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The movement of People, Goods and Ideas.
NIM is TranSystems' e-newsletter distributed to more than 10,000 subscribers nationwide.  The electronic publication features top news and expert commentary on target market segments in the transportation industry.
Baggage fees send airline revenue soaring
The old adage is always relevant – It seems that you can fool some of the people all of the time.
 
Article Commentary - A Step Further...
The old adage is always relevant – It seems that you can fool some of the people all of the time. The airline industry has tried to raise fares without raising fares for the last couple of years. Maybe they will not notice that they are paying $50 to $100 more than the stated fare by the time they pay extra for bags, snacks, the seat belt, permission to use the bathroom and so on (ok, the last two have yet to be widely implemented). The airlines are reaping the rewards with billions of dollars of extra revenue but passengers have been none too pleased by the nickel and diming. The airlines that have avoided the bulk of the extra fees are getting more business as passengers react to the assertion that they are not being ripped off. At the same time there are airlines that have gotten even more aggressive with the fees – charging for carryon baggage. It would seem that the only way to avoid fees these days would be to fly in a manner that would arouse the suspicion of the TSA – entirely without luggage.

The analysts have been asserting that a passenger rebellion is due any day but thus far it has not emerged in a big way. People are still flying the carriers that charge them and probably will continue to as long as there are restrictions on the number of flights. The days of passenger accommodation are long gone – no schedule adjustments, no service, no perks and no guarantee that one will get what one pays for. The problem for a passenger is that there is no alternative to long distance travel on a tight time line.

The most likely next wave of fees will focus on other aspects of the consumer experience. Some of the ideas floated have included charging for the right to sit in a waiting area close to the gate, charging extra for assistance in boarding the aircraft and charging for the use of the lavatory. This latter idea has been tried in Ireland but was abandoned after male passengers expressed their displeasure in a unique manner.
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