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yuiyoshida

(41,832 posts)
Wed Mar 16, 2016, 10:33 AM Mar 2016

Airlines’ brazen robbery: Fees are out of control and ticket buyers have no real choice

Airlines pocketed nearly $3 billion last year from fees they charged passengers who needed to alter their flights



If you take the word f-r-e-e and rip the “r” out of it, what do you get? Two things, actually: One, instead of “free” you get “fee” — and then you get mad.

This is happening to millions of airline passengers who’re discovering that the advertised price of a ticket is not the half of it. Beaucoup fees have been added, charging us for items that previously were (and still should be) free. People’s rage-ometers zing into the red zone when they see that these fees-for-former-freebies will often more than double the cost of a trip.

Like diabolical bankers did years ago, top executives of airline corporations have learned to goose up prices and profits (as well as their own pay), by nickel-and-diming customers. Only their fees are way more than nickel and dimes. For example, if you schedule a flight, but something comes up and you have to change the time, day or destination of your trip — BAM! — airlines zap you with a $200 fee. Basically for nothing! Computers quickly make the change, costing the corporation a mere pittance, but rather than graciously accommodating your need and making you a satisfied customer, they pick your pocket and make you angry.

Gouging and infuriating ticket buyers might seem like a poor business model for the long run, but airline CEOs these days insist that their duty is not to please consumers, but only to make their major stockholders happy by maximizing their short-term profits. And, indeed, the rip-off is very lucrative for the corporate elite — airlines pocketed nearly $3 billion last year just from fees they charged passengers who needed to alter their flights.

http://www.salon.com/2016/03/16/airlines_brazen_robbery_fees_are_out_of_control_and_ticket_buyers_have_no_real_choice_what_a_business_model/
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Airlines’ brazen robbery: Fees are out of control and ticket buyers have no real choice (Original Post) yuiyoshida Mar 2016 OP
Folks don't like to hear this but I'll keep on saying it. Blue_Tires Mar 2016 #1
^^ yep ^^ dumbcat Mar 2016 #2
Yes but the other major factor here was deregulation of the industry. trotsky Mar 2016 #3
Bingo! trof Mar 2016 #4
People can always buy travel insurance for a few bucks extra when they buy their tickets. Nye Bevan Mar 2016 #5
They can also buy an unrestricted fare that allows for cancellations and reschedules without fees Major Nikon Mar 2016 #7
The cost to the airlines for changes is more than just administrative Major Nikon Mar 2016 #6
Rethugs will always tell you less regulation is good for business. lpbk2713 Mar 2016 #8

Blue_Tires

(55,445 posts)
1. Folks don't like to hear this but I'll keep on saying it.
Wed Mar 16, 2016, 10:41 AM
Mar 2016

But the flying public mostly brought this on themselves...

Since the travel sites allowed us to see all the fares at once, flyers make their choice on one factor and one factor only: Lowest fare... The airlines have catered to this by artificially lowering their fares for the travel sites while making that money back on the back end fees and extras...

trotsky

(49,533 posts)
3. Yes but the other major factor here was deregulation of the industry.
Wed Mar 16, 2016, 10:51 AM
Mar 2016

Initially it seemed like allowing airlines to compete was going to be good for consumers, but as the 30+ carriers became what now, 3 or 4?, individual airlines basically have a chokehold on their hubs, and can charge whatever the hell they want.

Nye Bevan

(25,406 posts)
5. People can always buy travel insurance for a few bucks extra when they buy their tickets.
Wed Mar 16, 2016, 11:20 AM
Mar 2016

Then if they need to change or cancel for a covered reason the insurance will pay the fee.

Major Nikon

(36,827 posts)
6. The cost to the airlines for changes is more than just administrative
Wed Mar 16, 2016, 11:47 AM
Mar 2016

If the change results in an empty seat for that flight that would otherwise be filled, the the airlines loses the revenue for that seat. Hotels also routinely charge fees for reservation changes for the same reasons.

lpbk2713

(42,760 posts)
8. Rethugs will always tell you less regulation is good for business.
Wed Mar 16, 2016, 11:57 AM
Mar 2016



... which is why cable and telecomm is getting to be such a cluster fug.

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