U.S. Airlines collected $6B in baggage and reservation change fees last year | TigerDroppings.com

Posted byMessage
rickgrimes
LSU Fan
Member since Jan 2011
2999 posts

U.S. Airlines collected $6B in baggage and reservation change fees last year


U.S. airlines collected $6B in baggage fees (+3.8% Y/Y) and reservation change fees (+7.3%) last year as the industry's model continues to shift. This year looks like it could bring airliners an even bigger haul with American Airlines (AAMRQ.PK), Delta Airlines (DAL +1.7%), United Continental (UAL +1.2%), and US Airways (LCC +2.4%) all raising their domestic flight fee change 33% higher to $200 while Southwest Airlines (LUV +0.5%) adds some cancellations fees of its own.

Link: LINK







Back to top
Share:
AUtigerNOLA
Auburn Fan
New Orleans, LA
Member since Apr 2011
9937 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


I hate paying baggage fees.





Back to top
Teddy Ruxpin
LSU Fan
New Orleans, LA
Member since Oct 2006
18518 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

I hate paying baggage fees.


Stop letting your wife pack so much shite.






Back to top
evil cockroach
LSU Fan
27.98N // 86.92E
Member since Nov 2007
5126 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


they really need a scale that you step on with yourself, carry-on, and checked bag. What ever your total weight is, that determines what you pay. Don't like it? Lose some weight!





Back to top
  Replies (0)
AUtigerNOLA
Auburn Fan
New Orleans, LA
Member since Apr 2011
9937 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


Its pretty frickin annoying though having to pay $50 a bag round trip.





Back to top
LSURussian
LSU Fan
Baton Rouge
Member since Feb 2005
80672 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

U.S. Airlines collected $6B in baggage and reservation change fees last year

Okay, is that bad or good?

I prefer unbundled services of all kinds. I just hope McCain's cable unbundle bill gets passed and signed into law.






Back to top
TheDiesel
LSU Fan
Houston via Baton Rouge
Member since Feb 2010
2418 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


The only time I have to pay for bags is when I go snow skiing and bring my skiis. Luckily my Amex reimburses me for $100 worth.

I'm ok with the fees to an extent. Extreme examples like Spirit are not worth it.






Back to top
Bmath
LSU Fan
TX
Member since Aug 2010
6395 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


I understand the need for fees because reserving a spot prevents someone else from booking a flight. The airline may then have a hard time selling that ticket last minute.

However, getting charged a hundred bucks to switch flights several weeks out is ridiculous.






Back to top
  Replies (0)
chauncey1
LSU Fan
Member since May 2010
163 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


I like the idea of paying by weight, but if you are under a certain weight they should put two people in one seat. You are still occupying seat capacity/volume and paying less. Another paying customer could have purchased that extra space.

Don't like it, pay for your additional space.

A 747 weighs 347,000 lbs empty. If you have 100 passengers that carry an extra 100 lbs each, that's 10,000 lbs. That's about 2.8% of the weight.

How about you divy up the weight of the plane by passenger and then add the persons weight and baggage in? That would be a little more fair.

Maybe the airlines should look at trying to drop a little of the 347,000 lbs and improve efficiency? Materials/ Flotation devices over land?

I'm really just pissed at a recent baggage fee and cancellation fee. Screw the airlines other than SWA.






Back to top
sneakytiger
LSU Fan
Member since Oct 2007
1104 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

Maybe the airlines should look at trying to drop a little of the 347,000 lbs and improve efficiency? Materials/ Flotation devices over land?

I remember seeing this on a CNBC "documentary" on American Airlines... the airline even looks at the profitability of the various magazines each plane carries (Skymall, etc) relative to the implied cost of fuel to carry it. If there is money to be saved by taking something off the plane, they take it off the plane, within reason or FAA regulation of course.



This post was edited on 5/14 at 2:15 pm


Back to top
  Replies (0)
AUtigerNOLA
Auburn Fan
New Orleans, LA
Member since Apr 2011
9937 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

I like the idea of paying by weight,


I guess thats ok. I just feel the baggage fees are more of a nickel and dime technique. Just really pisses me off but just have to DWI.






Back to top
BACONisMEATcandy
LSU Fan
Delta, Amex, & Über Threads
Member since Dec 2007
41364 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

I hate paying baggage fees.


