seat fees

Tag Archives for seat fees.

Are Airlines Thinking About Seat Fees All Wrong?

Dec 16 2023

For years airlines ‘gave away the value of seat assignments for free’ to customers. That’s no longer true. And the tax code encourages airlines to charge for seats, too. That’s because base airfare for domestic flights is taxed at 7.5%, while fees aren’t covered by this excise tax. Airlines have an incentive to move money from the fare into fees.

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President Biden: Charging For Extra Legroom Seats After Ticket Purchase Is Racist

airplane seats
Oct 26 2022

The notion that airlines even sell seats with six extra inches of legroom on many domestic flights, as the President suggests, is fanciful. Three inches is far more common. Airline passengers skew quite well off, relatively few marginalized Americans fly regularly. It seems odd to suggest that they are disproportionately harmed (or, for that matter, that they are buying up to extra legroom seats).

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Southwest Airlines: Seat Fees and Bag Fees Coming?

airline seats
Aug 18 2019

Ariline Weekly founding editor Seth Kaplan writes at The Points Guy that Southwest Airlines may be doing worse at New York LaGuardia than at Newark, and they pulled out of Newark. He says they shouldn’t pull out of LaGuardia, though, and shouldn’t have left Newark.

The challenge of course is that at this point, given slot controls at two of the three New York airport and shortage of gates, it’s incredibly difficult to re-enter the market if you leave. Do they need to change their business model to succeed?

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