Airlines secretly cash in on unused tickets

Discussion in 'General Discussion | Travel' started by sobore, Feb 10, 2012.  |  Print Topic

  1. sobore
    Original Member

    sobore Gold Member

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    http://redtape.msnbc.msn.com/_news/2012/02/10/10366774-airlines-secretly-cash-in-on-unused-tickets

    With so much talk about airline fees lately, you might overlook perhaps the largest source of ancillary revenue for the industry — and a big headache for you — that lets airlines make money for nothing. A lot of it.

    If you've ever been on a "full" flight that was full of empty seats, perhaps you've wondered: What happens to the paid fares when passengers don't show up for flights?
    The airlines keep much of the money, of course. No-show fliers get vouchers for the unused value of their tickets good for a year from booking, but stiff change fees often eat heavily into that value. And much like unused gift cards, their value disappears into thin air when not used by a strict deadline.
     
  2. javacodeguy

    javacodeguy Gold Member

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    Ah, reading these articles makes me really get annoyed. When I watched that video from when Ralph had to "pay $2000 for an aisle" I couldn't stand it.

    If all tickets were entirely refundable, prices would come to somewhere between restricted and unrestricted now, but they would definitely go up in general. I don't think people realize that all these extra fees and "secret refund money" help pay to keep the general fares lower. If the airlines couldn't count on however many hundreds of millions of dollars they get from these items, they'd just raise fares across the board to recoup those costs.

    *deep breath*
     
  3. Gardyloo
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    Gardyloo Gold Member

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    Breaking news... they also make money on unredeemed frequent flyer miles.
     
    javacodeguy likes this.

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