Posts Tagged ‘airfare’

Holiday Airfares Rebounding From 2009

Monday, October 18th, 2010

The airline industry hasn’t had it easy in many, many years. But now that things are starting to look up in the economy, airlines are happily finding themselves with more paying customers paying more for their tickets.

  • The airline industry is finally recovering from the blows dealt by 9/11 and the global economic crisis… which means higher ticket prices for everyone.
  • This holiday season – the biggest travel season of the year – customers can expect to see fare increases of 7% to 18% over last year’s prices.
  • Because many travelers have been avoiding flying to save money, recent optimism about the economy is catapulting them back into airports. At the same time, airlines haven’t increased the number of routes or planes in their fleets.

Facts & Figures

  • The airline industry lost $58 billion between 2001 and 2009.
  • For the first time in 10 years, 86.3% of all available seats were filled on major airlines in June.
  • An estimated 41 million Americans will fly this November and December.

Best Quote

“It’s all about supply and demand. When people want to travel, it’s going to be more expensive.” – Tim Smith, Spokesman for American Airlines

Winter Forecast: Fewer Flights And Higher Fares

Thursday, October 15th, 2009

American airlines are taking a hint from European discount airlines: pack ‘em in and charge extra for everything.

  • Though the economy is picking up elsewhere, the airline industry is still struggling. And that means higher fares and more annoying fees for you, the traveler.
  • To save money, many airlines are paring back their schedules, which will decease the total number of  flights available. At the same time, business travel is expected to increase, which will limit supply even more.
  • Many airlines have already added a holiday travel surcharge, and are also considering additional fees for online booking, advance boarding, and infants.

Facts & Figures

  • According to Tom Parsons of BestFares.com, the cost of domestic flights has increased recently by more than 50%.
  • Delta, American, United, and US Airways will be charging an extra $10 per ticket on certain holiday travel dates this winter.

Best Quote

“Even with the new fees, airlines are losing billions. So it’s either fees, higher fares, or we’ll see some more airlines fall into the aviation ash heap along with TWA, Pan Am, Skybus and Independence Air.” – George Hobica,  Founder of AirfareWatchdog