Wednesday, August 4, 2010

Airline ancillary fees run amok- a real example

To appreciate how problematic ancillary fees have become to business travel managers and passengers, we thought of providing an actual example of a business trip for a client.

Origin: Washington/Dulles
Destination: Reno, Nevada
Fare Description: Supersaver 21-day advance purchase: Total airfare $690
Action: Company approves travel at the $690 fare quoted.
Electronic ticket: issued
Upon check-in, passenger prompted if he would prefer to "upgrade" to a better seat.
Airline offers a range of $25 for an exit row aisle and up to $89 for "Premium Economy" (each way). Passenger opts for the Aisle exit($50). Checked bag: Yes, adding $50. Onboard "amenities": $7 snack box and $10 for a pillow and blanket. WiFi internet purchased $9.95 each way, plus one cocktail at $8. Passenger was offered but declined the "express security lane fee", and the "priority boarding fee".
Actual cost of the ticket after the added fees: $834.90

The undisclosed fees are causing additional burdens and complications on business travel. Reimbursements can be confusing and awkward as most of these amenities were included free of charge in the past.

Spirit Airlines has tacked on a carry-on bag fee which they claim "expedites" the boarding process.

One airline in Europe is even exploring a bathroom fee.

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