Winnipegger surprised WS bag fees charged in CAD on trip to U.S. but USD on return
#16
Join Date: Mar 2010
Location: Calgary
Posts: 1,444
One thing I brought up a number of times before I retired from WestJet was the concept of "are we becoming a Canadian airline that flies internationally, or are we becoming an international airline that is Canadian?"
Although this seems like the same thing stated in two different ways, it is really two distinct approaches from an IT, marketing and finance perspective. In the first case it means principally working in CAD and using currency conversions for pricing, selling mainly to the Canadian market and accounting for operations as a single Canadian entity. In the second case it means having operations that are priced, marketed and accounted for in the local markets served. I believe "an international airline that is Canadian" is the way to go, even though it means a lot of hard changes. I'm glad to see that that evolution has begun.
Although this seems like the same thing stated in two different ways, it is really two distinct approaches from an IT, marketing and finance perspective. In the first case it means principally working in CAD and using currency conversions for pricing, selling mainly to the Canadian market and accounting for operations as a single Canadian entity. In the second case it means having operations that are priced, marketed and accounted for in the local markets served. I believe "an international airline that is Canadian" is the way to go, even though it means a lot of hard changes. I'm glad to see that that evolution has begun.
#18
Join Date: Mar 2010
Location: Calgary
Posts: 1,444
#19
A FlyerTalk Posting Legend
Original Poster
Join Date: May 2002
Location: YEG
Programs: HH Silver
Posts: 56,441
Then why is there so much inconsistency? As has been mentioned others who've flown from the U.S. have not paid the same amount in USD as they did in CAD on the outbound but rather the USD amount that would convert to the bag fee in CAD they paid on the outbound.
#20
Join Date: Aug 2003
Location: Canada
Programs: Marriott Plat; Air Canada E75K; Westjet Platinum
Posts: 1,161
Westjet should then be charging 30 Mexican pesos for luggage on all originating flights from PVR or CUN using that analogy. They are claiming $30 CAD out of Canada means $30 USD out of USA, let's take that further to mean 30 Pesos from CUN, after all, it is the local currency, isn't it?
#21
Join Date: Nov 2009
Location: PHX
Programs: Delta 2M DM, Southwest A List and CP
Posts: 1,102
Westjet should then be charging 30 Mexican pesos for luggage on all originating flights from PVR or CUN using that analogy. They are claiming $30 CAD out of Canada means $30 USD out of USA, let's take that further to mean 30 Pesos from CUN, after all, it is the local currency, isn't it?
Baggage fees and country of origin
As of August 28th, 2018, your baggage fee will depend on the country you depart from, as per industry standards.Guests departing from:
- Canada - 1st bag fee $30 CAD, 2nd bag fee $50 CAD
- United States, Latin America, Caribbean - 1st bag fee $30 USD, 2nd bag fee $50 USD ".
#22
Join Date: Mar 2002
Location: YYJ
Posts: 4,137
Baggage fees and country of origin
As of August 28th, 2018, your baggage fee will depend on the country you depart from, as per industry standards.
Guests departing from:
As of August 28th, 2018, your baggage fee will depend on the country you depart from, as per industry standards.
Guests departing from:
- Canada - 1st bag fee $30 CAD, 2nd bag fee $50 CAD
- United States, Latin America, Caribbean - 1st bag fee $30 USD, 2nd bag fee $50 USD ".
You're not departing from Canada if you're departing from a US airport.
It doesn't explain the inconsistencies that others have noted above. Perhaps their tickets were booked prior to the change and were grandfathered at the old rates.
#23
Join Date: Mar 2010
Location: Calgary
Posts: 1,444
”Fee is based on the province of departure; range is shown in chart. Fee is charged in CAD or USD depending on departure county. GST is charged on all itineraries that originate in Canada.
Bookings before August 24th, 2018, for flights within Canada. Bookings before August 28th, 2018 for flights outside Canada.
First bag 25 CAD or 25 USD depending on country of origin.
Second bag 35 CAD or 35 USD depending on country of origin.
Please see an airport agent for the grandfathered fee after October 1st, 2018.
WestJet Vacations bookings before November 5, 2018:
First bag no fee if travelling outside of Canada or the U.S.
Please see an airport agent for the grandfathered fee.”
#24
Join Date: Jan 2007
Programs: No single airline or hotel chain is of much use to me anymore.
Posts: 3,278
Travel (airline, hotel and rental car) that will be charged to a Canadian dollar cost center is supposed to be booked in Canadian dollars, deviating from that is annoying unless you enjoy redacting your own credit card statements in Acrobat.
#25
Join Date: Mar 2010
Location: Calgary
Posts: 1,444
Sounds like accounting processes that are not well developed for international operation. I’m used to companies that have expense entry into the ERP system directly, with each entry in whatever currency the expense was incurred in. May be time to lobby your company to outsource expense and other ERP processes to one of the many cloud based offerings that are well sorted for multi currency use.
#26
Join Date: Jul 2014
Location: YVR
Programs: WS Nothing, AC Something, AS Gold. Too big for 737Max washrooms
Posts: 893
Sounds like accounting processes that are not well developed for international operation. I’m used to companies that have expense entry into the ERP system directly, with each entry in whatever currency the expense was incurred in. May be time to lobby your company to outsource expense and other ERP processes to one of the many cloud based offerings that are well sorted for multi currency use.
#27
Join Date: Feb 2007
Location: YVR
Programs: Erstwhile Accidental AC E35K
Posts: 2,913
(Sorry to stray off topic, but it hit a nerve. I'm no longer with that company.)
#28
Join Date: Jan 2007
Programs: No single airline or hotel chain is of much use to me anymore.
Posts: 3,278
Sounds like accounting processes that are not well developed for international operation. I’m used to companies that have expense entry into the ERP system directly, with each entry in whatever currency the expense was incurred in. May be time to lobby your company to outsource expense and other ERP processes to one of the many cloud based offerings that are well sorted for multi currency use.
#29
Join Date: Jan 2007
Programs: No single airline or hotel chain is of much use to me anymore.
Posts: 3,278
How about submitting in a single currency but having it bounced three months in a row because I travelled to three provinces and coded the GST "incorrectly" for two of them? And Ontario's HST has yet another code. Memo to head office: The reason we have accounting minions is to take care of that stuff while we professionals are busy making billable time!!!
(Sorry to stray off topic, but it hit a nerve. I'm no longer with that company.)
(Sorry to stray off topic, but it hit a nerve. I'm no longer with that company.)
#30
A FlyerTalk Posting Legend
Original Poster
Join Date: May 2002
Location: YEG
Programs: HH Silver
Posts: 56,441
Yes, grandfathering of the previously lower checked bag fees but this still doesn't explain why I've heard from people who bought tickets recently (last month) and flew last week and paid the converted USD amount for checked bag fees on the inbound that approximated what they'd paid in CAD on the outbound.