Jerseyguy
Topic Author
Posts: 2038
Joined: Sun Oct 30, 2005 12:05 pm

Change Fees: $150 For Something That Costs $10

Fri Oct 21, 2011 6:13 am

Why do airlines charge $150 to change a ticket that even if it's done over the phone with a rep that is being paid to do it costs them $10 max. I realize they have to make a profit but $140 on a $10 item. Hell Southwest finds a way to charge $0 to change a ticket. $150 is really outrageous, it's on of many reasons I choose southwest.
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MEA-707
Posts: 3672
Joined: Mon Nov 15, 1999 4:51 am

RE: Change Fees: $150 For Something That Costs $10

Fri Oct 21, 2011 8:11 am

It has nothing to do with the costs of the call center. It's yield management. If ticket changes were cheap, very few passengers would buy the much more expensive flexible tickets anymore. Their business model is based on a combination of flexible full fares and cheap nonrefundable fares, and on the fact that some people don't show up so they can overbook.
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Cubsrule
Posts: 11665
Joined: Sat May 15, 2004 12:13 pm

RE: Change Fees: $150 For Something That Costs $10

Fri Oct 21, 2011 12:26 pm

Quoting MEA-707 (Reply 1):
Their business model is based on a combination of flexible full fares and cheap nonrefundable fares, and on the fact that some people don't show up so they can overbook.

Why, then, does WN - with no change fees - have a higher percentage of full fare purchases than most other airlines?
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