Tuesday February 9, 2010 
Summerside, PE
 0°C
Wind: 33 Km/h
Humidity: 100 %
Feels like -7°C
(view forecast)
  
SUBSCRIBE
HOME
ARCHIVES
CONTACTS
SPECIAL SECTIONS
Click to view today's Smart Edition
Online Store

Smart Edition

InMemoriam

H1N1 Virus - The Canadian Press

TODAY'S JOURNAL
News
Sports
Entertainment
Business
Destinations on Your Doorstep
Your photos
Blogs
Deaths
Classifieds
Today's Headlines
Regional Headlines
Daily Sudoku
Interactive Horoscopes
Interactive Lottery Guide
Celebrity Daily

Shop With Us

OPINION
Editorials
Columns
Letters to the Editor
Send Us Your Letters

NIE - NEWSPAPERS IN EDUCATION
Teachers Guide

CIRCULATION
Subscribe
Be A Journal Carrier

F.Y.I
Search Our Archives
Contact Info
Our History
Send Feedback
Send News Tips
Privacy Policy
Photos
RSS

USEFUL LINKS
Tides
Movies
Visitors Guide
Lottery Numbers
Web Cams
Road Reports
Bridge Conditions
Ferry Schedule
Flight Tracker

PHOTO GALLERIES
Highland Storm: The Gael
Highland Storm: The Gael
Summerside Western Capitals playoffs
Summerside Western Capitals playoffs
JP Really Gets Around
JP Really Gets Around
Destination: West Point
Destination: West Point
Destination: Rustico
Destination: Rustico
Destination: Bideford area
Destination: Bideford area
Destination: Stanley Bridge
Destination: Stanley Bridge
Evangeline
Evangeline
North Cape
North Cape
A Victorian afternoon
A Victorian afternoon
Your photos
Your photos
view all | submit photo

BUSINESS   Business RSS Feed
Last updated at 11:37 PM on 27/09/09  

Airlines are charging for second bag on flights to Europe; what’s their next stop? print this article
JOSHUA FREED
THE ASSOCIATED PRESS

 MINNEAPOLIS — You can leave the U.S., but it’s getting harder to leave behind baggage fees.
Fees to check bags on international flights are creeping in and may be here to stay. In the past three months, all the big U.S. carriers have added $50 fees to check a second bag on flights to Europe. Delta and Continental are charging second-bag fees for flights to Latin America, too.
We’ve flown this route before, with domestic bag fees. United Airlines started with a fee to check a second bag last year, and other carriers followed. The wave of international bag fees got started July 1 when Delta began charging to check a second bag between the U.S. and Europe.
By limiting baggage fees to domestic flights, the U.S. carriers left out a huge chunk of their traffic. More than half of Continental’s traffic this year has been international. At Delta, which started the move toward international bag fees, almost 39 per cent of its traffic is international.
So far, the U.S. carriers don’t charge bag fees on most Asian routes. That will likely change. And charging to check the first bag on international flights is a revenue opportunity that might be too good to pass up.
“Yes. Of course baggage fees will spread worldwide to include even the first bag,” said Jay Sorensen, an airline consultant who has studied and written about the carriers’ so-called ancillary revenue.
“I think baggage fees will be the most widespread of the a la carte fees, because they truly are optional,” he said. “You don’t have to check a bag.”
Sorensen said U.S. carriers will run into trouble charging fees on codeshare flights, where a ticket on, say, fee-charging Delta, might have been sold by partner Air France, which checks two bags for free.
Airline fares have fallen sharply in the recession, and many in the industry have argued that fees are basically a way to make up some of the shortfall. Luggage is expensive to handle and its weight makes the plane burn more jet fuel, so it makes sense for that service to cost something, the thinking goes.
Delta originally said it would charge a second-bag fee on all international flights, not just those to Europe. Its announcement in April said it hoped to collect $100 million a year if the new fee went worldwide. It scaled back that plan to just Europe after other carriers didn’t match it. Delta declined to make an executive available to talk about the fee.
Joe Brancatelli, who runs the business travel Web site JoeSentMe.com, said European airline customers are much more used to paying fees, whereas Asian airlines have maintained a more full-service approach, even in coach. Through August, United and Delta (with its Northwest subsidiary) carried the most traffic to Asia, while Delta and American were the biggest U.S. carriers to Europe.
The new fees are coming from a shrinking number of travellers. Traffic between North America and Europe on all airlines fell 12 per cent to 25.4 million travellers through the first half of this year compared with the first half of 2008, according to the International Air Transport Association.
Travelers pushing baggage carts out of the international arrival section at Minneapolis-St. Paul International Airport generally felt the same way about international baggage fees as they would about an overeager customs officer.
“It does concern me, because I travel a lot doing mission work, so a lot of times I have full luggage,” said Sammy Wanyonyi, an evangelist from Victoria, Minn. His gear includes cameras and lots of clothes for his trips to East and Central Africa.
When he left Minneapolis, he was told he could check up to 70 pounds in each bag. But travelling back from Nairobi, on another airline, the limit was 50 pounds — which nearly put him and two other short-term missionaries he was travelling with in a bind until the airline waived the extra fees.
“The most disconcerting thing is it seems like each place has its own rules,” he said.
Jerry and Lori White are already experienced at dodging baggage fees on domestic U.S. flights. They live in Saudi Arabia but come back to the U.S. once a year for a month or so. While they’re here, they leave their luggage with family while they fly between Minnesota and Texas and other stops to avoid paying baggage fees. They may have to get craftier to avoid the fees coming back from Saudi Arabia, though.
After getting off a flight from Amsterdam for this year’s trip, Jerry White said they’ll be even choosier about which airlines they fly if the U.S. carriers expand baggage fees to more international flights.
“We hate to fly the ones that only allow one bag,” Lori White said. “It’s not worth it. We won’t fly American for a lot of reasons; one of them is the bag fees.”
The international carriers are not alone in exploring new things to charge for. Southwest Airlines Co., which flies only in the U.S. and still doesn’t charge baggage fees, began charging $10 to reserve a spot in the boarding line. A better spot in line has value because most Southwest passengers get their seats on a first-come, first-served basis.
Southwest said when it launched the “Early Bird” program that it hoped to raise perhaps $75 million a year in new revenue. The trick will be selling the spot in line without annoying regular customers, as well as “Business Select” customers who still get to be first in line but might settle for the cheaper “Early Bird” approach instead.
Kevin Krone, Southwest’s vice-president of marketing, said they don’t expect Business Select travellers to buy the Early Bird passes instead. As for traditional Southwest fliers back in the line, “we don’t anticipate that large enough numbers of people will take advantage of it that it will ultimately impact the boarding experience for those that don’t purchase it,” he said.

