Pent-up demand isn't merely the desire to start traveling again. In the case of Carnival Corp. passengers, it means spending big to enjoy life during sailings.
In an industry record, four budget airlines generated more revenue from ancillaries than they did from ticket sales in 2020. More importantly, ancillary revenue grew across all of the largest airlines last year despite the crisis.
Startups come and startups go. But it's worth looking at Gordian Software regardless. Big-name airlines have taken a sudden interest in the tech vendor, and their interest highlights a broader opportunity for them in upselling ticketed flyers.
Sabre's arguments that UK regulators would merely fall in line if a U.S. court backed Sabre's merger with Farelogix were naive. The UK ruling was essentially correct about the proposed deal stifling innovation, and somewhere airlines are quietly celebrating the ruling.
Southwest has known for years that there is money to be made in differentiation and protecting your brand identity regardless of what Wall Street thinks. That's a factor in its decision not to launch basic economy or bag fees.
There's no way around it: Southwest's new emphasis on cost-containment, productivity gains, and other efficiencies doesn't provide an optimistic outlook for passenger experience. It should make Southwest a more profitable airline — if passengers go along for the ride.
It's difficult to tell much from the first quarter results, but EasyJet seems on track to have a decent year. Acquiring some of Air Berlin’s operations will also enable it to grow in the lucrative German market.
We all understand why hotels are collecting more fees but the types of fees and surcharges they're collecting seem to be changing in interesting ways. More stringent cancellation fees are a trend while totals for Internet-access fees declined.
Reduced airfares are great for consumers, but it's still unclear how much travelers are seeing in the lower fares that the Bureau of Labor Statistics' data suggest are out there.