Why are International Fares from IAD so expensive?
Jul 10, 2019, 3:23 pm
#1
Original Poster
Join Date: Mar 2003
Location: Washington, DC, USA
Programs: UA GS 4MM, Marriott Lifetime Ti
Posts: 24
Why are International Fares from IAD so expensive?
I have been checking fares this summer to Japan and Europe from IAD and am surprised to see a huge difference from various gateways. Next week I will go to NRT and the fares are more than $1,000 higher out of IAD than ORD or LAX. I was able to book a separate itinerary and save a bundle on a W fare. Next month I will be traveling to Europe and found even greater discrepancies between departures from EWR vs. IAD. The difference can be as much as $1,400 RT in coach. There is plenty of low priced space from IAD or DCA to EWR so I assume many seasoned travelers can figure this out. I could also take the train to EWR (though less convenient). What is really ironic is that checking fares, if I originate in ORD there is a direct to NRT of course, but they also offer a connection back through IAD for much lower than direct out of IAD. The same thing shows up to Europe out of EWR.
I get it that with United being the dominant player in DC and the strong economics locally maybe most will just pony up. A good friend who lives in LA also noticed the diparity between LAX and SFO. Starting in LA flying to Asia pacific destinations is much less expensive than originating in San Fran.
I expect that trouble could crop up if a connection is missed. I am thankful for my status, but now that I am retired, it is difficult to pay these big premiums so I will just take an early connection.
If anyone has any advice beyond what I have outlined, I am all ears.
I get it that with United being the dominant player in DC and the strong economics locally maybe most will just pony up. A good friend who lives in LA also noticed the diparity between LAX and SFO. Starting in LA flying to Asia pacific destinations is much less expensive than originating in San Fran.
I expect that trouble could crop up if a connection is missed. I am thankful for my status, but now that I am retired, it is difficult to pay these big premiums so I will just take an early connection.
If anyone has any advice beyond what I have outlined, I am all ears.
Jul 10, 2019, 3:32 pm
#2
Join Date: Jul 2008
Location: DEN
Programs: UA-GS; WN A-list;Hyatt - CC; Hertz - PC
Posts: 643
I just heard today on the radio that IAD is the most expensive average round trip ticket departure in the states. Not sure why it is that way, but I have always noticed that it is much more expensive to fly through.
Jul 10, 2019, 3:43 pm
#3
Join Date: Sep 2014
Posts: 553
There's a lot more competition in both NYC (EWR/JFK) and LAX for international flights. SFO and IAD are dominated by UA when it comes international flights - so in addition to the strong local economies and households (and businesses) with money to spend on travel, there's less incentive to drop fares.
Jul 10, 2019, 5:41 pm
#4
Join Date: Mar 2015
Location: NYC (Primarily EWR)
Programs: UA 1K / *G, Marriott Bonvoy Gold; Avis PC
Posts: 8,994
I would guess because IAD is a captive international hub for UA in the DC area, and given it's also in one of the wealthiest areas of the country, UA probably feels that most folks can pay the fares. 
Jul 10, 2019, 5:44 pm
#5
Join Date: Mar 2017
Posts: 556
My impression has been the exact opposite. Where I'm from is about midway between IAD and JFK. For the last while, IAD has been consistently cheaper than JFK for many international destinations. JFK is generally one of the cheapest gateways in the US, especially to Europe.
Jul 10, 2019, 7:12 pm
#7
FlyerTalk Evangelist
Join Date: Oct 2006
Location: SFO/SJC
Programs: UA Silver, Marriott Gold, Hilton Gold
Posts: 14,878
In large part, it’s competition.
IAD is dominated by UA, with little competition. Add in some very wealthy areas, as well as a ton of government travel, and a good economy where many are willing to spend, and you can envision why. Yes, you can fly ORD-IAD-NRT for less, but it’s still based on market, where ORD has more competition. EWR competes with the rest of NY, so lots more competition there.
LAX vs. SFO is the same story (with less government travel, of course). There’s a reason UA dropped LAX-SIN and added a second daily from SFO - the market could bear a higher fare from SFO. LAX is one of the most competitive airports in the country - with also a lot of international competition - particularly to asia with a ton of flights by the Chinese carriers. Not as much at SFO.
IAD is dominated by UA, with little competition. Add in some very wealthy areas, as well as a ton of government travel, and a good economy where many are willing to spend, and you can envision why. Yes, you can fly ORD-IAD-NRT for less, but it’s still based on market, where ORD has more competition. EWR competes with the rest of NY, so lots more competition there.
LAX vs. SFO is the same story (with less government travel, of course). There’s a reason UA dropped LAX-SIN and added a second daily from SFO - the market could bear a higher fare from SFO. LAX is one of the most competitive airports in the country - with also a lot of international competition - particularly to asia with a ton of flights by the Chinese carriers. Not as much at SFO.
