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UA Leads In Ancillary Revenue $1.9B  
User currently offlinebjorn14 From Norway, joined Feb 2010, 3680 posts, RR: 2
Posted (4 years 5 months 2 days 7 hours ago) and read 2423 times:

Airlines collected $13B worldwide in ancillary revenues with UA the leader.

http://www.chicagotribune.com/busine...line-fees-20100721,0,5103707.story

Have airlines exhausted this kind of revenue generation? Will the public at some point pushback?


"I want to know the voice of God the rest is just details" --A. Einstein
6 replies: All unread, jump to last
 
User currently offlineLAXintl From United States of America, joined May 2000, 26147 posts, RR: 50
Reply 1, posted (4 years 5 months 2 days 7 hours ago) and read 2407 times:

Yes some fantastic income, and according to United's earning call, they estimate another $600mil still out there that could potentially be generated by them.


From the desert to the sea, to all of Southern California
User currently offlineDeltaMD90 From United States of America, joined Apr 2008, 7978 posts, RR: 51
Reply 2, posted (4 years 5 months 2 days 1 hour ago) and read 2151 times:

Just wait til the heroes in DC get their hands on the industry  


Ironically I have never flown a Delta MD-90 :)
User currently offlineontime From United States of America, joined Jul 2007, 65 posts, RR: 0
Reply 3, posted (4 years 5 months 2 days 1 hour ago) and read 2132 times:

Does this include fees for passengers to move up to Economy Plus? If so, it would make sense that United would lead the pack, since no other domestic airlines has so many "premium" seats in coach to sell (most sell just a few exit rows and bulkheads, whereas United has an entire section of coach seats to upsell.)

User currently offlinecatiii From United States of America, joined Mar 2008, 3092 posts, RR: 4
Reply 4, posted (4 years 5 months 1 day 22 hours ago) and read 1981 times:

Quoting LAXintl (Reply 1):
they estimate another $600mil still out there that could potentially be generated by them.

Did they say off of what sources?


User currently offlineBD338 From United States of America, joined Jul 2010, 739 posts, RR: 0
Reply 5, posted (4 years 5 months 1 day 19 hours ago) and read 1785 times:

Quoting bjorn14 (Thread starter):
Have airlines exhausted this kind of revenue generation? Will the public at some point pushback?

Not exhausted yet, many US airlines are not yet charging for 'early boarding' for example, WN the obvious exception. I don't think airlines are even beginning to exploit the possibility of sales on board. With many flights having PTV and wireless/Sat TV, is there the prospect of SkyMall seatback shopping with the airline getting a slice of the sales? Paying for the PTV movies?

As airlines have gradually been making the lower levels of the FF elites less attractive than previously enjoyed (2nd boarding group, no use of the FF security lanes, lesser chance of upgrades etc.) I can see the prospect of an airline attempting to bring the checked bag fees to the bottom level elite group level. (This would naturally be offered at a "discount" from the full price, as reward for being a "valued FF" while conveniently ignoring the fact it would be an increase - but I digress). Maybe they will charge you to print your boarding pass at home, just like Ticketmaster (a specialist in rip-off fees that even FR would probably be embarrased by) charge so you can use your own ink and paper to print the event tickets they are providing.

Pushback? yes, at some point but the airlines haven't found it yet, otherwise we flying folks would not be forking over $13bn in fees over and above the fares.

I don't really object to fees for bags, meals etc. especially when I know it is a real cheap fare but when it is something fundamental to the flight that cannot be avoided such as, check in fees (Ryanair are you listening?) and fuel (LH are you listening - 50GBP fare + 125GBP tax/fees/fuel you tried to con me with last week) I do object, I can't fly without checking in and the aircraft can't fly without fuel, there is no choice in those fees. Been charged $1000 for a flight on a non-refundable fare and then finding out there is still a $25 bag charge is another pet peeve. (US provided that little gem). So I guess I am starting to find my level of pushback.


User currently offlineLAXintl From United States of America, joined May 2000, 26147 posts, RR: 50
Reply 6, posted (4 years 5 months 1 day 18 hours ago) and read 1754 times:

Quoting catiii (Reply 4):
Did they say off of what sources?

Not really, except one little comment to put things in perspective that only 40% of flyer's today were paying for some form of product unbundling.



From the desert to the sea, to all of Southern California
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