Newsstand - WSJ: Baggage Becomes A Big-Ticket Item...




Tenacious
Mar 11, 08, 12:46 pm
THE WALL STREET JOURNAL

March 11, 2008

Pack light or pay up.
Forcing customers to pay for service previously included with ticket purchases, UAL Corp.'s United Airlines and US Airways Group Inc. will begin charging $50 round-trip for checking a second piece of luggage on May 5, and Southwest Airlines Co. has already implemented a similar fee for checking a third bag. Other airlines may follow, eager to collect hundreds of millions of dollars without raising ticket prices.
Airlines are under severe financial pressure from high fuel prices, and their finances may worsen if recession curbs some travel. Carriers have been scrambling for ways to "up-sell" fliers, including selling first-class upgrades, fancy alcoholic drinks and day passes to airport clubs.
But they've also been stripping out previously free services and charging customers for anything more than basic transportation -- everything from use of skycaps and telephone reservationists to on-board meals and, at a few carriers, assigned seats and exit-row or bulkhead legroom.

http://online.wsj.com/article_print/SB120519352406325701.html


emanresu
Mar 11, 08, 5:13 pm
So they think raping passengers who already are struggling in this economy is a good idea in the long run?

Riiiigghht.....

sbm12
Mar 11, 08, 5:32 pm
I'm just impressed that the WSJ finally caught up to this story. It has been a couple weeks since UA matched US, and it took them a few weeks to do that. I wonder if this is a story that the write and then sit on until they don't have anything useful to publish so they use this to fill the space.

I really wonder how much revenue this will drive. I can't imagine it is that much, but then again I never cease to be amazed by the number of times people have overweight baggage for a 3-day weekend, so what do I know.


emanresu
Mar 11, 08, 5:59 pm
Not everyone who takes a lot of luggage is a vain overpacker. There are legitimate reasons for using your full allowance. There are already EU carriers charging for ANY checked luggage so mark my words it will happen in the US too.

Some fat cat CEOs are lining their pockets and the real workers are still laid off or paid squat.

Tenacious
Mar 12, 08, 1:58 pm
Not everyone who takes a lot of luggage is a vain overpacker. There are legitimate reasons for using your full allowance.

^

LAX
Mar 14, 08, 10:11 pm
Not everyone who takes a lot of luggage is a vain overpacker. There are legitimate reasons for using your full allowance. There are already EU carriers charging for ANY checked luggage so mark my words it will happen in the US too.

Some fat cat CEOs are lining their pockets and the real workers are still laid off or paid squat.

That's so true! If the airlines are in such dire financial shape, why does upper management get millions? I can understand the payoff if the company is raking in cash. However, they still make millions despite the company being in red.

LAX

Pizzaman
Mar 15, 08, 10:06 pm
I really wonder how much revenue this will drive. I can't imagine it is that much, but then again I never cease to be amazed by the number of times people have overweight baggage for a 3-day weekend, so what do I know.

It may not necessarily generate a ton of revenue, but if people pack less bags/lighter bags, this *could* lead to fuel and labor savings. I would imagine the fuel savings to be minimal, but loading/unloading less bags could prove to add a noticeable (if not substantial) amount to the bottom line.

alcathiax
Mar 16, 08, 5:26 am
So they think raping passengers who already are struggling in this economy is a good idea in the long run?

Riiiigghht.....

I agree with you. It is kinda like Hawley-Smoot (http://en.wikipedia.org/wiki/Smoot-Hawley_Tariff_Act) minus the government.

oldpenny16
Mar 16, 08, 6:31 am
If people are struggling in the economy do they need to travel by air?

I hear people all the time saying they want the bargain fares, the cheap prices for air, the cruises, for hotels and for restaurants.....so why not pay for that 2nd checked bag?

We will know the economy is really in trouble when people stop flying for pleasure.

camerawork
Mar 16, 08, 9:47 am
How many posters on this forum fly "for fun"? I haven't flown for fun for 25 years! My bags are heavy because I need what is in them (including the stuff TSA & the baggage handlers rip-off from my cable tied or "approved" lock luggage. I don't mind the chance to buy a cheap upgrade (find me a flight to the EU that has empty seats in first) but give me a break on baggage. If you are a ff, regardless of status, the 2nd bag should be free.

CarolDisney1
Mar 16, 08, 9:49 am
So they think raping passengers who already are struggling in this economy is a good idea in the long run?

Riiiigghht.....

How come this "raping" only works one way?

When we get a fare that's well below the cost to fly us that's a "deal" and great! But when the airline tries to cover cost it's "raping"

(And perhaps you should reconsider that word????? )

The average cost to fly in the US has NOT increased with costs. Yes, some of us Business Flyers are getting hit, but the truth is that on all the airlines most of the "extra" fees aren't even passed on to us. USAir and United are both giving thier elite flyers a pass. So it's probably going to hit the "infrequent flyer" buying the "el cheapo" ticket most.. Seems fair to me. If you paid less then cost then something's got to give.

wiredboy10003
Mar 17, 08, 9:02 am
Not everyone who takes a lot of luggage is a vain overpacker.

And then there's my friend who takes five kinds of lotion and has at least four outfit changes each day. We go on a trip together and all I have is a carryon while he's got a steamer trunk.

EricH
Mar 18, 08, 4:49 pm
Wirelessly posted (BlackBerry8830/4.2.2 Profile/MIDP-2.0 Configuration/CLDC-1.1 VendorID/104)

Some ticket-buyers show up for their flights and fill one seat plus a small amount of baggage (carry-on or checked). Others show up and use the same space plus additional baggage. Think of the second group as the first plus freight.

I've got no problem with the airlines distinguishing between these groups and charging the second a bit more. They use more airline services, don't they?



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