Jul 10, 2019, 7:22 pm
#8
Join Date: Nov 2012
Programs: BA Bronze, United 1K, HH Gold, SPG Platinum, Marriott Platinum
Posts: 3,477
I have been checking fares this summer to Japan and Europe from IAD and am surprised to see a huge difference from various gateways. Next week I will go to NRT and the fares are more than $1,000 higher out of IAD than ORD or LAX. I was able to book a separate itinerary and save a bundle on a W fare. Next month I will be traveling to Europe and found even greater discrepancies between departures from EWR vs. IAD. The difference can be as much as $1,400 RT in coach. There is plenty of low priced space from IAD or DCA to EWR so I assume many seasoned travelers can figure this out. I could also take the train to EWR (though less convenient). What is really ironic is that checking fares, if I originate in ORD there is a direct to NRT of course, but they also offer a connection back through IAD for much lower than direct out of IAD. The same thing shows up to Europe out of EWR.
I get it that with United being the dominant player in DC and the strong economics locally maybe most will just pony up. A good friend who lives in LA also noticed the diparity between LAX and SFO. Starting in LA flying to Asia pacific destinations is much less expensive than originating in San Fran.
I expect that trouble could crop up if a connection is missed. I am thankful for my status, but now that I am retired, it is difficult to pay these big premiums so I will just take an early connection.
If anyone has any advice beyond what I have outlined, I am all ears.
I get it that with United being the dominant player in DC and the strong economics locally maybe most will just pony up. A good friend who lives in LA also noticed the diparity between LAX and SFO. Starting in LA flying to Asia pacific destinations is much less expensive than originating in San Fran.
I expect that trouble could crop up if a connection is missed. I am thankful for my status, but now that I am retired, it is difficult to pay these big premiums so I will just take an early connection.
If anyone has any advice beyond what I have outlined, I am all ears.
***By this I mean that if the flight is delayed and gets to the gate at ORD 45 minutes before the international flight, I can still make it. In May, it took the luggage 30 minutes to appear in the carrousel which means that 1 hour and 40 minutes is needed for the transfer.
Last edited by StuckinITH; Jul 10, 2019 at 8:38 pm
Jul 10, 2019, 7:28 pm
#9
Join Date: Aug 2015
Location: WAS/TYO
Programs: AA PPro, TP Gold, UA Silver, Bonvoy/Hilton Gold, Global Entry
Posts: 296
IAD-NRT is always a joke. With just UA/NH serving the route, it's kind of inevitable though. It's always amusing how the $2K+ IAD-NRT fare drops down to $800 once you tack on NRT-HKG RT though.
Although on the flip side, it's allowed me to convince people "I could fly IAD-NRT direct in economy for $2300, or I could fly YYZ-HEL-TYO for $2500 in Business!"
Although on the flip side, it's allowed me to convince people "I could fly IAD-NRT direct in economy for $2300, or I could fly YYZ-HEL-TYO for $2500 in Business!"
Jul 10, 2019, 7:39 pm
#10
Join Date: Oct 2003
Location: DCA
Programs: UA LT 1K, AA EXP, Bonvoy LT Titan, Avis PC, Hilton Gold
Posts: 9,658
IAD gets lots of business travelers, and they are locked into UA - due to corporate contracts and fly America act for government reimbursed travel. Just because the published fares are high doesn't mean most of the travelers are paying those fares.
Maybe UA needs to publish high fares, then with most travelers getting a corporate discount, the discount is off the higher fare.
Maybe UA needs to publish high fares, then with most travelers getting a corporate discount, the discount is off the higher fare.
Jul 10, 2019, 8:07 pm
#12
Join Date: Jul 2011
Location: In between IAD and DCA
Programs: UA Plat 1.1MM , Marriott Gold Elite, Hyatt Discoverist
Posts: 2,262
As others have stated:
1. UA has a huge share of the market in the DC area, with little competition internationally, unlike NY or LA
2. The DC area is arguably the wealthiest in the country
3. The federal government forces workers to fly on US airlines for travel, at least for reimbursement, and considering they all pretty much live in the DC area...
1. UA has a huge share of the market in the DC area, with little competition internationally, unlike NY or LA
2. The DC area is arguably the wealthiest in the country
3. The federal government forces workers to fly on US airlines for travel, at least for reimbursement, and considering they all pretty much live in the DC area...
Jul 10, 2019, 11:51 pm
#14
Join Date: Jul 2013
Location: Montreal, Quebec
Programs: United, Bonvoy, NEXUS/GE, Amex Plat
Posts: 125
Side note: Dubai is often cheapest from IAD (via FRA/ZRH), vs other UA gateways or my home airport YUL. I’ve booked separate tickets YUL-IAD and IAD-DXB numerous times after checking ORD and EWR!
Jul 11, 2019, 8:37 am
#15
FlyerTalk Evangelist
Join Date: Jul 1999
Location: ORD/MDW
Programs: BA/AA/AS/B6/WN/ UA/HH/MR and more like 'em but most felicitously & importantly MUCCI
Posts: 19,718
As others have stated:
1. UA has a huge share of the market in the DC area, with little competition internationally, unlike NY or LA
2. The DC area is arguably the wealthiest in the country
3. The federal government forces workers to fly on US airlines for travel, at least for reimbursement, and considering they all pretty much live in the DC area...
1. UA has a huge share of the market in the DC area, with little competition internationally, unlike NY or LA
2. The DC area is arguably the wealthiest in the country
3. The federal government forces workers to fly on US airlines for travel, at least for reimbursement, and considering they all pretty much live in the DC area...
