Travelers arrive for flights at O’Hare International Airport in Chicago on March 16, 2021.
Scott Olson | Getty Images News | Getty Images
Airlines are once again increasing their baggage check-in prices. However, how much it will cost you depends on when you pay for the service.
United Airlines, American Airlines And JetBlue Airways are among the airlines that have increased checked baggage prices this year. Each of them charges customers more if they check their luggage at the airport or just before departure than if they pay to check their luggage online in advance.
Airlines encourage customers to pay to check their luggage before the flight. Airlines argue that this approach will ease the burden on staff in check-in areas and get travelers to their gates more quickly.
Earlier this week, American Airlines increased checked baggage fees for the first time in more than five years, adopting the two-tier strategy that United, JetBlue and several budget airlines already have in place.
American Airlines customers traveling by coach will pay $35 to check their first bag on domestic flights if the service is booked in advance online, or $40 if they purchase the option at the airport, the airline said on Tuesday with. American Airlines previously charged $30 for both services.
There are exceptions. Customers who have a specific airline or other rewards credit card, travel in top class, or have elite frequent flyer status can generally check at least one piece of baggage for free on domestic or short international flights.
Why is it cheaper to check in a piece of luggage in advance?
“This allows our team members to spend more time with customers who need additional assistance with their travel,” an American Airlines spokeswoman told CNBC.
American also announced this week that it would reduce fees for slightly overweight bags, which forced some travelers to remove items from their luggage at the airport at the last minute to meet the limit.
The different fee levels are an approach that ultra-low-cost airlines already had when it came to baggage fees.
“It gives people an incentive to complete the transaction. It’s easier for them, and frankly it’s easier for us,” he said Frontier Airlines CEO Barry Biffle. “There are people who need legitimate help” at the airport.
Prices vary depending on demand and other factors. Most travelers who add additional luggage pay the fee upfront, Biffle said.
United began charging customers higher fees to pay for checked baggage at the airport in 2020. On Friday, the airline said it would increase baggage fees by $5 to $35 for most flights in North America if customers prepay online at least 24 hours before their flight. otherwise $40, beginning with bookings February 24th. A second checked bag is $50 or $45 at least 24 hours in advance.
Why are airlines increasing baggage fees?
Baggage fees are a big moneymaker for airlines. According to the latest Transportation Department data, U.S. airlines collected more than $5.4 billion from baggage fees in the first nine months of 2023, an increase of more than 25% from the same period in 2019.
Airlines have argued that higher costs such as labor and fuel, their biggest expenses, have forced them to increase baggage fees.
“While we dislike fee increases, this is a step we are taking to return our company to profitability and cover the increased costs of baggage transportation,” JetBlue said in a statement about the recent hikes. “By adjusting fees for additional services that only certain customers use, we can keep base rates low and ensure customer favorites like seatback TVs and high-speed Wi-Fi remain free for everyone.”
Ground operations employees load luggage onto a Southwest Airlines Boeing 737 aircraft on the tarmac at John Wayne Airport in Santa Ana, California.
Patrick T Fallon | Bloomberg | Getty Images
Southwest Airlines is an outlier among major U.S. airlines. This allows customers to check in two pieces of luggage free of charge. “That’s how it’s going to stay,” said Chief Operating Officer Andrew Watterson.
“It doesn’t cost us $35 or $40 to handle a bag,” Watterson said in an interview. Many major airline customers bring carry-on bags to avoid baggage fees, but Watterson said that could slow operations, a big deal for Southwest, which he said is trying to turn planes around for the next flight in 45 minutes, or even less for some its smaller Boeing aircraft.
“It makes it easier to operate because people are checking it instead of pushing it,” he said. “Overall we think the benefit is a combination of some efficiencies but also getting customers coming back to us. A repeat customer business cannot be overestimated. And if you treat your customers well and offer them a fair policy, they will keep coming back.”
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2024-02-24 13:00:01
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