LH increases[/reduces] fuel surcharge
#316
Join Date: Nov 2006
Location: BTS/VIE
Programs: LH MM**, HH Silver
Posts: 2,282
At the end of day, we finance the CPA through our tax payments. Let us get something back from them and push them to raise a case. They have previously engaged on much less important travel topics (recently: travel package providers may not ask for full payment of a travel package too far ahead of the travel date). In my impression, it is much more impactful if the "socialist" CPA is driving a topic than if a privileged "upper class" professor is raising a case.
What do you think? There is no limit to such surcharges, and I fear they will continue creeping up until no value is left from my frequent flier miles if we don't interfere.
What do you think? There is no limit to such surcharges, and I fear they will continue creeping up until no value is left from my frequent flier miles if we don't interfere.
#317
FlyerTalk Evangelist
Join Date: Jan 2005
Location: VCE
Posts: 14,165
Out of curiosity, I called the German CPA today. I was told that - as expected - they are currently not actively pursuing this matter. But the lady mentioned that, if they receive enough complaints on a specific topic, they normally investigate such a matter further (and she provided me with a central email address to which I could send a letter). If there are enough good arguments, and if enough citizens are affected, then they tend to pick up a case, she claims.
#318
Join Date: Nov 2000
Posts: 1,941
I agree, TRAVELSIG, you never know what the next move of airlines would be if the surcharge scam were prohibited. But then again, as long as the scam exists and further unfolds, it does tremendous damage to my wallet. I just paid more than EUR 340 for a "free" premium class one-way ticket from the U.S. to Europe. The value of my millions of miles is decreasing by the month, it seems. I want this to stop.
#319
FlyerTalk Evangelist
Join Date: Jan 2005
Location: VCE
Posts: 14,165
I agree, TRAVELSIG, you never know what the next move of airlines would be if the surcharge scam were prohibited. But then again, as long as the scam exists and further unfolds, it does tremendous damage to my wallet. I just paid more than EUR 340 for a "free" premium class one-way ticket from the U.S. to Europe. The value of my millions of miles is decreasing by the month, it seems. I want this to stop.
What it does over time is eliminate any advantage of the frequent flyer program. I am already at that point with hotels- the "status" cards really don't matter and I just buy the room I want at the hotel I like- therefore eliminating most of the presumed advantages of a global chain and certainly limiting the corporation ability to pass the charges (premium) on to end users.
When I also notice now that a "free" ticket can cost $1000 then I also respond rationally- just fly who has the best combination of schedule/service/product/fare/ and if I happen to get frequent flyer points OK. It is amazing how much this decision changes flying. The only problem I warn you about is that once you see some of the products around the world you have a very large risk of being disillusioned with your LH black card unless you only fly F (in which case your HON card no longer matters any more anyway).
#320
Join Date: Mar 2008
Posts: 4,859
When I also notice now that a "free" ticket can cost $1000 then I also respond rationally- just fly who has the best combination of schedule/service/product/fare/ and if I happen to get frequent flyer points OK. It is amazing how much this decision changes flying. The only problem I warn you about is that once you see some of the products around the world you have a very large risk of being disillusioned with your LH black card unless you only fly F (in which case your HON card no longer matters any more anyway).
#321
Join Date: Aug 2004
Location: Darmstadt
Programs: LH SEN, QR Platinum, Bonvoy Plat, GHA Black, Hyatt Globalist
Posts: 760
#322
Join Date: Aug 2005
Programs: UA*G(1K), PC Diamond Amb, Marriott Titanium, Accor Platinum
Posts: 4,672
#323
Join Date: May 2006
Location: BRS (Bristol, UK)
Programs: LH SEN/*G
Posts: 1,266
Despite the evidence LH puts forward, I'm thoroughly unconvinced that YQ is correlated to the Group's fuel costs. I think it's a revenue line which can be managed in response to fuel cost changes (such as the spike in 2008), but I see very little evidence that its structured to balance their fuel costs (even taking into account hedging positions).
#324
Join Date: Nov 2000
Posts: 1,941
After LH had charged me this hefty EUR 340 U.S. origin surcharge on my one-way premium ticket U.S. to Europe, I had written a complaint email to the HONCircle team. I requested a specific explanation why there is such a huge discrepancy between surcharges for a given flight segment when purchased with a U.S. vs. European origin. Here from the reply:
"We understand that you find the difference between the taxes and surcharges that apply for a departure from the USA compared to a departure from an airport in Germany confusing. However, the cost incurred depends on the airport's country of origin and destination. Market-specific aspects and principles of fair competition also play a role and these are beyond our control.
Dear CalFlyer, we regret that we cannot give you a more detailed explanation in this matter and would appreciate your understanding."