28/09/09  



© 2009

More about  CP news for print and  online publishing.

 
Recent business:




Past business :

February 2010 January 2010 December 2009 November 2009 October 2009 September 2009
August 2009 July 2009 June 2009 May 2009 April 2009 March 2009
February 2009 January 2009 December 2008 November 2008 October 2008 September 2008
August 2008

 






Weblocal - Search. Find. Share.

Are you searching for a product, a service or a local company?

Search
The Island Real Estate News

READER POLLS
(view past polls)

The Journal Pioneer   Video-on-Demand
Gail Shea gets pied
Gail Shea gets pied
Music PEI Awards 2010
Music PEI Awards 2010
Summerside flooding
Summerside flooding
view all | submit video

EFlyer

Local Deals, local advertisers, everyday!

February 9, 2010
HMS Office Supplies
Carton of Euniun Paper
IPAX Inc.
Suites on St. Stephen
Gordons Mens Wear
Mens Winter Coats
Sports Extra

Atlantic Newspapers

Classifieds Merkado

Photo Reprints

Join our newsletter

(more info)

Send News Tips

Office Pool

E-reporter

Canadian Living Recipe of the day
Recipe of the day
Slow Cooker Pulled Pork Tacos
Slow Cooker Pulled Pork Tacos
More >>




Journal Pioneer
A division of Transcontinental Media Inc.
316 Water St. - P.O Box 2480 - Summerside - Prince Edward Island - C1N 4K5
Contents of this website are copyright © The Journal Pioneer srundle@journalpioneer.com



Click here to view our privacy policy.

A Transcontinental Media, Local Solutions Group site

This site is part of the Transcontinental Media Network


Daily Newspapers:
Nova Scotia: Amherst Daily News; Cape Breton Post; The News (New Glasgow); Truro Daily News.
Prince Edward Island: Journal Pioneer (Summerside); The Guardian (Charlottetown).
Newfoundland & Labrador:The Telegram (St. John’s); The Western Star (Corner Brook).
Saskatchewan: Moose Jaw Times-Herald; Prince Albert Herald.
Weeklies and Specialty Publications:
Nova Scotia: The Advance; The Hants Journal; The Kings County Register; Kentville Advertiser; The Annapolis County Spectator; The Yarmouth County Vanguard; The Digby County Courier; The Shelburne County Coast Guard; The Citizen; Nova Scotia Business Journal; Burnside News; Farm Focus; Springhill Record; Bedford Sackville Weekly News; Dartmouth Cole Harbour Weekly News; Halifax West Clayton Park Weekly News; Halifax News Net; The Atlantic Construction & Transportation Journal
New Brunswick: Sackville Tribune Post; ENBusiness.
Newfoundland & Labrador:The Charter; The Southern Gazette; The Compass; The Labradorian; The Aurora; The Beacon; The Pilot; The Packet; The Gulf News; The Coaster; The Georgian; The Nor’wester; The Advertiser; The Northern Pen.
Saskatchewan:Southwest Booster; SaskNewsNow; Coronach Triangle News; Grenfell Sun/Broadview Express; Oxbow Herald; Radville/Deep South Star.
Consumer Magazines:
Canadian Living; Elle Canada; Homemakers; More; Good Times; Canadian Gardening; Canadian Home & Country; Style at Home; Western Living; Ottawa at Home; Vancouver Magazine; TV Guide; The Hockey NewsMochasofaOccasions MagazineGolf Ontario StyleGolf EastGroup Travel Planner.
Services:
Weblocal; Merkado