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Costs To Airlines Of Upgrades  
User currently offlineGrozzy From Australia, joined Oct 2007, 155 posts, RR: 0
Posted (6 years 4 months 3 weeks 5 days 19 hours ago) and read 2016 times:

How much does it cost an airline to give an upgrade? I am thinking of the situation where the seat would not otherwise have been occupied by a paying passenger. It would cost a bit more for food and drink in the plane and lounge, but are there any other expenses? If the extra cost were negligible this would make a free flight much better value for FF points than an upgrade.

3 replies: All unread, jump to last
 
User currently offlineBHXFAOTIPYYC From Portugal, joined Jun 2005, 1644 posts, RR: 0
Reply 1, posted (6 years 4 months 3 weeks 5 days 19 hours ago) and read 1998 times:

If someone has a planned upgrade i.e. trading in miles/points it is always subject to availability. Carriers assign very few seats per flight to free travel. The cost of free travel is factored in to the fares structure anyway as a necessary part of business (you want repeat business hence FF programs etc). If you are lucky enough to get upgraded at check-in or at the gate you won't have extra luggage (if your allowance would be increased travelling in J or F) so there is no additional cost there.


Breakfast in BHX, lunch in FAO, dinner in TIP, baggage in YYC.
User currently offlineGeorgebush From New Zealand, joined Jul 2006, 679 posts, RR: 0
Reply 2, posted (6 years 4 months 3 weeks 5 days 17 hours ago) and read 1917 times:

A last minute upgrade virtually costs the airline nothing. Like the previous poster said, an upgrade given at the gate is not going to result in the airline carrying any excess baggage and if we give an upgrade, the catering is already on board which would go off if otherwise unused. So no, there is no cost (with the exception of certain alcoholic beverages) to the airline for last minute upgrades. The reason they dont do it, is whats to stop people from not paying for it if they know they will just get it for free. Gotta keep it special. I would much rather send a plane with one person in a premium cabin who actually paid for it, than stuff a few more Y flyers up there for free. Keeps it special.


Al Gore invented global warming.
User currently offlineCV990Coronado From South Africa, joined Nov 2007, 337 posts, RR: 0
Reply 3, posted (6 years 4 months 3 weeks 5 days 14 hours ago) and read 1815 times:
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I think George Bush has it right from the airline point of view - although who doesn't like a free upgrade. I think the ease of upgrades in general is a problem for the US airline industry overall. More free upgrades = less pax prepared to pay for F & J which means lower F & J standards for service and seating which = less pax prepared to pay F & J until have airlines who can't attract enough premium paying customers. The result is aging fleets and airlines who don't have the financial mussle to launch new aircraft i.e Japanese carriers are the launch customers for the 787 not US carriers as in 777 767 757 727 etc.


SSC-707B727 737-741234SP757/762/3/772/WA300/10/319/2/1-342/3/6-880-DAM-VC10 TRD 111 Ju52-DC8/9/10/11-YS11-748-VCV DH4B L
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