This is adding insult to injury. The U.S. does not have a departure tax that penalizes tickets originating in the U.S. (unlike London), so not a cent of difference can be explained from that. And what are the market-specific aspects and the principles of fair competition that play a role and that are beyond LH's control? Does it mean: others charge a hefty surcharge so we decided to do the same? There is nothing beyond LH's control here, it is their decision to design the pricing scheme as arbitrary as it is. The usage of the beyond our control phrase again confirms that airlines try to imply that the surcharges are somehow externally determined, although in reality it is their very own attempt at street robbery. As the reservation agent put it when I complained about the EUR 340 fee: "It is what it is, do you want to pay now or shall I cancel your award?"
I think it is high time we really put the surcharge scam beyond LH's control and get the CPAs involved.
"We understand that you find the difference between the taxes and surcharges that apply for a departure from the USA compared to a departure from an airport in Germany confusing. However, the cost incurred depends on the airport's country of origin and destination. Market-specific aspects and principles of fair competition also play a role and these are beyond our control.
Dear CalFlyer, we regret that we cannot give you a more detailed explanation in this matter and would appreciate your understanding."
This is adding insult to injury. The U.S. does not have a departure tax that penalizes tickets originating in the U.S. (unlike London), so not a cent of difference can be explained from that. And what are the market-specific aspects and the principles of fair competition that play a role and that are beyond LH's control? Does it mean: others charge a hefty surcharge so we decided to do the same? There is nothing beyond LH's control here, it is their decision to design the pricing scheme as arbitrary as it is. The usage of the beyond our control phrase again confirms that airlines try to imply that the surcharges are somehow externally determined, although in reality it is their very own attempt at street robbery. As the reservation agent put it when I complained about the EUR 340 fee: "It is what it is, do you want to pay now or shall I cancel your award?"
I think it is high time we really put the surcharge scam beyond LH's control and get the CPAs involved.
#325
Join Date: Dec 2001
Location: Zurich
Programs: M&M FTL, HHonors Diamond, Langham Elite, SPG Corporate Preferred
Posts: 470
Increased "taxes" from one day to the other
How can this be ? I checked for award tickets in C from ZRH-FRA-BAH and back and the M&M website showed me availability and taxes of CHF 522. I look into it today again and now the taxes are CHF 645.
Has onyone observed this before ? Has Lufthansa maybe increased the fuel surcharge ?
Has onyone observed this before ? Has Lufthansa maybe increased the fuel surcharge ?
#326
Join Date: Sep 2004
Location: Southern Bavaria, Germany
Programs: LH Blue, BA Blue, Hyatt Gold
Posts: 1,517
Lufthansa increased the fuel surcharge for F/C flights
How can this be ? I checked for award tickets in C from ZRH-FRA-BAH and back and the M&M website showed me availability and taxes of CHF 522. I look into it today again and now the taxes are CHF 645.
Has onyone observed this before ? Has Lufthansa maybe increased the fuel surcharge ?
Has onyone observed this before ? Has Lufthansa maybe increased the fuel surcharge ?
Lufthansa increased the "fuel surcharge" for longhaul flights in Business and First Class to - if I remember correctly to a value between 170 and 192 Euro.
This is part of a commonly used toolbox in order to avoid conflicts with all customers who have negotiated rates (like larger corporate accounts).
To exaggerate it: The additional rip-off is cloaked as "fuel surcharge".
Sorry for the news.
#327
Join Date: Nov 2000
Posts: 1,941
To my knowledge, most corporates have agreed upon percentage discounts from published fares. So if LH included fare increases in the fare itself(instead of surcharges) they would not need to renegotiate with corporates. But they would automatically provide the corporate discount on the fare increase as well, which makes it look preferable for LH to add it in the fuel surcharge.
#328
Join Date: Aug 2013
Location: Switzerland
Programs: Miles and more, Skywards, Etihad guest
Posts: 4
Same for me on a gva del in c class. Yesterday it was 580 and today it s 698 chf! I m pissed off! Looking forward to burn all my miles and move to emirates or etihad airlines!
#330
FlyerTalk Evangelist
Join Date: Aug 2000
Location: London
Programs: Hilton, IHG - BA, GA, LH, QR, SV, TK
Posts: 17,008
"We understand that you find the difference between the taxes and surcharges that apply for a departure from the USA compared to a departure from an airport in Germany confusing. However, the cost incurred depends on the airport's country of origin and destination. Market-specific aspects and principles of fair competition also play a role and these are beyond our control.
Dear CalFlyer, we regret that we cannot give you a more detailed explanation in this matter and would appreciate your understanding."
I just bought a redemption ticket for my brother's visit from Brasil.
A refreshing fifty-something euros in taxes - yes, that right: around £45 or $70. AND a straightforward award booking via M&M.
Of course Brasil forbids YQ on award tickets
Now, if only we could convince other national regulators to impose similar restrictions ....
Last edited by IAN-UK; Aug 8, 2013 at 1:40 am