How airlines with extra charges fill the coffers – News Economy: Business



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International airlines are looking for new ways to ask passengers to check in several times. According to Ideaworks consulting firm surveys, the fees for checked baggage belong to the largest sources of revenue in addition to pure ticket costs. Once included in the ticket price for luggage transport is increasingly necessary in the base fare on long-haul flights over the North Atlantic. Norwegian does not even include food in the cheapest standard ticket.

The first companies, such as the American airline Spirit or the Mexican company Volaris, began to fix prices dynamically for certain services, according to a study presented Tuesday. For example, the demand for particularly high prices for their bags.

The Jet2.com jet is taking a different path and is turning more and more to a tour operator to offer its customers excursions or car rentals. For the return flight, passengers will have the option of depositing their luggage at the hotel for a fee. More than 450 assistants in the destinations were hired

Ryanair and Easyjet in the Top Ten

The US company United has registered 5 passengers out of 5 during the past year, in more than the pure sale of tickets $ 75 billion in additional revenue, according to the survey commissioned by the Cartrawler mobility services provider. Revenues reached 41% of the frequent flyer program and 59% of additional services such as extra baggage, free choice of premises or brokerage commissions for hotel rooms or rental cars

. and Easyjet ($ 1.3 billion) among the top ten companies in terms of passenger revenue. According to Ryanair, half of the passengers are now paying the seat. Together, the top 10 suppliers generated additional revenues of $ 29.7 billion. Ten years ago, the sum of 2.1 billion had not even reached the tenth.

Already the hand luggage cost

The Hungarian Wizzair makes more than 41% of its turnover with the auxiliary enterprises. At Lufthansa, the additional income has increased significantly according to the $ 1.95 billion study last year. The highest per capita business figure, just under $ 51 per flight, marked the US airline Spirit, but continues a radically radical pricing system, in which hand luggage is more expensive [19659002] to cash. In Europe, nearly one in ten sales comes from additional charges in 2017, which is also explained by the large share of low cost airlines in total air traffic. These have pushed the system of overhead to the point that conventional companies have copied the concept entirely or at least partially for competitive reasons.

On other continents, there are fewer low-cost airlines that require their customers to pay for each additional service. Experts expect, however, that the product of additional activity in other markets will come closer to the European level. (seven / sda)

created: 17.07.2018, 16:51

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