Language:

Category Archives: Fares

How airlines avoid self-incrimination

delta5It may have happened in early 2016, when American Airlines, Delta Air Lines and United Airlines agreed to change the pricing rules for multi-city trips. As a result, such trips became very expensive, in extreme cases as much as 5 times the normal price according to the Business Travel Coalition (BTC), a traveler advocacy organization. The 3 legacy carriers introduced the new pricing rule in March 2016. They did not announce it publicly and in advance, because they hate transparency. It smelled like silent collusion,...
Read more

Towards transferable tickets

ticketsYou purchased a ticket, but you cannot fly due to illness or any other unexpected reason. What to do with your ticket? You cannot give or sell it to someone else because it is not transferable. Thus, you will lose your money unless you have an expensive, refundable ticket or a travel insurance that covers cancelation. But the airline will gain as it can sell your seat for a second time. In Europe there is an exception when the ticket is part of a package deal (flight plus accommodation and/or rental car). EU...
Read more

Sky-high prices in the skies

EP0ET1 A flight attendant member of the cabin crew serving food on a Monarch Airlines airplane from Madeira to Gatwick airport, UK In particular low cost airlines charge fees for everything they can think of. Virtually the only thing they do not (yet) charge for is the use of a lavatory. For some items they charge sky-high prices. Online travel agent Kayak looked at prices that low cost carriers charge for drinks and snacks. These prices appear not just a bit higher than in shops, but up to more than 20 times...
Read more

When to buy your ticket?

credit1You are planning a trip, but you wonder when would be the best day to buy your ticket. The short answer is: there is no best date to purchase a ticket. Cheapair looked at 1.3 billion air fares in their annual air fare study as they call it. Their bottom line is that the best day to buy a ticket 54 days in advance. At least, that is the average they find for travel within the USA in 2015. This does not imply that you should always buy your ticket 54 days...
Read more

Are credit card surcharges legal?

Creditcard1If you buy a ticket with departure from the USA you can pay by credit card with no surcharge. When you purchase a ticket with departure from Europe, however, the airline will charge a credit card surcharge. It illustrates that a credit card surcharge has nothing to do with cost, but rather with market forces. If a carrier selling tickets in the US market would charge a credit card surcharge it will lose many passengers because other airlines do not do so. In Europe airlines can charge a credit card surcharge because other...
Read more

A profit surcharge

Air France/KLMWe are receiving again questions about the fuel surcharge. The questions are not always exactly the same, but they boil down to the same: why does the fuel surcharge still exist despite the current low oil price? For western airlines it is formally not correct that the fuel surcharge still exists, but substantially it is. A number of Asian carriers recently abolished the fuel surcharge now the oil price has plunged so much that it would be a reason for a fuel discount rather than a surcharge. Actually, the fuel surcharge...
Read more