares!!!

    Favorite    Flag as abusive Posted 02:58 PM on 06/22/2009
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