Hey, baggage fees — happy fifth birthday!
Even if passengers aren't eager to celebrate, airlines are. The fees, born in 2008, helped financially desperate carriers stay aloft as the U.S. economy was spiraling down.
"That was a watershed year that scared the bejeezus out of the airline industry," said Mark Gerchick, an aviation consultant who has just released a book, Full Upright and Locked Position. Even as ticket sales were sliding, jet fuel prices were shooting to historic highs.
"Suddenly, everyone's thinking changed in the industry," he said. Rather than try to provide a single price for comprehensive service, airlines started charging fees — typically $15 per bag — to boost revenues.
Today, fees are not only the norm; they are heading higher still. Checking a bag now costs $25 to $35 on most domestic flights, and roughly three times that amount on many overseas flights. And on any given flight, just about everything comes with a price tag — from 2 more inches of legroom to a can of Coke.
One carrier, Denver-based Frontier Airlines, has announced it soon will begin charging up to $100 for a single carry-on bag for any customer who fails to book through the company's own website.
Having people book directly online eliminates payments to travel agents and "is a big cost saver for us," Frontier spokeswoman Kate O'Malley said. And, of course, it also generates yet another stream of revenues.
Now United Airlines is trying a new approach, offering annual "subscription" fees to allow customers to prepay a year's worth of baggage fees, seat upgrades or airport club access. The plans start at $349 and allow you and your family to check up to two bags per flight.
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