Major US airlines collect USD12.4 billion in ‘seat selection’ fees in 5 years
Date
11/27/2024 2:32:17 AM
(MENAFN) A new report from a US Senate subcommittee has revealed that five major US airlines collected USD12.4 billion in "seat selection" fees between 2018 and 2023. The report, released Tuesday and cited by The Wall Street Journal, highlighted how these fees have become a significant revenue stream for airlines. During the same period, airlines also generated USD25 billion from checked baggage fees, underscoring the growing reliance on ancillary charges.
The investigation focused on fees charged by United Airlines, Delta Air Lines, American Airlines, Spirit Airlines, and Frontier Airlines. However, Delta’s Comfort+ service, marketed as a premium ticket option, was excluded from the analysis. The report emphasized that airlines have increasingly segmented their cabins into various classes while offering an expanding range of optional services, particularly in economy class, to maximize revenue.
This strategy has complicated ticket pricing for passengers, as they now encounter a multitude of additional fees for seat selection, extra legroom, and other amenities. The report noted that this proliferation of fees has made the ticket-purchasing process less transparent, leaving travelers with limited clarity about the total cost of their journeys.
Following its year-long investigation, the subcommittee recommended that the U.S. Department of Transportation begin collecting detailed data on seat fees. This move would mirror existing practices for tracking baggage fees and aim to improve transparency for consumers navigating the increasingly complex landscape of airline pricing.
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