I always get two checked bags for free... any when I get upgraded I get 3 bags






Back to top
  Replies (0)
LSUAfro
LSU Fan
Baton Rouge
Member since Aug 2005
10298 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

. I just hope McCain's cable unbundle bill gets passed and signed into law.
Ah yes. More government regulations telling private companies how to run their business. That's what we need.






Back to top
BACONisMEATcandy
LSU Fan
Delta, Amex, & Über Threads
Member since Dec 2007
41364 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

Ah yes. More government regulations telling private companies how to run their business. That's what we need.


I agree with this most of the time. But it's next to impossible to startup new types of certain business. A few off the top of my head:

-Cable TV provider
-Cell Phone Network Provider
-Credit card company

None of those business operate under a "free market" IMHO






Back to top
LSUAfro
LSU Fan
Baton Rouge
Member since Aug 2005
10298 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

But it's next to impossible to startup new types of certain business. A few off the top of my head:
So these companies that spent millions and millions on infrastructure with complete uncertainty of what technology will do to their products should change their business model because the government doesn't like it?

Come on...You can't pick and choose what you would like to government to handle up on for you because it most suits you. Slippery slope.

You don't want a CC, cell phone, cable, or internet, don't buy it. Stay out of private industry. Gubment already gives free internets at the library and also provides subsidized land line to homes.






Back to top
BACONisMEATcandy
LSU Fan
Delta, Amex, & Über Threads
Member since Dec 2007
41364 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


That's not what I am saying. I am merely pointing out it is not a true free market when it comes to those entities. Someone cannot merely decide to start a business like one of these.

Competition is what drives our free market system and if there is no competition they are going to charge whatever they feel like.

The gov't does this all time. Do you think gas stations should be able to increase the price of gas before a hurricane? There are laws against price gouging... I don't see any difference between the two.

quote:

You don't want a CC


The consumer is not the one who is hit with the charges in this field... the merchant is.



This post was edited on 5/15 at 1:47 pm


Back to top
LSUAfro
LSU Fan
Baton Rouge
Member since Aug 2005
10298 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

I am merely pointing out it is not a true free market when it comes to those entities.

Competition is what drives our free market system and if there is no competition they are going to charge whatever they feel like.
High barriers to entry doesn't mean it's not a free market. There is competition and anybody with the money can enter the party freely just as Google is now entering the cable/data provider market.

quote:

The gov't does this all time. Do you think gas stations should be able to increase the price of gas before a hurricane? There are laws against price gouging... I don't see any difference between the two.
In the midst of panic and disaster for the well being of a community, the government probably should intervene, and they do. There is a definite distinction between the two.

quote:

The consumer is not the one who is hit with the charges in this field... the merchant is.
I agree they suck, but the merchant doesn't have to take them and I know many merchants who don't and I don't blame them.



This post was edited on 5/15 at 1:56 pm


Back to top
BACONisMEATcandy
LSU Fan
Delta, Amex, & Über Threads
Member since Dec 2007
41364 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

In the midst of panic and disaster for the well being of a community, the government probably should intervene, and they do. There is a definite distinction between the two.


So you'd be ok if all Oil & Gas Companies decided they were going to start charging more for the price of gasoline and essentially set the price?

quote:

quote:

The consumer is not the one who is hit with the charges in this field... the merchant is.

I agree they suck, but the merchant doesn't have to take them and I know many merchants who don't and I don't blame them.


I agree whole heartedly with you and respect any business not willing to accept credit/debit cards. However, if you don't think they lose out on a ton of business you are sadly mistaken. You and I are the exception to the rule.

quote:

More government regulations telling private companies how to run their business


Back to the point at hand... 999999/1000000 I agree... but there are some instances (which you even agreed) where regulations are needed.






Back to top
  Replies (0)
Blue Velvet
Colorado State Fan
Kenai, Alaska
Member since Nov 2009
15525 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

I just hope McCain's cable unbundle bill gets passed and signed into law.
Sarcasm?






Back to top
  Replies (0)
LSUtoOmaha
LSU Fan
Nashville
Member since Apr 2004
21118 posts

re: U.S. Airlines collected $6B in baggage and reservation change fees last year


quote:

The consumer is not the one who is hit with the charges in this field... the merchant is


Which means both the consumer and the merchant are.






Back to top


Back to top